The Financial Action Task Force (FATF), an intergovernmental organisation that sets standards and promotes measures for combating money laundering and terrorist financing (AML/CFT), has suspended, for 12-months, its requirement that member states impose counter-measures on Iran for strategic deficiencies in its AML/CFT regime. In its press release, the FATF welcomed Iran’s adoption of and commitment to an Action Plan to address the deficiencies in its AML/CFT regime, and stated that it will re-impose the counter-measures if Iran has not demonstrated sufficient progress towards implementing the Action Plan after 12 months. It particularly urged Iran to improve deficiencies in relation to terrorist financing.
Iran currently lacks experience implementing and operating a robust AML/CFT regime, and so may require technical assistance to do so. Currently, the provision of technical assistance to Iran in this area is prohibited by the US, but it is possible that the US may licence it on a case-by-case basis, or by way of a general licence, in order to help Iran comply with global financial standards.
Maya Lester QC is a senior barrister (Queen’s Counsel) at Brick Court Chambers with a wide-ranging practice in public law, European law, competition law, international law, human rights & civil liberties. She has a particular expertise in sanctions. The legal directories say she is the...See profile for Maya Lester QC >