The always excellent European Sanctions Blog on 5th September included a post asking this question. It says that in a High Court case in London AIG Europe Ltd has argued that it cannot pay $584,000 in reinsurance cover to the Jordan Insurance Company for money said to have been stolen in 2013 from a Syrian bank (International Bank for Trade and Finance Ltd), because that payment would breach US sanctions on Syria.
On 4th September, ICAEW reported that a Chartered Institute of Public Finance and Accountancy (CIPFA) survey found that 57% of the 487 accountants surveyed had felt pressured to act unethically, but only 8% say they have fully carried out an unethical action. The most common actions professionals have felt pressured to carried out were supporting excessively optimistic budgets and business cases, dodging policies, standing orders and other regulations, and unreasonably downplaying risks.
On 6th September, the Cyprus Mail reported that a Council of Europe GRECO report on corruption took Cyprus to task for fully implementing only 2 of its 16 recommendations concerning MPs, judges and prosecutors. It said that only 2 recommendations had been “fully implemented”, 8 had been partly implemented and all were “in progress”, with some more advanced than others. The latest report is part of an ongoing investigation and Cyprus now has another chance to improve its record.
The British International Freight Association on 6th September reported the reappearance of an old scam. The fraudsters get details from Statements of Affairs/Lists of Creditors filed at Companies House and then contact the mark suggesting that due to a supposed breach of certain sections of the Insolvency Act 1986, as a creditor he/she can pursue the directors personally. This, it says, is nonsense – the only person who can take any action (an extremely rare course) against the directors is the liquidator. The fraudsters suggest that they have ‘game changing’ information and the only cost involved is a registration fee, saying that if they do not recover your money with 120 days the fee would be refunded.
This Methodology was published by the EU Commission on 22nd June. Under Article 9 of Directive (EU) 2015/849 (the 4th Anti-Money Laundering Directive), the Commission is required identify high-risk third countries through the adoption of delegated acts. The Directive – as amended by Directive (EU) 2018/843 (the 5th Anti-Money Laundering Directive) establishes the scope and the legal requirements to be fulfilled and which are developed in the methodology. The Methodology provides a methodological approach for identifying third country jurisdictions which have strategic deficiencies in their AML/CFT regimes (“high-risk third countries”).