Ukraine’s finance minister Sergii Marchenko says he has called on 37 other finance ministers of Financial Action Task Force (FATF) member states to support Kyiv’s appeal for Russia to be expelled from the FATF and included on its list of high-risk jurisdictions, often referred to as the black list.
The finance minister’s calls echo those initiated in March when the chairman of the Ukrainian parliament, Ruslan Stefanchuk, appealed directly to the FATF asking it to include Russia on its list of high-risk jurisdictions (Trade-based Financial Crime, 14 March 2022).
Violation of FATF principles
“Russia is undermining global efforts to prevent terrorism financing, proliferation of weapons of mass destruction and money laundering. And this is a gross violation of the general principles of FATF,” Marchenko wrote on Facebook.
The FATF has already described Russia’s invasion of Ukraine as a “gross violation” of standards committed to by members of the FATF and has said it will “consider what future steps are necessary to uphold these core values.” (Trade-based Financial Crime, 7 March 2022).
So far the FATF has not announced any further actions regarding Russia despite these gross violations and the finance minister suggests that Russia’s continued membership compromises FATF’s own work and objectives.
“Therefore, we call on FATF member states to support Ukraine’s initiative to ensure FATF remains a powerful tool in preventing terrorism financing and money laundering in the world” Marchenko states.
The FATF Public Statement on the Situation in Ukraine can be found here.
An English translation of Marchenko’s Facebook post can be found here.
Categories: Trade Based Financial crimes News