In-depth review mechanism to prioritise the tracing, seizure and confiscation of cross-border criminal assets

On 13 September 2022, the Financial Action Task Force (FATF) and INTERPOL launched a joint initiative on recovering assets from money laundering crimes, marking a turning point in global asset recovery efforts.

While asset recovery is becoming a major obstacle in countries’ approaches to combating money laundering, terrorist financing and proliferation financing, according to the latest published figures only 1% of illicit proceeds is recovered, as estimated by the United Nations Office on Drugs and Crime. Criminal assets are often moved abroad and transferred through multiple countries, making the asset recovery process difficult and requiring long-term international cooperation.

The first FATF–INTERPOL Roundtable Engagement (FIRE) brought together more than 150 senior experts, who agreed on the following urgent measures:

• Promoting national policies and priority actions for tracing, seizing and confiscating criminal assets.
• Strengthening operational cooperation at the national, regional and international levels.
• Enhancing information sharing between competent national authorities and private sector entities.

In line with the overall aim of consolidating and mobilising global expertise, the conference on 12–13 September saw wide participation by law enforcement experts, financial intelligence units, asset recovery agencies, prosecutors, legislators, international organisations and private sector business owners.

Opening the event, Mr K Shanmugam, Minister for Home Affairs and Minister for Law of Singapore, stressed the important role of INTERPOL and the FATF in the global fight against transnational crime, money laundering and terrorist financing. Minister Shanmugam reaffirmed Singapore’s commitment to continue contributing to the important work of the FATF and INTERPOL. He also highlighted how strong international cooperation and robust public-private partnerships can deliver better results in asset recovery.

“Raising the shared vision and priority of asset recovery at the national level gives a voice to all stakeholders and sends a clear signal that we are taking action to cripple organised criminal groups, better protect society and contribute to sustainable economic growth. By galvanising global efforts, this year’s joint FATF–INTERPOL initiative can bring about a lasting change in the way we trace criminal proceeds,” said FATF President T. Raja Kumar.

INTERPOL Secretary General Jürgen Stock said: “The sheer scale of illicit profits and the speed at which billions are moving across borders is deeply alarming. Organised crime groups are undermining the global financial system and causing great damage to businesses and individuals. We must do much more today. By setting the ambition of pursuing strong solutions and acting together, we will bring these criminal cases to light and return the proceeds to the legitimate economy.”

Participants agreed that a stronger understanding of global money laundering, especially on the Internet, is central to efforts to combat money laundering.

Delegates welcomed the joint FATF–INTERPOL initiative to strengthen the international law enforcement and judicial networks working on asset recovery and the tools available, including the pilot of INTERPOL’s global stop-payment mechanism, the Anti-Money Laundering Rapid Response Protocol (ARRP). The conference also agreed on the need to strengthen the FATF standards so that countries are better equipped to act effectively at every stage of the asset recovery process.

Through a series of plenary sessions and workshops, the experts examined the strategic and operational changes needed at the national and international levels to advance asset recovery. These changes concern the mindset and culture of law enforcement, international networks and tools, and the strengthening of legislation and global anti-money laundering standards.

Centre 81 - Huy Hiep