FCC Act: The Bank of Mauritius is revising its Guidelines on AML/CFT 

The Bank of Mauritius held a presentation on the Financial Crimes Commission, last Friday, with its stakeholders. The Second Deputy Governor of the Bank of Mauritius emphasised the need for licensees to understand and adapt to the changes introduced by the FCC Act. Here are the highlights of the presentation.

The Bank of Mauritius held a presentation on the Financial Crimes Commission Act last Friday. The FCC Act, which came into operation on 29 March 2024, establishes the Financial Crimes Commission as the apex agency in Mauritius responsible for detecting, investigating, and prosecuting financial crimes. These crimes include corruption, money laundering, fraud, the financing of drug dealing, and other related offences.

In her welcoming remarks, Hemlata Sadhna Sewraj Gopal, Second Deputy Governor of the Bank of Mauritius, emphasised the need for licensees to understand and adapt to these changes to ensure compliance. She highlighted the critical importance of the FCC Act in the nation’s fight against financial crimes. “It is extremely important for our licensees to fully appreciate these changes to enable them to review and adapt their existing policies and procedures,” she stated.

The Bank of Mauritius is indeed revising its Guidelines on AML/CFT (Anti-Money Laundering/Combating the Financing of Terrorism) to reflect the changes brought by the FCC Act, and is actively engaging with the industry in this respect. 

It is extremely important for our licensees to fully appreciate these changes to enable them to review and adapt their existing policies and procedures

The event also highlighted the importance of partnership between the public and private sectors in combating financial crimes. Quoting Min Zhu, Deputy Managing Director of the IMF, the Second Deputy Governor said, “Money laundering and the financing of terrorism are financial crimes with economic effects. They can threaten the stability of a country’s financial sector or its external stability more generally”. This statement echoed the IMF’s 2023 Review of the Fund’s Anti-Money Laundering and Combating the Financing of Terrorism Strategy, which stresses the ongoing threat posed by financial integrity issues to financial sectors and broader economies globally.

The World Economic Forum, in collaboration with the Stolen Asset Recovery Initiative, has also recognised the critical role of gatekeepers in combating illicit financial flows. Their framework – The Role and Responsibilities of Gatekeepers in the Fight against Illicit Financial Flows: A Unifying Framework – emphasises integrity, transparency, and accountability. Mrs. Gopal affirmed that the five recommended practices from this framework are already being adhered to by Mauritian licensees, and are enforced through regular examinations and inspections by regulators.

She also reaffirmed the Bank of Mauritius’s dedication to the AML/CFT agenda. “We are committed to maintaining the effectiveness and sustainability of progress achieved in the Banking Sector on the AML/CFT front,” she stated. The Bank of Mauritius plans to continue its collaboration with the FCC, other competent authorities, and the private sector to collectively hamper the growth of financial crime in Mauritius and promote the integrity of the financial sector.

The event, hosted at the Bank of Mauritius itself, saw distinguished guests, including Dr. Navin Beekarry, Director General of the Financial Crimes Commission, and Mardayah Kona Yerukunondu, First Deputy Governor of the Bank of Mauritius and Chairman of the Financial Services Commission.