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|Title: ||Developing an anti-money laundering regime and implementing anti-money laundering preventive measures in China : from the perspective of financial institutions|
|Other Titles: ||Cong jin rong ji gou shi jiao kan Zhongguo fan xi qian zhi du de fa zhan ji fan xi qian yu fang xing cuo shi de shi shi|
|Authors: ||Wong, Yuet Alex (黄越)|
|Department: ||School of Law|
|Degree: ||Doctor of Juridical Science|
|Issue Date: ||2010|
|Publisher: ||City University of Hong Kong|
|Subjects: ||Money laundering -- Law and legislation -- China.|
Money laundering -- China -- Prevention.
|Notes: ||CityU Call Number: KNQ966 .W66 2010|
xiii, 308 leaves 30 cm.
Thesis (JSD)--City University of Hong Kong, 2010.
Includes bibliographical references (leaves 279-299)
|Abstract: ||After China adopted its open-door policy in 1978, money laundering
problems began to appear and soon proliferated. China first started its campaign
against money laundering in 1989. Despite significant improvement in China's
fight against money laundering over the last 20 years, research of this thesis
indicated that China's AML regime was still inadequate when compared to
international anti-money laundering (AML) standards. Also, financial
institutions (FIs) in China currently encountered significant practical difficulties
in implementing risk-based AML preventive measures in their daily operations.
This research aimed, first, to investigate the areas of improvement that
could be made, from the perspective of FIs, to China's AML regime so as to
enhance its effectiveness, and second, to explore possible ways to enhance the
implementation of existing risk-based AML preventive measures by FIs in China.
With respect to the first part of the research, findings indicated that China's
primary money laundering offence could be improved by extending the scope,
applicability, predicate offences, mental and physical requirements, etc. Also,
auxiliary money laundering offences, such as reporting and tipping-off offences,
should be introduced into China's criminal law. Regarding current
administrative and regulatory AML preventive measures imposed on FIs in
China, this thesis called for more risk-based elements to be included, such as
those related to customer due diligence and customer transaction monitoring.
The research also indicated that China had yet to reach a stage at which it was
able to adopt a full-blown risk-based approach to AML compliance. This thesis
suggested that the proper approach to AML compliance in China was a mixed
approach in which the rule- and risk-based AML preventive measures co-existed
to retain the benefits of simplicity and certainty, enhancing the effectiveness of
Regarding the second part of the research, in response to the practical
difficulties currently encountered by FIs in China when implementing risk-based
AML preventive measures, this thesis suggested a practical proposal to overcome such difficulties. The proposal included the following elements: practical and
functional ways to identify AML risk factors and ultimate beneficial owners;
ways to assess customers' money laundering risks and categorize them into
different risk levels; ways to mitigate and manage customers' different money
laundering risks; ways to conduct customer transaction monitoring; and ways to
test internal compliance with AML programs. Due to the vast volume of
transactions conducted each day by FIs, this thesis highlighted the importance of
automation of transaction monitoring and suggested essential components that
should be included in an effective automated transaction-monitoring model.
As only minimal research on the above research areas existed, the author
believed that the findings of this research present very practical applications that
could contribute positively to the development of a more effective AML regime
and to the implementation of AML preventive measures by FIs in China.|
|Online Catalog Link: ||http://lib.cityu.edu.hk/record=b3947911|
|Appears in Collections:||SLW - Doctor of Juridical Science|
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