The Role of the Money Laundering Reporting Officer and the Compliance Officer in the Cayman Islands

Download pdf

Money laundering is the process by which the proceeds of crime are channelled through the economy/financial system in a way which is intended to conceal the true origin and ownership of the proceeds of criminal activity. The Proceeds of Crime Law (Revised) (the PCL) and the supporting Anti-Money Laundering Regulations (Revised) (the Regulations) are the main pieces of legislation in the Cayman Islands aimed at combating money laundering and terrorist financing (ML/TF). Under these laws, those carrying out "relevant financial business" (referred to as financial service providers or FSPs) have to apply a risk based approach to anti-money laundering (AML)/TF compliance.

This Guide looks at the roles and responsibilities of the nominated officers of FSPs whose job it is to look out for and report suspicious activity and AML compliance officers who oversee the compliance function and ensure that adequate systems and controls are in place to comply with the Regulations.