Day: January 14, 2020

The New York Post on 14 January carried a report claiming that a disgraced banker involved in one of China’s biggest financial-corruption cases drove around with a trunk full of cash bribes that he later stashed in an apartment he called “the supermarket”.  He was Lai Xiaomin, the former chairman of distressed-debt investor China Huarong Asset Management.  More than $29 million was eventually discovered by authorities.  Lai was arrested in November 2018 and has been accused of taking more than nearly $232 million, in bribes, according to news reports, through his positions as an ex-Communist Party chief and head of Huarong.

https://nypost.com/2020/01/14/chinese-banker-stashed-cash-bribes-at-pad-he-called-supermarket/

On 14 January, OFAC announced that a Chinese entity, BEIJING SUKBAKSO of Beijing, and KOREA NAMGANG TRADING CORPORATION (aka. DPRK NAMGANG TRADING COMPANY) had been added to its sanctions lists.  The designations are said to relate to North Korea’s continued supply of illicit labour to overseas markets, something which is now banned under UN sanctions.  The Chinese entity is described as a “China-based North Korean lodging facility” that handles at least a portion of the travel and logistics for the North Korean company’s personnel working overseas.

https://www.treasury.gov/resource-center/sanctions/OFAC-Enforcement/Pages/20200114.aspx

https://home.treasury.gov/news/press-releases/sm874

On 13 January, Accountancy Daily reported that HMRC has published outline guidance on the changes to AML/CFT regulations, which have been extended to cover lettings agents and art dealers from mid-January, with more detailed information set to follow.  The Money Laundering and Terrorist Financing (amendment) Regulations 2019 came into force on 10 January, updating existing regulations, and implementing elements of the 5^th EU AML Directive.  HMRC says it will take into account the short lead-in time businesses have had to implement all the new requirements in assessing the response to any non-compliance.

https://www.accountancydaily.co/hmrc-rushes-out-guidance-new-aml-regulations

The HMRC guidance is at –

https://www.gov.uk/government/publications/money-laundering-and-terrorist-financing-amendment-regulations-2019/money-laundering-and-terrorist-financing-amendment-regulations-2019

An article from Out-Law on 13 January was concerned with new guidance issued by the Gambling Commission and says that operators have been urged to review and update their AML/CFT policies, procedures and controls.  Although aimed at casinos, it is said that the guidance holds lessons for all gambling operators.

https://www.pinsentmasons.com/out-law/news/aml-guide-issued-for-gambling-operators

The guidance is at –

http://www.gamblingcommission.gov.uk/PDF/AML/Prevention-of-Money-Laundering-and-Combating-the-Financing-of-Terrorism-5th-Edition.pdf