O'Neill Urges FATF To Adopt Global Money Laundering Standards

by Mike Godfrey, Tax-News.com, Washington

31 October 2001

At a plenary meeting of the Financial Action Task Force (FATF) held here in Washington, US Treasury Secretary Paul O'Neill urged members of the multilateral organisation to implement and enforce new global anti-money laundering measures.

He praised the efforts of the FATF, calling the progress made in the elimination of money laundering practices in various countries so far 'impressive'. However, he asked the organisation to now focus its attention on the 'misuse of the international financial system by terrorists and those who channel funds to them', explaining that in his opinion, the FATF is uniquely positioned to tackle the challenge.

Mr O'Neill suggested that the goals for the emergency meeting, called to discuss anti-terrorist strategies, should be to:

- Adopt special recommendations and set an international standard for disrupting terrorist financing

- Lay plans to ensure that all countries, not just FATF members, adopt these recommendations as swiftly as possible

- Put in place mechanisms for the regular release of anti-money laundering and anti-terrorism 'success stories'.

Demonstrating an inclusiveness curiously absent in former money laundering policy meetings, the Treasury Chief acknowledged that the effort will extend beyond the remit of the FATF, and that the various regional anti-money laundering organisations will need to be consulted.

Mr O'Neill closed by thanking the 150 countries which have expressed their support in the fight against terrorist financing, and revealed that of those countries, 80 have put blocking orders in place to freeze suspect assets.

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