Edward F. X. Gilbride, Counsel Federal Deposit Insurance Corporation East and Southern Africa Banking Supervisors Group (ESAF) Head of Supervision IMF/World Bank Workshop Presentation on the Global Anti-Money Laundering Efforts of the Financial Action Task Force Edward F. X. Gilbride, Counsel Federal Deposit Insurance Corporation Financial Crimes Unit June 27, 2001

Financial Action Task Force Background/ 1989-Present 40 Recommendations Mutual Evaluations Regional Bodies (CFATF, APG, etc.) Egmont Group/Financial Intelligence Units Non-Cooperating Countries and Territories

Global Anti-Money Laundering Efforts/Financial Action Task Force (FATF) Background Established by G-7 in 1989 Issued 40 Recommendations Report in 1990 Membership Ongoing Plenary Meetings and Evaluations Money Laundering Typologies Reports Updates in 1996/Ongoing Work Web Site: www.oecd.org/fatf

40 Recommendations/Basic Obligations Global Anti-Money Laundering Efforts/Financial Action Task Force (FATF) 40 Recommendations/Basic Obligations Make Money Laundering a Crime Know your customer Report Suspicious Activities Adequate Supervision of Institutions International Cooperation

Evaluations/Monitoring Implementation of 40 Recommendations Global Anti-Money Laundering Efforts/Financial Action Task Force (FATF) Evaluations/Monitoring Implementation of 40 Recommendations Self Evaluation by Member Country (yearly) Mutual Evaluations (two rounds completed) Review of 40 recommendations currently underway

Regional Bodies (CFATF, APG, etc.) Global Anti-Money Laundering Efforts/Financial Action Task Force (FATF) Regional Bodies (CFATF, APG, etc.) Regional Coordination Typologies Exercises Development of the Eastern and Southern Africa Anti-Money Laundering Group Creation of a regional group in Central Africa

Global Anti-Money Laundering Efforts/Financial Action Task Force (FATF) Egmont Group/Financial Intelligence Units (FIUs) Maintain Suspicious Activities Databases Receive, Analyze and Disseminate Financial Disclosure Information /Share with other FIUs 53 Countries with FIUs Procedure for Establishing FIUs

Global Anti-Money Laundering Efforts/Financial Action Task Force (FATF) Non-Cooperating Countries and Territories Project 25 Criteria Areas: (a: Loopholes in financial regulations; b: Obstacles raised by other regulatory requirements; c: Obstacles to International Cooperation; d: Resources) ID Countries with Serious Deficiencies Ongoing Monitoring and Countermeasures

IMF/World Bank-FATF Developments on Money Laundering Meetings with FATF Recognition of FATF 40 Recommendations as an International Standard Policy Paper: “Enhancing Contributions to Combating Money Laundering” Next Steps

Time for Questions, Comments and Discussion: Contact Information: Edward F.X. Gilbride Counsel, Legal Division, Financial Crimes Unit, Federal Deposit Insurance Corporation, 550 17th Street. NW, Washington, DC 20429 Phone: 202.736.0596 Email: egilbride@fdic.gov