The Tribune

ATTORNEY General Allyson Maynard-Gibson praised the “sterling” performance of local compliance officers and money laundering watchdogs during challenging financial times.

Speaking at the opening of the 11th annual Bahamas Association of Compliance Officers (BACO) Money Laundering Reporting Officer Day 2012, Mrs Maynard-Gibson said: “I am indeed pleased to congratulate you all for the tremendous standards that you are upholding and continue to set.

“Indeed, the government of the Bahamas is pleased to acknowledge the sterling work of BACO over the past 13 years.

“You have proven yourselves to be dedicated professionals who make a significant contribution in ensuring that institutions doing business in the Bahamas are in compliance with the laws of the Bahamas and, as professionals, you are firm in your resolve to perform well and to communicate our AML (anti-money laundering) and CFT (counter-terrorism financing) positions.”

Mrs Maynard Gibson said government particularly recognises and appreciates the role of BACO in strengthening the reputation of the Bahamas as a blue chip, well regulated jurisdiction.

“Please do not underestimate the importance of your continuing education efforts in and outside of your profession.

“As we are all aware, training in AML detection and prevention is now statutorily mandated for all financial institutions. This obligation is due in part to the reputational risks which the jurisdiction faces from potential money laundering abuses, over and above the primary business considerations.”

She said proper training facilitates the creation of a competitive advantage and introduces safeguards against risk to reputation and other business risks for financial institutions.

Adequate budgetary provisions must be made for training programmes, including meeting the need for ongoing training as is statutorily required, the attorney general said.

“Providing minimal training for employees has been likened to giving a brand new sports car to an inexperienced driver. It is dangerous for the driver and others who use the streets,” she said.

Mrs Maynard-Gibson said the money laundering reporting officer (MLRO) is one of the most important officials in any organisation.

She said: “The MLRO function is tied to that of the compliance function, in that the role of the MLRO is critical to achieving effective compliance.

“In the Bahamas the compliance officer is expected to be of a sufficient seniority so as to command the respect of the board of directors.

“In the UK and other nations with similar legislation, it remains the requirement for the compliance officer to have direct and unrestricted access at all times to the board or the committee of the board. “This view is also supported by the Basel Committee’s consultative paper on the compliance function in banks.

“I would welcome the opportunity to assist you in your move towards implementation of this status across the board in the Bahamas, and in the needed training and retraining of Bahamians in this area, so critical to the second pillar of our economy.”

Mrs Maynard-Gibson said she wanted to publicly to acknowledge and compliment BACO for its professionalism and commitment to the highest standards of conduct.

She said: “BACO has from day one made it a top priority to enhance the integrity of the second pillar of the Bahamian economy.

“BACO is highly regarded as a leader and pacesetter in the region by sister compliance associations and governments.

“It is also recognised regionally that your association is an organisation that is innovative, action-oriented, efficient and effective.”