Govt to monitor family offices for money laundering, terrorism financing risks

KUALA LUMPUR: The government, through the Securities Commission Malaysia (SC) and Bank Negara Malaysia (BNM), will continue to monitor family offices — wealth management firms handling substantial individual assets — operating in the country to ensure they are not involved in illegal activities.
Finance Minister II Datuk Seri Amir Hamzah Azizan said that the ministry was aware of concerns surrounding this issue and will enforce existing regulations to address them.
"This scheme is under the supervision of the SC and BNM, particularly concerning the Prevention of Terrorism Financing and Money Laundering Act (AMLA), with capital transfers regulated under established rules," he said.
"The SC and BNM will monitor these activities closely to ensure there are no issues arising," he said in response to Salamiah Mohd Nor (PN-Temerloh), who inquired whether the government is conducting a risk assessment regarding the offering of "family offices" in the country, which is feared to be misused for terrorism financing or money laundering.
He said the scheme was aimed at boosting and doubling the country's economy by attracting foreign investment. "This initiative is designed to enhance and grow the country's economy. The funds brought in by these offices will be channelled into domestic investments," he aded.
In September, the SC introduced specific requirements for the newly launched family office incentives at the Forest City Special Financial Zone (SFZ) in Johor.
The scheme will offer a 10-year tax benefit, with the possibility of a 10-year extension, subject to certain conditions. Forest City will be the first location in Malaysia to offer a zero-per cent tax incentive for family offices.
https://www.nst.com.my

The Special Investigation Commission (SIC) is a multi-function financial intelligence unit (FIU) with judicial status. It is the center piece of Lebanon’s AML/CFT regime, a platform for international cooperation and plays a vital role in safeguarding concerned sectors from illicit proceeds.
The SIC’s tasks include receiving and analyzing suspicious transaction reports (STRs), conducting financial investigations, lifting banking secrecy, freezing accounts and/or transactions and forwarding them to concerned judicial authorities. 
With respect to terrorism and the financing of terrorism, the SIC is also empowered to prevent the use of movable or immovable assets. In addition to sharing ML/TF intelligence with counterparts and coordinating with foreign/local competent authorities on requests of assistance (ROAs), the SIC also proposes AML/CFT regulations and issues regulations and recommendations to concerned parties. 
AML/CFT supervision via risk based compliance examinations that cover banks and other reporting entities to ensure proper implementation of prevailing regulations is also among its tasks.

Law No. 44 criminalizes illicit proceeds that are derived from the following offences:

1. The growing, manufacturing, or illicit trafficking of narcotic drugs and/or psychotropic substances according to the Lebanese laws. 
2. The participation in illegal associations with the intention of committing crimes and misdemeanors. 
3. Terrorism, according to the provisions of Lebanese laws. 
4. The financing of terrorism or terrorist acts and any other related activities (travel, organizing, training, recruiting…) or the financing of individuals or terrorist organizations, according to the provisions of Lebanese laws. 
5. Illicit arms trafficking. 
6. Kidnapping, using weapons or any other means. 
7. Insider trading, breach of confidentiality, hindering of auctions, and illegal speculation. 
8. Incitation to debauchery and offence against ethics and public decency by way of organized gangs. 
9. Corruption, including bribery, trading in influence, embezzlement, abuse of functions, abuse of power, and illicit enrichment. 
10. Theft, breach of trust, and embezzlement. 
11. Fraud, including fraudulent bankruptcy. 
12. The counterfeiting of public and private documents and instruments, including checks and credit cards of all types and the counterfeiting of money, stamps and stamped papers. 
13. Smuggling, according to the provisions of the Customs Law. 
14. The counterfeiting of goods and fraudulent trading in counterfeit goods. 
15. Air and maritime piracy. 
16. Trafficking in human beings and smuggling of migrants. 
17. Sexual exploitation, including sexual exploitation of children. 
18. Environmental crimes. 
19. Extortion. 
20. Murder. 
21. Tax evasion, in accordance with the Lebanese laws

Money-laundering operations may occur in any business especially:  
· Banks  
· Other financial institutions (insurance, mutual funds, etc.)  
· Money exchange firms  
· Antique dealers  
· Real estate concerns  
· Jewelry dealers