Measures taken for the non-profit sector against money laundering and terrorism financing

The Financial Intelligence Agency (FIA) has dedicated this section to inform the non-profit sector (Associations, Foundations and other entities) on the risk of this being used for illicit purposes, particularly for transactions related to Money Laundering or financing of terrorism.

In this regard, reference should be made to the Recommendation 8* of the Group of International Financial Action (FATF) and its interpretative note, as well as to a document called “Best Practice Paper”, which invite States to adopt legislative, regulatory and supervision aimed at safeguarding the non-profit sector from possible illegal abuses.

 

Since 2002, the FATF has produced numerous documents showing the risk of Money Laundering and terrorist financing in relation to non-profit sector including:

a) Best Practices on Combating the Abuse of  Non-Profit Organisations 2015

b) Typologies report on the Risk of Terrorist Abuse in Non-Profit Organisations 2014

c) FATF Terrorism Financing Report 2008;

d) FATF Freezing of Terrorist Assets: International Best Practices 2009;

e) FATF Report on Money Laundering Typologies 2003-2004 (Section II);

f) FATF Report on Money Laundering Typologies 2000-2001 (Section I).

FIA has translated in italian language the content of Raccomandazione 8 and its Interpretative Note to facilitate the understanding of such documents.

In the Republic of San Marino the following measures are currently in force:

- For Associations, the Law of 16 June 2016 no. 75

- For the Foundations the Law of 1 July 2015 n. 101

 

These measures correspond to specific obligations:

- obligations for associations

- obligations for the Foundations

___________________

AIF collaborates with the Council of XII and the Supervisory Judge on the basis of a memorandum of understanding signed on September 14, 2009, then updated on September 15, 2010.

In past years, the Office of Institutional Secretariat, together with AIF, has promoted a campaign to raise awareness by organizing meetings attended by various representatives of the sector.