Financial Action Task Force (FATF) Calls for Countermeasures on Iran

February 21, 2020

Related Country: 

  • United States

Paris – Today the Financial Action Task Force (FATF) concluded its 31st plenary meeting with a public statement calling for countermeasures on Iran.  The FATF also released guidance on digital identity for customer identification and verification, and evaluated Treasury’s Customer Due Diligence rule for compliance with the FATF standards.

“Iran claimed it was finally ready to implement basic controls to counter illicit finance, but the regime has failed to live up to its commitments,” said Secretary Steven T. Mnuchin. “We commend FATF for calling on our partners around the world to take concrete steps to impose financial restrictions to protect the global financial system from Iranian threats.”

“The U.S. applauds the condemnation of Iran’s failure to combat money laundering and terrorist financing, a consensus decision of 39 FATF members,” said Assistant Secretary for Terrorist Financing Marshall Billingslea. “We urge countries around the world to take meaningful steps to prevent Iran from using the international financial system for illicit purposes. The safety and security of the international financial system depends upon it.”

FATF CALLS ON COUNTRIES TO IMPLEMENT COUNTER-MEASURES ON IRAN

The FATF called on all jurisdictions to impose effective countermeasures on Iran, such as requiring financial institutions to review, amend, or if necessary terminate correspondent relationships with Iranian banks or limiting business relationships or financial transactions with Iran. The countermeasures should be developed and implemented to protect the international financial system from the ongoing money laundering, terrorist financing, and proliferation financing (ML/TF/PF) risks emanating from Iran.