AML legislation being abused,says Nandlall

…as SOCU swoops down on city businessman

By Devina Samaroo

Another city businessman reportedly became the target for yet another of the many money laundering operations being conducted by the Special Organised Crime Unit (SOCU), which is controversially working under the auspices of the Ministry of the Presidency instead of being an independent authority like all other law enforcement bodies.

During a press conference on Wednesday, the businessman’s lawyer, Anil Nandlall told media operatives that a contingent of 12 SOCU ranks “unleashed” themselves into the businessman’s home earlier in the day, before the break of dawn, under the pretext of investigating money laundering activities.

“They raided his house; they took away all his accounting records and private confidential information…his grandchildren’s computers and iPads,” the Attorney-at-Law said.

He expounded that the SOCU ranks later “invaded” the businessman’s operations on Regent Street where they also removed documents for the investigation.

“This is a man who has never been charged for any offence,” Nandlall stated, declaring that the Anti-Money Laundering/Countering the Financing of Terrorism (AML/CFT) Act was clearly being misused and abused as he had predicted.

Political directions

Nandlall, who is also an Opposition Member of Parliament (MP), further elucidated that he could not help but presume that SOCU was taking political orders since it was operating under the remit of the Ministry of the Presidency.

“It is being used as a weapon against the people of this country,” the politician decried.

He insisted that SOCU should be immediately removed from under the Ministry of the Presidency, arguing that until this was done, he would continue to contend that the body was being given political directions.

“The Ministry of the Presidency has no business constitutionally, legally or democratically, with the business of carrying out investigations … it is not a part of the executive functions of Government,” Nandlall highlighted.

According to reports, Minister of State, Joseph Harmon had explained that the arrangement was only temporary and SOCU would soon be transferred to the Public Security Ministry.

Some Gy$40 million was budgeted for SOCU this year.

SOCU was established in 2013 as a law enforcement agency to investigate exclusively allegations and reports relating to money laundering and terrorism as part of Guyana’s international obligations to strengthen its AML/CFT apparatus. It was expected to work in tandem with the Financial Intelligence Unit (FIU) which falls under the Finance Ministry.

Opposition Chief Whip Gail Teixeira recently explained that SOCU was placed under the then Office of the President (now Ministry of the Presidency), since at the time of its establishment, the AML/CFT amendments were not passed by Parliament.

She added that after the legislation was passed in 2015, SOCU should have been removed and treated as a separate entity, similar to the FIU, and budgeted for under the Finance Ministry.

Repeal AML/CFT provision

Meanwhile, Nandlall is calling on Government to immediately make the necessary amendments to the AML/CFT Act to repeal SOCU’s authority to seize cash and jewellery worth in excess of Gy$10 million at places other than ports of entry and exit.

“We warned … (the then) Opposition not to pursue the course to insert that legislation…to give officers the power to enter into people’s home to seize and confiscate sums of money, including jewellery, exceeding Gy$10 million,” he reminded, noting that he had predicted misuse and abuse of that particular provision.

He explained that the Financial Action Task Force (FATF) only required that the condition apply to ports of entry and exit.