The South African government has joined in with international efforts to combat money laundering.
The South African government has joined in with international efforts to combat money laundering.
Money laundering has been a criminal offence since Section 4 of the Prevention of Organised Crime Act, 1998, was promulgated. A money laundering offence may be described as an activity which has or is likely to have the effect of concealing or disguising the nature, source, location, disposition or movement of the proceeds of unlawful activities or any interest which anyone has in such proceeds and includes any activity which constitutes an offence in terms of Section 64 of FICA and Sections 4, 5 and 6 of the Prevention of organised Crime Act.
Apart from criminalising money laundering, South African law also contains a number of control measures aimed at facilitating the detection and investigation of money laundering. The control measures introduced by FICA include requirements for institutions to establish and verify the identities of their customers, to keep certain records, to report certain information and to implement measures that will assist them in complying with the Act.[1]
The act creates an entity called an accountable institution. These accountable institutions (in total there is 19 types of accountable institutions and includes banks, insurance companies, casino’s, etc) are businesses that are likely to be used by would-be money launderers to disguise proceeds obtained from unlawful activities.
Your report should include as much detail as possible in respect of the particulars of the transaction and the grounds for suspicion/knowledge of the transaction.
The following examples of suspicious and unusual transactions have been taken from the IAIS – Insurance Fraud Subcommittee Anti-Money Laundering Guidance Notes:
You may not disclose:
to any person, including the customer and/or the intermediary, other than to the compliance officer and for the purpose of legal proceedings or in terms of a court order. and
For more information about FICA, please contact the compliance officer in your area.
Click to login
Your request were submitted successfully. An agent will be in contact with you on the first working day.