Iranian officials discussed ties with members of the Eurasian Group on Combating Money Laundering and Financing of Terrorism (EAG) on the sidelines of the group's meeting in Dushanbe, Tajikistan.
According to a press release published by the Economy Ministry news outlet, a MoU was signed by the head of Iran's Financial Intelligence Unit (FIU), Hadi Khani, and the head of Uzbekistan’s Department on Combating Economic Crime, Dilshod Rakhimov on Friday.
The two countries agreed to expand collaboration in implementing measures related to anti-money laundering.
"Iran is keen on cementing AML ties with friendly countries," Khani was quoted as saying.
Established in 2008, the FIU is affiliated to the Iran High Council on Anti-Money Laundering and headed by the economy minister. It has a mandate to look into potentially suspicious money transactions. IFU has signed documents with 15 countries.
Khani met with Tajikistan's finance minister and the two sides expressed interest in boosting collaboration in implementing AML/CFT measures.
Khani also called on Yury Chihanchin, Director of the EAG Federal Financial Monitoring Service, on the sidelines of the EAG Plenary Week. The two men stressed the need for implementing stringent AML/CFT measures with a focus on curbing drug trafficking.
Chihanchin, who also is chairman of EAG, praised Iran’s efforts in combating financing terrorism and money laundering saying that the EAG would submit a report on Iran's moves to the Financial Action Task Force (FATF).
The Eurasian Group on Combating Money Laundering and Financing of Terrorism is a regional body similar to the FATF. It was established in 2004 and is currently an associate member of the FATF.
Observer Status
China, Russia, Tajikistan Belarus, Kazakhstan, Kyrgyzstan, Uzbekistan Turkmenistan and India are members of the EAG. Fifteen states, including Iran, and 23 international and regional organizations have observer status.
The FATF lifted the suspension of counter-measures on Iran and called on its members and all jurisdictions to apply effective counter-measures against Tehran in February 2020.
"If Iran ratifies the Palermo and Terrorist Financing Conventions, in line with the FATF standards, the FATF will decide on next steps, including whether to suspend countermeasures.
Until Iran implements the measures required to address the deficiencies identified with respect to countering terrorism-financing in the Action Plan, the FATF will remain concerned with the terrorist financing risk emanating from Iran and the threat this poses to the international financial system," the international watchdog said.
In 2016 Iran established a cash declaration regime, enacted amendments to its Counter-Terrorist Financing Act and its Anti-Money Laundering Act, and adopted an AML by-law.
"Given Iran’s failure to enact the Palermo and Terrorist Financing Conventions in line with FATF Standards, the FATF fully lifts the suspension of counter-measures and calls on its members and urges all jurisdictions to apply effective counter-measures, in line with Recommendation 19," a statement on the FATF website said.
