2011年-世界发展银行全球_Papua_New_Guinea_-_Anti-Money_Laundering_and_Combating_the_Financing_of_Terrorism___Mutual_Evaluation_Report_186页_1mb

Summary of the Mutual Evaluation Report on Papua New Guinea's AML/CFT Regime

Core Content

This report is a mutual evaluation of Papua New Guinea (PNG)'s anti-money laundering (AML) and combating the financing of terrorism (CFT) regime, conducted by the World Bank and adopted by the Asia/Pacific Group on Money Laundering (APG) on 21 July 2011. It outlines the strengths and weaknesses of PNG's legal and institutional framework, preventive measures in the financial and DNFBP sectors, and the country's capacity for national and international cooperation in AML/CFT.

Main Findings

1. Money Laundering and Terrorist Financing Risks

• PNG faces serious money laundering (ML) risks from domestic corruption, particularly misappropriation of public funds.
• The country is experiencing rapid economic growth, large-scale foreign investment, and an escalating crime rate.
• There is no clear political commitment to "follow the money" to combat corruption and other crimes.
• The legal framework for combating terrorist financing (TF) is inadequate, with unclear criminalization of fund collection and individual terrorist financing.

2. Financial Intelligence Unit (FIU)

• The FIU has minimal resources (only 3 staff) and no formal structure within the police force.
• It receives financial reporting information from banks but lacks the capacity to effectively analyze and disseminate it.
• There is a lack of trust and cooperation between agencies, which hampers the effectiveness of the AML/CFT system.

3. Implementation of AML/CFT Measures

• Basic AML/CFT measures are in place, but they are not yet enforced across all sectors.
• Only the banking sector and postal service are aware of and implementing POCA requirements.
• There is no effective supervision or compliance monitoring system for CDD obligations.
• The suspicious transaction reporting (STR) system is in place but lacks comprehensive enforcement.

4. Legal and Institutional Framework

• ML is criminalized under POCA 2005, consistent with international standards, but with inadequate coverage for human and drug trafficking.
• TF is criminalized under the Internal Security Act (ISA) 1993, but the legal framework is incomplete.
• Confiscation powers under POCA are not sufficiently used due to a lack of resources and skills for financial investigations.

5. Cross-Border Cooperation

• Cross-border currency reporting is focused on foreign exchange controls rather than AML/CFT measures.
• There is no formal mechanism for border cash reporting, limiting the FIU's ability to gather relevant data.

Key Recommendations

1. Institutional and Policy Strengthening

• Establish a policy-level inter-agency coordination mechanism to prepare a national AML/CFT strategy.
• Clarify the roles and responsibilities of supervisory authorities in enforcing AML/CFT obligations across different sectors.

2. Capacity Building

• Develop capacity for financial investigations and "follow the money" strategies, especially concerning corruption.
• Enhance the FIU's resources, including additional staff and IT capabilities, to improve its functions.

3. Legal and Regulatory Reforms

• Improve the legal framework for AML/CFT to ensure enforceable and mandatory internal control and reporting obligations.
• Strengthen the CDD requirements and tailor them to specific sectors for better effectiveness.
• Adopt a risk-based approach to AML/CFT measures, beyond the banking sector.

4. DNFBP Sector

• Ensure all designated non-financial businesses and professions (DNFBPs) are aware of and implement POCA requirements.
• Develop guidelines for DNFBPs to support compliance with CDD, record-keeping, and STR reporting.

5. Non-Profit Organizations (NPOs)

• Review the risk profile of NPOs and strengthen the legal framework for their registration and monitoring.
• Ensure transparency in the financing and expenditures of NPOs to prevent abuse for criminal purposes.

6. International Cooperation

• Implement mechanisms to comply with UNSCR 1267 and 1373.
• Strengthen mutual legal assistance (MLA) and extradition processes, especially for ML and TF cases.

Main Sections of the Report

1. General Information

• Geography: PNG is located in the South-West Pacific, with a total area of 462,840 sq km.
• Demographics: Population of ~7 million, with over 860 indigenous languages and a predominantly rural society.
• Economy: A developing country with a GDP of ~US$8.24 billion in 2008, dominated by the minerals sector and traditional agriculture.

2. Legal System and Institutional Measures

• ML and TF are criminalized under POCA 2005 and ISA 1993, respectively.
• Confiscation and freezing powers are available but underutilized.
• The FIU lacks the capacity to fulfill its statutory functions effectively.

3. Preventive Measures – Financial Institutions

• POCA sets basic AML/CFT obligations, but enforcement is limited.
• CDD and STR reporting are not effectively implemented across all financial institutions.
• There is a lack of enforceable rules and regulations for more detailed AML/CFT measures.

4. Preventive Measures – DNFBPs

• DNFBPs are not fully aware of their AML/CFT obligations.
• The FIU is working on guidelines to improve awareness and compliance.

5. Legal Persons and Arrangements & NPOs

• Information on beneficial ownership is not readily accessible due to administrative and practical issues.
• NPOs lack adequate registration and monitoring, making them vulnerable to misuse.

6. National and International Cooperation

• There is a climate of mistrust in the public sector that hampers cooperation.
• PNG is a member of regional cooperation networks but has not yet ratified key international conventions.
• MLA and extradition mechanisms are in place but require strengthening.

Conclusion

The report highlights the need for comprehensive reforms in PNG's AML/CFT system to address the risks of corruption and crime, improve the effectiveness of the FIU, and ensure consistent implementation across all sectors. It emphasizes the importance of political commitment, institutional capacity, and legal clarity in strengthening the country's AML/CFT framework.