Official Speeches and Remarks by Ambassador Anne E. Derse

Ambassador's Remarks For Financial Intelligence Unit Seminar

October 30, 2006

International terrorism poses what is perhaps the most serious threat to civilized society in the 21st century. The crime of money laundering likewise threatens domestic and national security, and undermines the rule of law. Combating these threats requires not only close military and security cooperation, but also close financial and legal cooperation. Unless we work together, money laundering and terrorist financing will continue to threaten the social, political and economic systems of all free countries.

Hundreds of millions of dollars of illegally obtained money moves in and out of banking systems and across borders every year. Instead of benefiting legitimate businesses and supporting important government activities, these illegal funds support criminals and their activities -- and in some cases -- terrorist organizations and attacks on innocent civilians.

Throughout the world, governments, law enforcement bodies and private banking enterprises are working together to combat money laundering and terrorist financing.
In the United States and throughout the European Union, for example, strong anti-money laundering and anti-terrorist financing laws are used to seize money and other illegal assets obtained through drug smuggling, trafficking in persons, corruption and other illicit activities.

Money laundering and terrorist financing are global problems. No single country can combat the problem alone. Instead, all free and democratic countries must develop financial intelligence units to detect suspicious financial transactions, and build solid legal systems to prosecute financial crimes.

To be effective, a financial intelligence unit must be both autonomous and accountable. It must be able to safeguard confidential financial information and identify suspicious transactions for law enforcement authorities. It must also be able to cooperate with financial intelligence units in other countries. Without such a cooperative framework, criminals and terrorists will continue to freely move their illicit funds domestically and throughout the world.

This important seminar is the result of the cooperative efforts between the United States, the Council of Europe, and the Republic of Azerbaijan. I applaud your efforts to pass an anti-money laundering law and establish a financial intelligence unit that meets the highest international standards. I encourage you to take this action quickly, both for the benefit of Azerbaijan, and for the benefit of all free and democratic people.