Muscat: The Capital Market Authority has focused its anti-money laundering and combating financing terrorism efforts by putting in place legislative and regulatory processes to protect the capital market and insurance institutions from such criminal transactions as part of national efforts under the umbrella of National Committee for Combating Money Laundering and Financing Terrorism.
Majed Mohammed Al Kiyoumi, Director of the Anti-Money Laundering and Combating Financing Terrorism Department, said the CMA has taken a number of steps in this regard pursuant to Royal Decree No. 30/2016 (Anti-Money Laundering and Combating Financing Terrorism Law). It directed all regulated entities to apply electronic payment methods and circulating reporting forms for suspected transactions issued by the National Centre for Financial Information. The Department also circulated the key observations noted and the defects detected during audit and examination.
Al Kiyoumi added that the CMA is aware that the first line of defence is the dissemination of awareness among the compliance officers of the companies.
For this purpose, it organised eight workshops on risk-based approach, enhanced diligence, suspected transactions and reporting methods in addition to a workshop on the Anti-Money Laundering and Combating Financing Terrorism Law, targeted financial sanctions, cross border customers, financial payments as well as using social media platforms to spread awareness on such crimes and their economic and social impact.
Al Kiyoumi added that the Department analysed the data related to 81 companies and prepared a risk matrix to identify the companies exposed to high risk and developed an audit and examination plan based on the outcome of the analysis. A comprehensive audit was carried out for 13 companies, thematic audit for four companies and meetings were held with 8 companies and compliance orders issued for 9 companies after the conclusion of the audit and examination process.
It may be noted that countries and governments exert efforts to curb this crime due to its impact on national economic policies and the financial institutions and the GDP, the stock exchanges which, otherwise, caused their collapse and escape of foreign capital to overseas banks.
Such crimes also deplete the budgets of governments and expose them to international sanctions.
