AML CFT and Common Types of Trade Fraud

What is AML CFT?

Anti-Money Laundering (AML) and Combating the Financing of Terrorism (CFT)

AML CFT refers to laws and regulations designed to prevent and combat the laundering of illicit funds and the financing of terrorism. These measures aim to identify, freeze, and confiscate criminal proceeds, protect the integrity of the financial system, and safeguard national security.

Common Types of Trade Fraud

Four Principal Forms

According to the Financial Action Task Force (FATF), trade-based money laundering typically takes four main forms:

• Over or under-invoicing
• Misrepresentation of goods or services
• Multiple invoicing
• Smuggling

Objective of AML CFT Course

The objective of AML CFT courses is to enhance understanding of money laundering trends in trade finance through case studies and expert insights.

FATF-Egmont Report

The FATF-Egmont report provides guidance on trade-based money laundering, highlighting its forms and enforcement actions related to AML regulations.