Duncan ScottThe Financial Action Taskforce (FATF) has published a consultation, and explanatory memorandum, on proposed changes to its recommendation 16 (the Recommendation) and the associated interpretive note and glossary terms. The present version of the Recommendation seeks to ensure that appropriate authorities (such as law enforcement) have immediate access to information regarding the originator and recipient of a wire transfer in order to prevent terrorists and other criminals from being able to move fund undetected.
The changes proposed by FATF seek to ensure that the Recommendation remains technology neutral by expanding its application from wire transfers to cover all forms of payment.
Prior to adopting the changes, FATF is now seeking views, particularly from firms in the payments industry. The consultation closes on 3 May 2024.