Anti Money Laundering NZ is a body formed in the New Zealand government with the express purpose of enhancing the prevention, protection and prosecution of money laundering and financial crimes. In the United States, these same laws were incorporated into financial legislation in reaction to the Money Laundering and Financial Crime Act of 1994. This new legislation has significantly increased penalties for those who commit these offenses and implemented the Financial Services Authority as the central regulator for the industry. In many ways, the US has been successful at preventing and deterring crime, while New Zealand lags behind in a number of areas. While there are significant differences between the two countries, some similarities also exist.
Anti-Money Laundering – What Type of Activity Must Be Reported?
The first major difference between the two jurisdictions is their legal system. Both countries utilize a system of dual citizenship, which means that a person can be both a resident and a citizen of another country at the same time. While this creates a lot of legal problems for those charged with laundering monetary transactions, it also makes it very difficult to travel between both countries. Some penalties for laundering come into force if a person travels to or lives in another country and attempts to laundering the proceeds of crime.
In addition to the laws regarding dual citizenship, both countries have very strict laws regarding money laundering and financial crimes. Banks in New Zealand are required to hold personal information confidential if they wish to maintain any kind of banking relationship with any customer. In the United States, banks are not required to hold information about any customer’s confidential information, so they cannot be required to turn over such information. In both cases, individuals who attempt to defraud banks by illegally moving funds through their banking institutions can face steep penalties.