Russia And France Meet To Discuss Money Laundering Concerns

by Tatiana Smolensky, Tax-News.com, Moscow

17 April 2002

Following the release last week of a report on money laundering in France in which it was revealed that criminal groups, in particular the Russian mafia, have successfully infiltrated the French economy, a high-level Russian delegation has visited Paris to discuss cross-border anti-money laundering strategies.

The National Assembly report was the last in a series of French studies on the topic. It had been eagerly awaited by jurisdictions such as Monaco, Switzerland, the United Kingdom, and and Luxembourg all of which had come under fire from left-wing French politicians for 'lax' anti-money laundering practices in previous reports.

The study revealed that organised criminal gangs have traditionally used the country's property market to launder money to great advantage, with Paris and the South of France being two of the most popular locations.

Arnaud Monteburg, the Socialist deputy behind the report, also accused magistrates investigating criminal money laundering activity of corruption, alleging that many of them are closely tied to local business people and politicians, and live lifestyles which could not be supported by their official salaries.

Heading the delegation from the Russian Financial Monitoring Committee was First Deputy Finance Minister, Viktor Zubkov. According to reports, several more meetings with the French financial intelligence service are planned, but no further details have been given on the timing, location, or content of future sessions.

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