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CMDA conducts Anti Money Laundering Awareness Program
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The Capital Market Development Authority (CMDA) has conducted an Anti Money Laundering Awareness Program with the assistance of Asia Pacific Group, according to a statement issued by CMDA.
According to CMDA the program was designed to share international standards on anti money laundering practices with CMDA staff and licensed market intermediaries, which include Maldives Stock Exchange and brokers and dealers.
The program featured issues such as intensive customer identification, monitoring for suspicious activity, examining securities market participants for anti money laundering compliance, best practices for coordination between regulators and law enforcement authorities. The program also covered, tracing and restraining proceeds of funds and appropriate penalties for AML violations in other markets.
The CMDA has two key interests in anti money laundering efforts. Firstly CMDA is responsible for ensuring that industry participants comply with anti money laundering obligations through the enforcement activities. The licensing conditions for market intermediaries prohibit them to undertake anti money laundering activities. The Securities (general) Regulations which governs the investigatory powers of the CMDA facilitates and gives powers to the CMDA to conduct investigations of market intermediaries and also assist in investigations undertaken by foreign securities market regulators or other relevant authorities.
Securities fraud is one of the predictable offenses related to money laundering. As the countries capital market develops, there will be an increased law enforcement focus on those who facilitate illegal proceeds and use the securities market to perpetrate fraud or combat other offenses using the securities market as a means to launder the proceeds of crime.
CMDA has applied to become a member of IOSCO. Through this relationship CMDA would join regulators and law enforcement authorities around the world to recognize and report suspicious activity and access and share quality financial intelligence on a real time basis.
CMDA is seeking donor agencies that can assist the authority to develop anti money laundering supervision policies and procedures for licensed intermediaries and capacity building.
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