Department of Public Information, Guyana

Tag: Accountants

  • Accountants, lawyers still to report to FIU- Director Langevine

    Accountants, lawyers still to report to FIU- Director Langevine

    ─ CFATF assisting with supervisory authority

    Accountants and lawyers are yet to begin reporting to the Financial Intelligence Unit (FIU), which, agency head, Mr. Matthew Langevine says, is due to the absence of an established supervisory authority.

    Director, Financial Intelligence Unit, Mr. Matthew Langevine

    Attorneys-at-law and accountants/auditors fall within the Designated Non-Financial Businesses or Professions (DNFBPs) category, under the Anti-Money Laundering/ Countering the Financing of Terrorism (AML/CFT) legislation.

    Like other reporting entities, they are required to report suspicious transactions to the FIU “only when, on behalf of or for a client they engage in certain financial transactions as outlined under Section 18(11) of the AML/CFT Act 2009 (as amended).”

    Such transactions include buying and selling real estate; managing client money, securities or other assets; management of bank, savings or securities accounts; and the organisation of contributions for the creation, operation, or management of companies.

    In a recent interview with DPI, Mr. Langevine said the Unit is still working to have attorneys and accountants come on board.

    “We have work ongoing currently with the Caribbean Financial Action Task Force where there is a consultant working with Guyana to look at the entire supervisory regime existing in Guyana so that recommendations can be made on what changes can be put in place so that we have a better supervisory framework over the existing reporting entities and the new ones we want to bring on board,” he told DPI.

    With the support of the CFATF, the FIU head is hopeful they could bring the two primary sectors on board in early 2021.

    Reports from the two sectors remain critical as Guyana prepares for its fourth round of mutual evaluation by the CFATF, scheduled for the first quarter of 2022. It is vital, too, as money laundering vulnerability levels for attorneys and accountants/auditors are generally considered high, based on AML/CFT trends globally.

    Meanwhile, Mr. Langevine said the FIU is again reminding persons to be vigilant and avoid being used to conduct transactions through money transfer agencies, on behalf of unfamiliar persons.

    The FIU continues to see such trends with the money transfer agencies.

    “The agencies have been consistent with their reporting those to us, and we have consistently been analysing and sharing with law enforcement. We have also worked closely with the reporting entities, encouraging them to ensure that wherever they expect persons to be completing transactions on behalf of third parties or where they are not consistent with that person’s financial profile, that those transactions be reported to us at the FIU or not be completed,” Mr. Langevine said.

    If completed and suspicions arise, those transactions must be reported to the FIU for investigation, as required by the AML/CFT Act.

  • Attorney General warns accountants of penalties if caught in Money Laundering

    Attorney General warns accountants of penalties if caught in Money Laundering

    ─ referred to them as ‘Gatekeepers of the financial system’

    ─ sensitisation workshop hosted for accountants and auditors on AML/CFT laws

    by Delicia Haynes

    DPI, Guyana, Saturday, May 18, 2019

    Attorney General (AG) and Minister of Legal Affairs, Basil Williams SC., earlier today highlighted penalties that Accountants and Auditors could face if they refuse to report or are to found to be involved in Money Laundering and Terrorism Financing activities.

    The Attorney General delivered brief remarks at a session hosted for sensitising the professionals on their roles and responsibility as Guyana moves swiftly towards Anti-Money Laundering/Counter Financing Terrorism (AML/CFT) compliance.

    “The consequences that come with being involved in money laundering whether willingly or not are severe with penalties such as the loss of license to practice to significant fines as much as $40M and even a prison sentence.”

    Attorney General and Minister of Legal Affairs, Basil Williams SC.
    Attorney General and Minister of Legal Affairs, Basil Williams SC.
    Member of the ICAG committee, Aaron Fraser.
    Member of the ICAG committee, Aaron Fraser.
    The gathering of Accountants and Auditors at Cara Lodge.
    The gathering of Accountants and Auditors at Cara Lodge.
    The gathering of Accountants and Auditors at Cara Lodge.
    The gathering of Accountants and Auditors at Cara Lodge.
    The gathering of Accountants and Auditors at Cara Lodge.
    The gathering of Accountants and Auditors at Cara Lodge.

    He stressed the critical role of reporting, which lies within the accounting profession.

    The Attorney General, who is also the Chairman for the National Coordinating Committee on AML/CFT, said that the accountancy sector is one set up without a supervisory body but just a regulatory agency which is the Institute of Chartered Accountants of Guyana (ICAG). The need for a supervisor, according to AG Williams, represents a gap in the AML/CFT – PF (Proliferated Financing) regime locally.

    This, he said, if not remedied or looked into, will pose a possible challenge to combatting money laundering and terrorism financing.

    “You are regarded as gatekeepers of financial systems as it can be used for purposes of facilitating or assisting illicit activities of criminals including accounting and auditing malpractices… Additionally, money launderers utilise the expertise of accountants to facilitate money laundering through various mechanisms such as transferring funds across several countries, setting up shell companies and structuring complicated transactions.”

    Member of the ICAG committee, Aaron Fraser was also in attendance and delivered brief remarks on behalf of the institute. He told the gathering of Guyana’s continued economic growth and advised on how the profession can be safeguarded from Money Laundering and Terrorism Financing activities.

    “This particular workshop is timely in that it allows us as accountants to share some of the experiences that we would have had in the past, our interpretation of some of these things. At the end of the day, it will enable us to understand what is before us, read through the lines and to really get to the bottom of what is going on.”

    Accountants and Auditors gathered at the Cara Lodge on Saturday, May 18, 2019, to learn more of how their profession can be compliant with the reporting obligations to the Financial Intelligence Unit (FIU).

    This workshop follows a similar one held on May 17 where Attorneys-at-Law were briefly engaged, and their role towards Guyana’s compliance of AML/CFT laws was highlighted.

    Images: Ameer Sattaur.