Proliferation Financing

PROLIFERATION OF WEAPONS OF MASS DESTRUCTION

According to FATF definition, "proliferation of weapons of mass destruction" consists in manufacturing, acquiring, possessing, developing, transporting, transferring or using nuclear, chemical or biological weapons and their means of delivery and related materiels, in violation of national laws or international obligations assumed.

Proliferation also includes technology, software, services or skills which can be used for both civil and military applications, as well “dual-use goods".

 

PROLIFERATION FINANCING

Proliferation financing is the act of providing funds or financial services which are used, in whole or in part, for the development of proliferation.

Support could also be provided through professional services, especially those related to the corporate sector, for example for the establishment of shell companies that could be used to facilitate financial transactions or commercial transactions aimed at financing the proliferation of weapons of mass destruction.

Moreover, in recent years it has emerged that proliferation financing has widespread ramifications worldwide and represents a significant risk and threat even within the economic systems of the European area, where San Marino has its main financial partners.

For these reasons it is essential that San Marino obliged entities adopt policies, procedures and controls to mitigate such threats and that professionals are also aware of the risks to which they could potentially be exposed.

 

PROLIFERATION OF WEAPONS OF MASS DESTRUCTION AND TERRORISM

Proliferation of weapons of mass destruction poses a significant threat to global security. In fact, in the absence of adequate safeguards, proliferation-sensitive goods, technology, services and skills necessary for the manufacture of weapons can easily become accessible to unauthorized persons and entities who intend to use them for terrorist purposes.

Therefore, the Financial Information Agency, in its capacity as Financial Intelligence Unit and authority responsible for supervision and enforcement of regulation in ML,FT,PF matters, according to the Law of 17 June 2008, no. 92, believes it is very important to raise awareness on this threat, also in order to prevent and combat terrorist financing.