Report: Following the money train in Central America – money laundering and its implications in the regional security
INTRODUCTION:
In the following pages you will fi nd the systemization of results of investigations undertaken in Costa Rica, El Salvador, Guatemala, Honduras and Nicaragua, which have been the input for the analysis and formulation of recommendations to abate the money laundering from a regional approach.
The first chapter sketches a conceptual frame in which the defi nition is revised, as well as the stages it entails, the forms utilized for the legitimization of capitals, the crimes preceding money laundering, as well as international conventions and statements that have developed tools for its combat.
A second chapter makes a recognition of the efforts made by the Central American countries to update their internal legislation, responding to the commitments made when they ratifi ed international conventions on the Prevention of Money Laundering and against the Financing of Terrorism (PLD/CFT), although some examples are also shown which evidence the disparity with respect to the juridical scope of its criminal prosecution. This chapter also shows the diffi culties found by public institutionalism due to its inexistence or weakness, it being necessary to investigate and prosecute crimes in the national level, and carry out the investigation and exchange of fi nancial information, in the regional level. Specially, this chapter emphasizes on the effects that money laundering produces in the region, in terms of poverty, slow development, corruption, ungovernability and distortion of the market.
Towards the implementation of actions to abate money laundering is the title of the third chapter, which makes proposals for action that include the design of a regional strategy against the bleaching of capitals, and other punctual actions to contribute to the abatement of money laundering in Central America, grouped in three strategic areas: a) prevention and detection; b) investigation, and c) judgment. In addition, it suggests to act in terms of strengthening the electoral systems and those of political parties as well as policies of transparency and probity in public management. The fourth chapter points out at conclusions and recommendations leading to reaffirm the association of money laundering with corruption and impunity problems in the Central American States, affecting the democratic coexistence in a State of Law, as well as its governance.
Finally you will fi nd in the section of Annexes, a list of standards and provisions by country, which have been enacted to combat the laundering of money and other assets. The institutions that make up laRed wish to thank all those who collaborated to generate the inputs for analysis of this study, although it has not been possible to mention them as sources of information in all the cases.
Link to the detailed report: click here (reference: source)