Compliance Corner: Turkey, ASIC, Other

Editorial Staff

5 October 2018

Turkey
Turkish police have detained 280 suspects in a money-laundering investigation into the transfer of about 2.5 billion lira ($419 million) worth of foreign currency to bank accounts abroad, Reuters reported, citing state media. The vast majority of recipients of the funds were Iranian citizens resident in the US, the report said, referring to a statement from Istanbul’s chief prosecutor cited by Turkish media.

Police teams launched raids across 40 provinces and had arrest warrants for a total 417 people. Police, the prosecutor and other judicial authorities declined to comment on the investigation.

The report noted that foreign currency transfers are a sensitive issue in Turkey, which is struggling to contain a currency crisis, with its lira slumping as much as 40 per cent against the dollar in 2018. Rising US interest rates have put a number of emerging market currencies under pressure; the US Trump administration has also clashed with Turkey’s president Tayyip Erdogan. The Turkey president has warned Turks against sending money abroad if it is not for investment.

Luxembourg, Australia
Regulatory authorities in Luxembourg and Australia have inked an agreement to share ideas about developing financial technology ideas, part of a trend of jurisdictions signing such pacts.

The Luxembourg signed the agreement yesterday, which paves the way to exchange information on financial technology and regulatory technology.

In 2013, the regulators entered into memoranda of understanding on regulating entities that have presence in both Australia and Luxembourg, and specifically for funds management entities regulated under the EU’s Alternative Investment Fund Managers Directive.