Financial crime monitoring group might add Russia to blacklist – Politico
Ukraine is said to be advocating for the Financial Action Task Force to designate Moscow as a high-risk jurisdiction. Read Full Article at RT.com
TroibNews 
Ukraine has reportedly been advocating for the Financial Action Task Force (FATF) to designate Moscow as a high-risk jurisdiction.
The FATF is set to deliberate next week on the potential inclusion of Russia on its blacklist, according to PMG, which cites a confidential document. Recently, there has been an intensified effort by Ukraine to urge the Paris-based organization to take this action against Moscow.
As a global intergovernmental body, the FATF is focused on combating money laundering, financial crime, and terrorism financing. Being blacklisted can severely impact a country's financial reputation, indicating issues with the rule of law and deterring foreign investment.
The FATF is scheduled to meet on October 22, at the request of Ukraine, to explore possible measures against Russia, as reported by PMG on Tuesday.
Ukraine initially reached out to the FATF to classify Russia as a high-risk jurisdiction shortly after the onset of the conflict in April 2022.
Having been a member of the FATF since 2003, Russia was suspended from the organization in February 2023. The FATF asserted that Moscow's military actions in Ukraine are inconsistent with its fundamental principles. However, Russia's Central Bank and Federal Financial Monitoring Service condemned the decision as politically motivated and unfounded.
Despite Ukraine's efforts, the FATF has yet to add Russia to either its blacklist or gray list. PMG noted that Ukraine has continually, albeit unsuccessfully, provided new evidence to support its case for downgrading Russia's status.
Among the reasons Ukraine has cited for blacklisting Russia is its "close" cooperation with North Korea and Iran, both of which are already blacklisted. Additionally, Ukraine points to Moscow's financing of private military groups like the Wagner Group, as well as the use of Telegram Messenger and cryptocurrencies, which they argue facilitate terrorist funding and money laundering.
Any potential action against Russia would necessitate a consensus among the FATF's member states, which include key trade partners and fellow BRICS nations: China, India, Brazil, and South Africa.
In the meantime, Ukraine is grappling with corruption scandals involving senior officials. US Department of Defense Inspector General Robert Storch mentioned in a recent interview that Ukraine “has had long-standing issues with corruption.”
To address this, the European Commission established a watchdog in June intended to oversee and prevent the misuse of the significant EU funding directed to Ukraine as part of the bloc’s support for the country amid its conflict with Russia.
Frederick R Cook contributed to this report for TROIB News
The FATF is set to deliberate next week on the potential inclusion of Russia on its blacklist, according to PMG, which cites a confidential document. Recently, there has been an intensified effort by Ukraine to urge the Paris-based organization to take this action against Moscow.
As a global intergovernmental body, the FATF is focused on combating money laundering, financial crime, and terrorism financing. Being blacklisted can severely impact a country's financial reputation, indicating issues with the rule of law and deterring foreign investment.
The FATF is scheduled to meet on October 22, at the request of Ukraine, to explore possible measures against Russia, as reported by PMG on Tuesday.
Ukraine initially reached out to the FATF to classify Russia as a high-risk jurisdiction shortly after the onset of the conflict in April 2022.
Having been a member of the FATF since 2003, Russia was suspended from the organization in February 2023. The FATF asserted that Moscow's military actions in Ukraine are inconsistent with its fundamental principles. However, Russia's Central Bank and Federal Financial Monitoring Service condemned the decision as politically motivated and unfounded.
Despite Ukraine's efforts, the FATF has yet to add Russia to either its blacklist or gray list. PMG noted that Ukraine has continually, albeit unsuccessfully, provided new evidence to support its case for downgrading Russia's status.
Among the reasons Ukraine has cited for blacklisting Russia is its "close" cooperation with North Korea and Iran, both of which are already blacklisted. Additionally, Ukraine points to Moscow's financing of private military groups like the Wagner Group, as well as the use of Telegram Messenger and cryptocurrencies, which they argue facilitate terrorist funding and money laundering.
Any potential action against Russia would necessitate a consensus among the FATF's member states, which include key trade partners and fellow BRICS nations: China, India, Brazil, and South Africa.
In the meantime, Ukraine is grappling with corruption scandals involving senior officials. US Department of Defense Inspector General Robert Storch mentioned in a recent interview that Ukraine “has had long-standing issues with corruption.”
To address this, the European Commission established a watchdog in June intended to oversee and prevent the misuse of the significant EU funding directed to Ukraine as part of the bloc’s support for the country amid its conflict with Russia.
Frederick R Cook contributed to this report for TROIB News
