St. Lucia

New Documents

The Bank for International Settlements’ Innovation Hub published its work program for the 2021-22 fiscal year, highlighting central bank digital currencies, cybersecurity, and other areas of focus.

The United Kingdom’s Prudential Regulation Authority published Policy Statement 1/21 to make minor consequential amendments to the Notification Form and other updates to Senior Managers and Certification Regime Form L.

News

Enforcement Actions

Luxembourg’s Commission de Surveillance du Secteur Financier issued a €45,000 fine against the Grevenmacher, Luxembourg-based investment fund manager after an on-site inspection identified isolated anti-money laundering and counterterrorist financing compliance failures.

The U.S. Justice Department entered into a deferred prosecution agreement with the Indonesia-based global supplier of cigarette paper products to resolve charges that the company conspired to commit bank fraud in connection with the shipment of products to North Korean customers.


Key Documents

Important Facts

  • The U.S. State Department identifies St. Lucia as a major money laundering jurisdiction. Although St. Lucia’s expanding citizenship by investment programs and international businesses raise concerns regarding its potential to enable corruption, the jurisdiction has adopted new amendments that limit such risks, by for example, limiting tax exemptions for investment firms that are considered residents of the jurisdiction and requiring better information sharing programs. The amended legislation also requires resident entities to maintain a register of beneficial owners. Despite these amendments, the jurisdiction's geographic location and porous borders increase its risks of money laundering  of drug trafficking proceeds. Money laundering most commonly occurs through structured deposits, currency exchanges, cash real estate transactions, jewelry dealers, legal services, and nonprofit organizations.
Source: 2020 International Narcotics Control Strategy Report (INCSR)  

Rankings

FATF i

Technical Effectiveness
Compliant : 0 High :
Largely Compliant : 3 Substantial :
Partially Compliant : 14 Moderate :
Non-Compliant : 31 Low :
Not-Applicable : 1

BASEL i

Rank : 113/141
Score : 4.25/10

TRANSPARENCY INTERNATIONAL i

Rank : 48/180
Score : 55/100

Tax Justice Network i

Rank : 132/133
Score : 71/100