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Action to prevent terrorists from accessing funding sources

One of the priorities identified by the GMT was to identify and pursue the most appropriate action to cut terrorists off from founding sources. The efforts of the Council of Europe in this area concern :

The MONEYVAL

Following the events of 11 September 2001, the mandate of the Financial Action Task Force on Money Laundering (FATF) was extended to include the financing of terrorism. It formulated Eight Special Recommendations in this regard.

These developments were quickly embraced by the Council of Europe’s Select Committee of Experts on the Evaluation of Anti-Money Laundering Measures (MONEYVAL – formerly PC-R-EV), which comprises 28 Council of Europe member states which are not members of the FATF.

On 30 April 2002, the Committee of Ministers adopted revised terms of reference for MONEYVAL to include in its self- and mutual evaluation process the performance of MONEYVAL states in complying with the relevant standards of the Special FATF Recommendations, and at the end of 2002, MONEYVAL took responsibility for analysing the self-assessments of its own member states in respect of the Special FATF Recommendations.

Moreover, MONEYVAL agreed to use in mutual evaluations a new comprehensive Anti-Money Laundering and Combating Terrorist Financing (AML/CFT) Methodology. This methodology was negotiated between the International Monetary Fund (IMF)/World Bank and the FATF and FATF-style regional bodies (FSRBs) and incorporates the financing of terrorism issue. The methodology was used for those countries new to MONEYVAL which underwent a first mutual evaluation in 2003. The evaluations also act as blue prints for identifying technical assistance needs.

See MONEYVAL's website

Revision of the Convention on Laundering, Search, Seizure and Confiscation of the Proceeds from Crime (ETS No. 141)

In September 2003, the Committee of Ministers adopted specific terms of reference for the PC-RM, a new Committee of Experts on the revision of Convention ETS No. 141. The PC-RM was instructed, inter alia, to report to the CDPC on the feasibility of including provisions on the funding of terrorism with a view to an extension of its own terms of reference in this sense.

The PC-RM held seven meetings from December 2003 to February 2005 and finalized the new Council of Europe Convention on the Laundering, Search, Seizure and Confiscation of the Proceeds from Crime and on the Financing of Terrorism (CETS 198). The CDPC approved the draft and transmitted it to the Committee of Ministers which adopted this instrument on 3 May 2005.

The Council of Europe Convention on the Laundering, Search, Seizure and Confiscation of the Proceeds from Crime and on the Financing of Terrorism (CETS 198) is the first international treaty covering both the prevention and the control of money laundering and the financing of terrorism. The text addresses the fact that quick access to financial information or information on assets held by criminal organisations, including terrorist groups, is the key to successful preventive and repressive measures, and, ultimately, is the best way to stop them.

The convention includes a mechanism to ensure the proper implementation by parties of its provisions.

Publication

Dirty money - The evolution of international measures to counter money laundering and the financing of terrorism (3rd edition) (2004)