As a result of the Isle of Man’s progress in strengthening its framework to tackle money laundering and terrorist financing since its mutual evaluation report in December 2016, MONEYVAL has re-rated the country on three Recommendations originally rated as “largely compliant” and one Recommendation originally rated as “partially compliant”.
The Isle of Man was placed in an enhanced follow-up process, following the adoption of its mutual evaluation report, which assessed the effectiveness of the Isle of Man’s anti-money laundering and counter-terrorist financing (AML/CFT) measures and their compliance with the Recommendations by the Financial Action Task Force (FATF). The Isle of Man had previously submitted its first enhanced follow-up report in July 2018. In line with MONEYVAL’s rules of procedure, the jurisdiction has submitted its second enhanced follow-up report to MONEYVAL on the progress it has made to strengthen its AML/CFT framework.
This follow-up report analyses Isle of Man’s progress in addressing the technical compliance deficiencies identified in the mutual evaluation report. It also looks at progress made in the implementation of new requirements relating to FATF Recommendations which have changed since the since the first follow-up report.
To reflect this progress, MONEYVAL has re-rated the Isle of Man on Recommendations 11 (record keeping), 12 (politically exposed persons), 17 (reliance on third parties) and 25 (transparency and beneficial ownership of legal arrangements). These Recommendations are now re-rated as “compliant”. The ratings for Recommendation 2 (national cooperation and coordination, rated “compliant”), 8 (non-profit organisations, rated “largely compliant”), 18 (internal controls and foreign branches and subsidiaries, rated “largely compliant”), and 21 (tipping-off and confidentiality, rated as “largely compliant”), the requirements of which changed since the mutual evaluation report, remain unchanged.
MONEYVAL decided that the Isle of Man will remain in enhanced follow-up and will continue to report back to MONEYVAL within one year on further progress to strengthen its implementation of AML/CFT measures.