FATF Annual Report 1993-1994

The fifth round of the Financial Action Task Force was chaired by the United Kingdom.  This Plenary year focused on three priorities: 

1. monitoring the implementation of the forty Recommendations of 1990 by its members; 
2. monitoring developments in money laundering methods and examining appropriate refinements to counter-measures; and
3. carrying out an active external relations programme to promote the widest possible international action against money laundering.

In addition, a major task conducted in 1993-1994 by the FATF was the review of its future mission and programme. It was decided that the FATF should be maintained for a further five years. While the laundering of drug money will remain a principal focus for the FATF, its work will continue to cover money laundering of the proceeds of serious crimes and/or offences which generate significant funds. Over the next five years the Task Force will concentrate on three main areas: further monitoring of members’ progress in countering money laundering; the review of money laundering techniques and counter-measures; and external relations, in order to promote world-wide action against money laundering.

As in previous rounds, the Task Force devoted a considerable part of its work to the monitoring of members’ implementation of the forty Recommendations on the basis of the self-assessment and mutual evaluation procedures. The 1993-1994 self-assessment exercise showed that members had continued to make significant progress in implementing the legal and financial Recommendations. In particular, almost all members have now enacted laws to make drug money laundering a criminal offence. In parallel, all member governments permit their banks to report suspicious transactions to the competent authorities and, in nineteen member jurisdictions, the banks are required to do so.

At its 7-8 June meeting, the OECD Council at Ministerial Level endorsed the decision of the FATF to extend its work for a further five years, emphasising the importance of continued world-wide action against money laundering. During the 1994-1995 round, FATF-VI will be chaired by the Kingdom of the Netherlands.

FATF Annual Report 1993-1994