Last updated: 04 Dec 2020 02:16 Posted in: Anti-money laundering
The Association of International Accountants (AIA) has presented evidence to the United Kingdom Treasury Select Committee’s 2020 inquiry into anti money laundering controls and systems in the United Kingdom.
The Treasury Select Committee launched a new inquiry in October 2020 to review what progress has been made in combatting economic crime. This inquiry has two strands:
Commenting on the launch of the inquiry, Rt Hon. Mel Stride MP, Chair of the Treasury Committee, said: “The previous Committee made a series of recommendations on the UK’s effort to combat money laundering and what can be done to prevent consumers from being victims of economic crime. The current Committee will now examine what progress supervisors, law enforcement and the Government has made in these areas.”
As a professional body supervisor recognised under Schedule 1 of the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 (as amended 2019) AIA recognises its key role in preventing economic crime and contributing to a robust approach to AML safeguards. As part of the submission an overview of the work undertaken as a supervisory body enabling AIA to implement the money laundering regulations and ensure its members remain vigilant to the threat was provided.
Working with other accountancy sector supervisory bodies through the Accountancy AML Supervisors’ Group (AASG) and more widely with government, regulators and other sectors through the AML Supervisors Forum (AMLSF) and additional working and intelligence-sharing groups enables a real public-private partnership which delivers a focussed response to the threat of money laundering and terrorist financing.
As a membership organisation of professionals AIA recognises that the regulations are also in place to protect members and safeguard against their being exploited by criminal elements to facilitate illicit activity. Therefore, AIA works to provide guidance and support, so members learn to recognise the red flags of money laundering and fulfil their obligations by reporting suspicious activity.
In its response AIA outlined several key improvements and observations:
AIA Director of Operations David Potts said, “Whilst there is still progress to be made to fulfil the government’s Economic Crime Plan 2019 – 2022, as a supervisory body AIA has made significant contributions to progress to date, including strengthening internal controls, educating members, enforcing compliance and sharing intelligence.”