The Central Bank (CBCG) called on all financial institutions to be cautious in the current situation regarding the recognition of money laundering and terrorist financing techniques, which could change due to the economic downturn.
The CBCG called on all financial institutions to update their risk assessments of money laundering and terrorist financing accordingly, as necessary.
"We call on financial institutions to continue to take measures to monitor the business relationship of clients, including transaction control and monitoring of sources of funds with which clients do business, and to pay special attention to unusual or suspicious patterns in the behavior and financial flows of clients," the CCBG statement states.
According to the CBCG, credit and other financial institutions should especially take measures that affect risk, in order to determine the legitimate origin of unexpected financial flows, originating from clients in sectors that are known to have been affected by the economic crisis and measures mitigation of COVID-19.
"Examples of such clients include companies in the retail sector where the use of cash is highly prevalent, then firms involved in international trade and any type of business in sectors facing an economic downturn that have maintained a similar volume of financial flows in the absence of real economic activities", explained the CBCG.
The Supreme Monetary Institution called on all financial institutions to continue reporting suspicious transactions to the competent Department for the Prevention of Money Laundering and Terrorism Financing of the Police Directorate.
CBCG reminded credit and other financial institutions that it is still very important to develop and maintain effective systems and controls, in order to ensure that the financial system is not abused for the purpose of money laundering or terrorist financing.
The CBCG stated that at a time when the whole world is facing problems caused by the coronavirus pandemic, one can recognize the intention of abusing the situation and the system, especially financial ones, from those who carry out illegal activities.
"According to the above, it is necessary to pay extra attention to the recognition and management of the risk of money laundering and terrorist financing in order to reduce it," said the CBCG.
They concluded that crime is highly adaptable and that new money laundering techniques and channels are expected to emerge.
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