The United States has hailed a decision by the Financial Action Task Force (FATF) to keep Iran on its blacklist of countries with weak systems against money laundering and terrorism financing.
Secretary of State, Mr Mike Pompeo, gave the commendation in a statement after the FATF announced the decision to keep Iran on the list known as the ` Public Statement’ on Friday.
FATF, an intergovernmental body that develops policies to combat money laundering and terrorism financing, also re-imposed countermeasures on Iran.
The countermeasures require increased supervision of the foreign branches and subsidiaries of Iranian financial institutions.
No fewer than 11 FATF members have Iranian banks on their soil, according to Foundation for Defense of Democracies (FDD), a U.S.-based research institute with focus on foreign policy and national security.
The countries include Turkey, France, Germany, Netherlands, Russia, Greece, United Kingdom, South Korea, Hong Kong, Italy and Malaysia.
Pompeo said: “The regime must face consequences for its continued failure to abide by international norms, in particular its inaction in ratifying the Palermo and Terrorist Financing Conventions.
“Since Iran’s FATF action plan expired in 2018, Iran has failed to fulfill its commitments to adhere to the FATF’s anti-money laundering and combating the financing of terrorism standards, including ratifying the UN Palermo and Terrorist Financing Conventions.
“The regime needs to adhere to the basic standards that virtually every other country in the world agrees to.
“Iran must cease its reckless behavior and act like a normal nation if it wants its isolation to end.’’
FDD said Iran’s continued place on the list “correctly sends a clear message that Tehran remains a source of terror-financing risk that threatens the international financial system’’
FATF’s engagement with the Iranian government began in 2016 on a reform programme agenda known as the Action Plan.
The plan specifies the concrete steps necessary to bring Tehran’s AML/CFT regulations up to international standards, according to FDD.
Since then, Iran has failed to meet five deadlines to complete its plan, besides adding exemptions for terrorist organisations into its anti-money-laundering laws, among other alleged infractions, the institute said. (NAN)
 to keep Iran on its blacklist of countries with weak systems against money laundering and terrorism financing.){kind=link}