Jamaica's financial crime convictions hampered by limited resources - US report

  

Jamaica continues to face difficulties in prosecuting and securing convictions in financial crime cases as law enforcement, prosecutors and the judiciary struggle with limited resources. 

 

This is according to the latest International Narcotics Control Strategy Report by the United States.

 

The US says, while the government has made strides in enforcing the asset forfeiture provisions of the Proceeds of Crime Act as well as convictions and forfeitures, financial crimes are often plea bargained or prosecutors focus on predicate offences to secure convictions. 

 

The report coming out of the US spotlight's money laundering in Jamaica as being largely perpetrated by organised criminal groups, some with links to powerful Jamaicans and influential people in the real estate and motor vehicle sectors.

 

In its assessment, the US State Department said political and public corruption as well as other criminal activities are generating and facilitating illicit funds in Jamaica with trafficking of small arms and narcotics to and from the US, Central America, Europe and Haiti generating substantial unlawful wealth.

 

And amid a series of fraud cases being reported across local financial institutions, the report notes that these incidents have become more sophisticated.

 

It adds that remittance transactions are relatively small, suggesting perpetrators are using other channels including cash and digital currencies to transfer illicit funds.

 

In the meantime, the report notes that Jamaica has established stringent anti-money laundering laws such as the Proceeds of Crime Amendment Act and its regulations as well as the Financial Investigations Division which have aided in prosecutions, convictions, fraudulent assets forfeiture and cash seizures related to criminal activity.

 

There has also been a reduction in defensive suspicious transaction filings due to technology improvements and increased training for financial institutions as reported by the FID. 

 

With a deeper look at the judiciary, it says law enforcement and prosecutors often pursue predicate offences rather than concentrating on money laundering as a standalone matter due to the need to prove the unlawful conduct from which the laundering activity is derived. In cases where money laundering offences are investigated and charged alongside a predicate offence, it says prosecutors sometimes dismiss the money laundering charges to secure a guilty plea but may still pursue asset recovery.

 

And despite reported improvements in the efficiency of the court system in 2024, leading to increases in cases introduced to the judicial system, lengthy delays in investigating and prosecuting cases continue to hinder the effectiveness of the judiciary.

 

In conclusion, the US says resource limitations, both financial and human, continue to hinder Jamaica's efforts to investigate and prosecute money laundering. 

 

The FID reported having only 83 staff members as at October 2024, well short of its target of 230 employees. 

 

From January to October 2024, there were 11 prosecutions and eight convictions for financial crimes, and during this period, the FID seized $1.9 million in criminal assets.