meta_id 3227024

The Government of South Africa published a notice commencing the Financial Intelligence Centre Act (FICA). The notice, published in the Government Gazette, formally brings the act into effect, establishing the legal framework for anti-money laundering and counter-terrorism financing (AML/CTF) regulation in South Africa. FICA creates the institutional and regulatory foundation for combating financial crime. The act establishes the Financial Intelligence Centre (FIC) as the central authority responsible for receiving, analysing, and disseminating financial intelligence to combat money laundering, terrorism financing, and related predicate offences. The legislation imposes obligations on financial institutions, including banks, money services businesses, casinos, and other designated non-financial businesses and professions, to implement AML/CTF compliance programmes, conduct customer due diligence, and report suspicious transactions to the FIC. The act applies to all entities operating in South Africa's financial system and those engaged in designated activities. Compliance obligations include establishing internal compliance functions, training staff on AML/CTF requirements, maintaining records, and reporting to the FIC in accordance with prescribed timelines and thresholds. The legislation also establishes penalties for non-compliance and provides the FIC with investigative and enforcement powers. Financial institutions and designated non-financial businesses and professions must ensure their systems, policies, and procedures align with FICA's requirements. Organisations should review their existing AML/CTF frameworks to confirm compliance with the act's provisions and implement any necessary operational changes to meet their obligations under the new regulatory regime. REFERENCES: Government of South Africa. Financial Intelligence Centre Act: Commencement. Government Gazette. Available at: https://www.gov.za/