REPORT TO THE TREASURY MINISTER
APPROVAL OF COCF FUNDING
Purpose of Report
To obtain the approval to fund requests by the Joint Financial Crimes Unit (JFCU) and Jersey Financial Services Commission (JFSC) from the Criminal Offences Confiscation Fund (COCF).
Background
In accordance with the Proceeds of Crime (Jersey) Law 1999, Article 24, monies transferred into the COCF may be applied in promoting or supporting measures that assist in:
- Preventing, suppressing or otherwise dealing with criminal conduct;
- In facilitating the enforcement of any enactment dealing with criminal conduct.
In addition, monies may also be applied for:
- Meeting the expenses incurred in administering the Fund; and
- Discharging the Island’s obligations under asset sharing arrangements.
The law states that the Treasury and Resources Minister shall disburse from the Fund. The Minister has a Steering Group that advises – but has no formal ability to sanction spend. The Steering Group has recommended this for approval, minutes are attached.
The funding requested by the JFCU is for an Egmont membership and is for £9,000 this will provide funding for 3 years of the membership. The Egmont Group is an international organisation, made up of Financial Intelligence Units on a global scale that meet periodically to share and develop working practices. The Group gives the JFCU direct global contacts whereby intelligence under certain criteria can be shared. Egmont is used daily by the JFCU and has enable gateways with different countries that previously out of reach. This cooperation has become the pinnacle in the fight against financial crime. Membership in this organisation has significantly contributed to many successes (confiscations). The JFCU sees membership to the Egmont Group as critical for continued success.
The funding requested from the JFSC is for £340,000 and is for twelve months funding to meet the start-up costs of the Island’s Regulatory Anti Money Laundering Unit required to administer legislation being presented to the States on 6 November 2007. This proposition was debated and endorsed by the Council of Ministers at its meeting on 10 May 2007. It is has been necessary to introduce a regime of regulatory oversight to ensure compliance with international standards. Non-compliance of the Island in terms of international standards will seriously undermine the future success of the Island’s Finance Industry.
Both funding requests meet requirements under Article 24 of the Proceeds for Crime (Jersey) Law 1999 and there are sufficient funds available in the COCF to financial these requests.
Recommendation
That the Minister agrees to the funding to the JFCU and JFSC from the COCF.
Jenny Marek-Murray
Treasury Finance Manager
Department of Treasury and Resources
31 October 2007
REPORT TO THE TREASURY MINISTER
APPROVAL OF TREASURY RECHARGES TO THE COCF AND DTCF
Purpose of Report
To obtain approval to pay Treasury recharges in relation to the production and maintenance of accounting records and accounts for the Criminal Offences Confiscation Fund (COCF) and Drug Trafficking Confiscation Fund (DTCF).
Background
COCF
In accordance with the Proceeds of Crime (Jersey) Law 1999, Article 24, monies transferred into the COCF may be applied in promoting or supporting measures that assist in:
- Preventing, suppressing or otherwise dealing with criminal conduct;
- In facilitating the enforcement of any enactment dealing with criminal conduct.
In addition, monies may also be applied for:
- Meeting the expenses incurred in administering the Fund; and
- Discharging the Island’s obligations under asset sharing arrangements.
The law states that the Treasury and Resources Minister shall disburse from the Fund.
The recharge cost in 2006 and 2007 meet requirements under Article 24 of the Proceeds for Crime (Jersey) Law 1999 and there are sufficient funds available in the COCF to finance this request.
DTCF
In accordance with the Drug Trafficking Offences (Jersey) Law 1988, Article 24; monies transferred into the DTCF may be applied in promoting or supporting measures that assist in:
- Preventing, suppressing otherwise dealing with drug trafficking or the misuse of controlled drugs,
- Dealing with the consequences of the misuse of controlled drugs, or
- In facilitating the enforcement of any enactment dealing with drug trafficking or the misuse of controlled drugs;
In addition, monies may also be applied for:
- Discharging Jersey’s obligations under assets-sharing agreements;
- Meeting the expenses incurred by the Minister in administering the Fund.
The Law states that the Treasury and Resources Minister shall disburse from the Fund.
The recharge cost in 2006 and 2007 meet requirements under Article 24 of the Drug Trafficking Offences (Jersey) Law 1988 and there are sufficient funds available in the DTCF to finance this request.
Recommendation
That the Minister agrees to the payment of the Treasury recharges in respect of the COCF and DTCF.
Jenny Marek-Murray
Treasury Finance Manager
Department of Treasury and Resources
31 October 2007