Saturday, 31 October 2020

Costa Rica Weak Against Money Laundering and Terrorism, Report

colones10000QCOSTARICA – A real estate broker, construction company, casino, or a lawyer in Costa Rica may be among targets by extremist financial groups, making the country weak, allowing networks to launder money from organized crime.

That is the opinion of the Financial Action Task Force of Latin America (GAFILAT), a regionally based inter governmental organization created in 2000 and which Costa Rica became a member in 2010, to combat money laundering and terrorist financing.

In July, the group made an assessment of compliance with 40 recommendations for governments to strengthen their anti-money laundering and anti-terrorist structure.

- Advertisement -

In the 169 page report, “Mutual Evaluation Report of the Republic of Costa Rica“, the GAFILAT, based in Argentina, concludes that Costa Rica has no mechanism of penalties to punish the financing of terrorist groups.

One of the main weaknesses of the country is that it does not yet consider a crime the financing of these organizations, nor does it have authorities (agencies) to regulate casinos, both physical and online, to prevent the flow of illicit money.

For the GAFILAT, at the date of the assessment, there was no awareness by Costa Rican authorities of the risk, as a country, for that flow of money for terrorism.

Guillermo Araya, director of the Costa Rican Drug Institute (Instituto Costarricense sobre Drogas – ICD) warns that if the country does not comply with the recommendations on legal reforms and strengthen legal enforcement, it could be “gray listed”, that is “uncooperative” in the fight against terrorism.

- Advertisement -

Araya added that reforms to penalize financing of terrorist organizations have been prepared, however, the draft is still in the hands of the Executive Branch (Casa Presidencial), awaiting being sent to legislators.

María Isabel Cortés, executive director of the Costa Rican Banking Association (Asociación Bancaria Costarricense – ABC), expressed concern about the possible inclusion of the country in the gray list. That would bring negative effects, mainly in the domestic capital flow out and foreign money to Costa Rica, she said.

The GAFILAT warns the country lacks access to information on companies and trusts is a problem it needs to tackle.

The members of GAFILAT include: Argentina, Bolivia, Brazil, Chile, Colombia, Costa Rica, Cuba, Ecuador, Guatemala, Honduras, Mexico, Nicaragua, Panama, Paraguay, Peru, and Uruguay. Observer countries and organizations include: BID, Canada, Germany, INTERPOL, United States, and the World Bank. Click here for complete list.

- Advertisement -
Ricohttp://www.theqmedia.com
"Rico" is the crazy mind behind the Q media websites, a series of online magazines where everything is Q! In these times of new normal, stay at home. Stay safe. Stay healthy.

Related Articles

Security resumed mega-operations this Saturday

QCOSTARICA - This Saturday, October 24, the Ministry of Public Security...

Mexican pilots will spend 20 years locked up in Costa Rica for money laundering

Two Mexican pilots, identified as Luis Eduardo Gómez Mendoza and...

MOST READ

Security resumed mega-operations this Saturday

QCOSTARICA - This Saturday, October 24, the Ministry of Public Security (MSP) resumed mega-operations throughout the country. On Saturday night, the Fuerza Publica (national police),...

With the dollar rising, should I transfer my loan or my savings from the currency?

QCOSTARICA - The change in the exchange rate of the dollar against the colon is an aspect that causes many concerns and nervousness, not...

Reduction of working hours for private sector would be extended for six more months

QCOSTARICA - With the objective of avoiding massive layoffs and more labor lawsuits, private sector workers who are working only part-time today due to...

Mandatorry vehicle insurance (SOA) will drop 6.1% on average

QCOSTARICA - The mandatory vehicle insurance - Seguro Obligatorio de los Vehículos (SOA), one of the components that are part of the Marchamo, will...

Rescate Nacional withdraws threat of blockades

QCOSTARICA - The Rescate Nacional (National Rescue) group led by Célimo Guido will formally join the multisectoral dialogue promoted by President Carlos Alvarado. The announcement...

Phenomenon in the Caribbean is already a cyclone, it will have an indirect impact on the Tico Pacific

QCOSTARICA - The U.S. National Hurricane Center confirmed shortly after 2 pm Saturday that the disturbance associated with a tropical wave in the Caribbean...

Let's Keep This Going!

To be updated with all the latest news and information about Costa Rica and Latin America.

Log In

Forgot password?

Forgot password?

Enter your account data and we will send you a link to reset your password.

Your password reset link appears to be invalid or expired.

Log in

Privacy Policy

Add to Collection

No Collections

Here you'll find all collections you've created before.