The Financial Action Task Force (FATF) met in Paris on 22 -24 October 2014. The issues dealt with included:
- FATF action on the terrorist group ISIL.
- Published: Guidance on Transparency and Beneficial Ownership.
- Published: Risk-based approach guidance for the Banking Sector.
- Issued two documents identifying jurisdictions that may pose a risk to the international financial system (jurisdictions with strategic AML/CTF deficiencies for which a call for action applies and jurisdictions with strategic AML/CFT deficiencies which have developed an action plan with the FATF).
- FATF clarified that the risk-based approach should be case-by-case, rather than wholesale de-risking De-risking refers to financial institutions terminating or restricting business relationships with clients or categories of clients to avoid, rather than manage, risk in line with the FATF’s risk-based approach. In the statement, the FATF warns firms that de-risking should never be an excuse for a bank to avoid implementing a risk-based approach, in line with the FATF standards.
On 7 October 2014, the European Parliament published two papers (both dated 10 June 2014) setting out the European Commission's response to the text of the Parliaments amendments to the Fourth Money Laundering Directive and the Wire Transfer Regulation (adopted by Parliament on 11 March 2014):
- One paper deals with the Fourth Money Laundering Directive and lists the specific amendments accepted, accepted in principle or in part, and rejected, and sets out the reasoning.
- The other paper deals with the Wire Transfer Regulation and lists the specific amendments accepted, accepted in principle or in part, and rejected, and sets out the reasoning.
The EU Parliament will consider MLD4 and WTR from 14 to 17 April 2014.