AIA supervises its practising members for the purposes of the Money Laundering Regulations 2017 (amended 2019), where AIA is listed in schedule 1 as an approved supervisory body. In the Republic of Ireland AIA is a designated body under the Criminal Justice (Money Laundering and Terrorist Financing) Act and SI No. 578/2019 - European Union (Money Laundering and Terrorist Financing) Regulations 2019.
The Regulations ensure appropriate and proportionate measures to deter, detect and disrupt money laundering and the financing of terrorism and are applicable to all practising accountants, persons and firms providing ‘accountancy services’.
Money laundering is the processing of criminal proceeds to disguise their illegal origin and to make them appear legitimate, allowing criminals to enjoy these profits without jeopardising their source of income.
Money laundering is not only a crime itself, but also a key enabler of other serious crimes such as modern slavery, drugs trafficking, fraud, corruption, and even terrorism.
Professionals working in the accountancy, legal and property sectors are targeted because of their expert skills and services (National Risk Assessment 2020), which can give a cloak of legitimacy to illicit cash. This gives professionals a crucial role to play in protecting the UK’s economy, and wider society by reporting suspicious activity.
AIA's Regulatory Oversight Committee deals with scrutiny, oversight and review of the Association’s regulatory requirements as a recognised supervisory body under the Money Laundering Regulations.
The Committee is empowered to make recommendations to the Council to address areas of weakness or highlight areas of good practice relating to AIA’s AML supervision.
AIA reports annually on its anti-money laundering supervisory activity under Regulation 46A of The Money Laundering and Terrorist Financing (Amendment) Regulations 2019.