Anti-Money Laundering Efforts: Ramgoolam Announces a 'Radical' Reform

During the second reading of the Anti-Money Laundering, Combating the Financing of Terrorism and Countering Proliferation Financing (Miscellaneous Provisions) Bill, Navin Ramgoolam championed a comprehensive reform of the anti-money laundering framework. The aim is to enhance compliance with international standards and prevent Mauritius from being placed back on the grey list.

Ramgoolam, speaking first during the second reading of the bill, noted that he requested to speak early due to his departure on the evening of April 14 for the Republic of Congo, where he will attend the inauguration ceremony of Denis Sassou N’Guesso.

The Prime Minister thanked the Minister of Financial Services and Economic Planning, Jyoti Jeetun, for introducing this "very important" bill, which includes amendments to over twenty-one pieces of legislation. "Fines are necessary to ensure that the framework for combating money laundering, fighting terrorism financing, and countering proliferation financing aligns with the standards of the Financial Action Task Force (FATF)," he stated.

He claimed these measures would position Mauritius better ahead of the mutual evaluation exercise by the Eastern and Southern African Anti-Money Laundering Group in 2027. Reflecting on the 2018 evaluation, he noted that the country was "obliged" to implement recommended actions to address deficiencies in its Anti-Money Laundering, Combating the Financing of Terrorism, and Countering Proliferation Financing (AML-CFT-CPF) framework.

Ramgoolam attributed these challenges to the previous government, asserting that it failed to implement necessary reforms. He recalled that in February 2020, Mauritius was placed on the FATF's increased scrutiny list, as well as on lists from the European Union and the United Kingdom. It was only after corrective measures that the country was able to exit those lists, he explained, lamenting the lack of follow-up thereafter.

Rigorous Assessment

The Prime Minister explained that upon taking office, a rigorous assessment of the AML-CFT-CPF framework was conducted in connection with the revised FATF recommendations. "This government is fully committed to taking the necessary actions to ensure compliance with the FATF list and to enhance the effectiveness of our system for combating money laundering, fighting terrorism financing, and countering proliferation financing," he affirmed.

He indicated that several measures have already been taken in preparation for the upcoming evaluation, including improving the effectiveness of agencies. "We have established the primacy of the Director of Public Prosecutions in criminal procedures," he explained. The government also intends to strengthen the Financial Crimes Commission's resources to focus on its mandate of investigation and law enforcement. According to him, nearly 400 investigations have been initiated since November 2024.

Navin Ramgoolam also announced "the most advanced and radical reform of our law enforcement and prosecution systems that this country has seen, probably since the 19th century." "These reforms will foster a new culture of independence, impartiality, and effectiveness in detecting, investigating, and prosecuting serious and complex crimes," he asserted.

To facilitate this, an inter-ministerial committee co-chaired by the Attorney General and the Minister of Financial Services has been established to coordinate the reforms. "This committee provides strategic advice on priority reforms, enhances coordination among the sixteen competent authorities, and supports the effective implementation of the AML-CFT-CBF reform agenda," he explained. A core group, chaired by the Financial Secretary, ensures close monitoring of the work.

Discussing the proposed amendments, he mentioned improving oversight and real-time information sharing with judicial authorities in cases of suspected money laundering. Special emphasis will be placed on the use of "straw men." "It will be 'game over' for them," he declared.

Additionally, he highlighted that the gaming sector remains exposed to increased risks of illicit financial fraud. The amendments aim to strengthen regulatory oversight, surveillance mechanisms, and compliance measures. The powers of the Mauritius Revenue Authority will also be consolidated to improve coordination among authorities and detect illicit gains.

Navin Ramgoolam explained that the proposed amendments result from joint work conducted by the Attorney General’s Office, the Bank of Mauritius, and the Financial Crimes Commission, in consultation with other competent authorities. "Therefore, these are certainly not cosmetic measures - it's a serious, technical, and coordinated reform effort."

He concluded by commending "the collective efforts of all agencies involved in this national endeavor, as well as the ongoing collaboration of the private sector and our international partners," reaffirming the government's commitment to "put things right where there is disorder."

Kreol Morisien in the National Assembly: PM Hopes for Quick Adoption

Earlier, in response to a question from MP Joanna Bérenger regarding the introduction of Kreol Morisien in the National Assembly, the Prime Minister reiterated his hope that this project will come to fruition soon. "I hope the introduction of Kreol Morisien will happen sooner. Because many people may not understand, and in Kreol, I could have said more easily: 'These criminals took the people's money, they made a bank receivership that they knew would collapse sooner,'" Navin Ramgoolam stated, to applause from the parliamentarians and a "bravo" from the Speaker.

Subron Defends a Social and Historical Approach to Legislative Reforms

During his remarks on the bill, the Minister of Social Security, Ashok Subron, expressed that ministers and several government members have made significant contributions to the debate on this issue.

Drawing on philosophical reflection and a global historical context, Ashok Subron lamented the restrictive view of some opposition members. In his view, fundamental laws, local laws, and national laws are the result of social struggles that establish a new balance of power, ethics, and paradigms.

According to him, those disconnected from social struggles, whether at the local or global level, cannot understand the dynamics of social struggles and legislative amendments.