Business Day - Business Law and Tax Review - - BUSINESS LAW & TAX REVIEW -

money trans­fers. How­ever, a num­ber of na­tional and global ef­forts have stag­nated pri­mar­ily be­cause there were in­suf­fi­cient re­sources to ad­dress de­fi­cien­cies in a num­ber of coun­tries. There were in­ad­e­quate sys­tems for ob­tain­ing in­for­ma­tion on cus­tomer iden­tity, re­port­ing sus­pi­cious trans­ac­tions, and con­fis­cat­ing ter­ror­ist as­sets. Uganda is no dif­fer­ent, or per­haps worse.

If the gov­ern­ment can fail to raise money to run its own or­gans like the ju­di­ciary, it is not far­fetched to think that the FIA will suf­fer the same fate. The IMF and World Bank have helped coun­tries to ad­dress th­ese prob­lems through an am­bi­tious pro­gramme of tech­ni­cal as­sis­tance. But such acts of gen­eros­ity lack sus­tain­abil­ity in the long run.

The act raises an­other in­trigu­ing prob­lem. As noted ear­lier, ad­vo­cates are also accountable per­sons. They are ob­li­gated to re­port any sus­pi­cious trans­ac­tions in which they en­gage. The prob­lem is, as con­trols have been tight­ened in the for­mal fi­nan­cial sys­tem, the at­tor­ney-client priv­i­lege has made lawyers a par­tic­u­larly at­trac­tive means for dis­guis­ing the money trail. Af­ter all, isn’t this priv­i­lege just an­other form of se­crecy, which can clev­erly sub­sti­tute for bank se­crecy to im­prop-

The chal­lenge … has been the fail­ure to move from re­ac­tive re­sponses to past prob­lems to proac­tive re­sponses to meet fu­ture needs


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