What is considered a financial crime?

FINANCIAL crimes can be divided into two categories. The first category is an entity generating financial benefits for themselves or others through deceptive or illicit practises. This can include a business employee using privileged information to misappropriate some of the company’s funds for their own use.

The second category is an entity committing a crime that sets them up to commit another crime where they illegitimately gain a financial advantage or protect their financial benefits through dishonest or illegal methods. The most recognisable form of the latter is money laundering: Putting the income of crime through a series of transactions to make them appear as if they came from a genuine source.

Another example is people using shell corporations to store their money, concealing who owns it and therefore helping them avoid paying taxes on it. The financing of terrorism involves the use of funds to support terrorist activities.

It is important to combat these crimes in order to protect the integrity of the global financial system and to ensure that criminals and terrorists do not have access to the funds they need to carry out their activities.

The guidelines are for the following sectors: Accountants

Casinos and gaming house

Dealers in previous metals stones Dealings in building hardware

Legal professional Motor vehicle dealers

Real estate agencies These guidelines can be sourced from the EFIU website at www. sfiu.org. Sectors are to view the draft of the guidelines and make comments before February 29, 2024. Written comments should be emailed to Enquiries@ sfui.org.sz.