Financial Intelligence Unit signs MoU with insurance regulator

Insurance Regulatory Commission of Sri Lanka Director General Damayanthi Fernando and Financial Intelligence Unit Director D.M. Rupasinghe exchanging the MOU.  Central Bank of Sri Lanka Governor and AML/CFT National Coordinating Committee Chairman Dr. Indrajit Coomaraswamy, Central Bank of Sri Lanka Deputy Governor C.J.P. Siriwardena, Central Bank of Sri Lanka Assistant Governor H.A. Karunaratne and Insurance Regulatory Commission of Sri Lanka Chairman Mano Tittawella were also present

In terms of the provisions of the Financial Transactions Reporting Act, No. 6 of 2006 (FTRA), the Financial Intelligence Unit (FIU) of Sri Lanka entered into a Memorandum of Understanding (MOU) with the Insurance Regulatory Commission of Sri Lanka (IRCSL) recently to establish a framework for sharing information on supervisory findings based on comprehensive risk-based supervision focused on Anti-Money Laundering (AML)/Countering the Financing of Terrorism (CFT) in the Insurance sector.

IRCSL Director General Damayanthi Fernando and FIU Director D.M. Rupasinghe signed the MOU on behalf of the respective institutions in the presence of Central Bank of Sri Lanka Governor and AML/CFT National Coordinating Committee Chairman Dr. Indrajit Coomaraswamy and IRCSL Chairman Mano Tittawella.

Compliance with the AML/CFT framework of the country is essential for the Insurance sector participants too in the prevention of money laundering, terrorist financing and connected financial crimes which could threaten the stability of domestic as well as global economic and financial systems. 

The IRCSL, as the regulatory and supervisory body of the Insurance sector will conduct risk-based AML/CFT supervision and share supervisory findings with the FIU to ensure sector compliance with the AML/CFT framework. 

The FIU has already entered into MOUs with 37 foreign counterparts as well as 6 domestic government agencies such as Sri Lanka Customs, Department of Immigration and Emigration, Inland Revenue Department, Department for Registration of Persons, Sri Lanka Police and Securities and Exchange Commission of Sri Lanka in order to share information to strengthen AML/CFT framework. 

The MOU with the IRCSL would help to improve regulatory/supervisory capacity of the two institutions by sharing information relating to AML/CFT supervision.