WHY REPORT UNUSUAL TRANSACTIONS
To maintain the integrity of the financial system and to contribute to the combating of money laundering and financing of terrorism, anyone who renders financial or certain designated non-financial services by virtue of his profession or in the ordinary course of business is under the obligation to report unusual transactions to the FIU.
It concerns all unusual transactions of which the service provider takes notice while rendering his service, whether executed or intended, and whether the service provider is a party to such transaction or not.
This obligation to report to the FIU exists independently of the fact that another party in the service chain has a similar obligation to report to the FIU!
WHO IS OBLIGED TO REPORT UNUSUAL TRANSACTIONS
According to art. 1 of the NORUT, the duty to report unusual transactions applies to the following financial and non-financial service providers:
IDENTIFYING UNUSUAL TRANSACTIONS BY INDICATORS
- NEW: traders in building and construction materials
- Providers of factoring services
- Representatives of trusts as meant in Title 6 Book 3 Civil Code (BW)
- Local and International Banks
- Trust Companies and other Company Service Providers
- Investment Institutions
- Credit Unions and Savings Banks
- Money Remitters
- Casino's and Hazard Games such as Lottery and Internet Gambling
- The Central Bank of Curacao and St Maarten (CBCS)
- Credit Card companies
- Life Insurance providers and Insurance Intermediaries
- Car Dealers
- Dealers in precious metals and precious stones (Jewelers)
- Attorneys, legal advisors
- Accountants and Tax Consultants
- Real Estate Agents
- Administrative offices
What are indicators
The law helps in identifying unusual transactions by making use of the so called indicators.
Indicators describe when a (executed or intended) transaction is to be labeled as unusual, and thus should be reported to the FIU.
Reporting sectors have their own set of indicators to use for identifying and reporting unusual transactions. Below you will find more information on the indicator sets per sector.
There are two kinds of indicators: objective and subjective.
In case of an objective indicator, it describes mandatory under which circumstances a transaction is to be considered as unusual.
In case of a subjective indicator, the transaction is considered unusual if the reporting entity (based on its knowledge of its clients, their income and their business activities, and any other circumstance that may be relevant) has reasonable indications to presume that a transaction is related to money laundering or terrorism financing. For subjective indicators, red flags can be suggested by the supervisors and/or the FIU that indicate such possible presumptions.
WHAT ARE THE INDICATORS PER SECTOR
In this section you will find a link to the (objective and subjective) indicators that are to be used per sector for identifying and reporting unusual transactions to the FIU.
Per sector, the indicators begin with letters, as follows:
Indicator letter(s): To be used by sector(s):
· A: Administrative offices (administratreurs beleggingsinstellingen)
· B: Local and International Banks, and Savings Banks (banken, kredietinstellingen en spaarfondsen)
· C: Casino's
· E: Investment Institutions (beleggingsinstellingen)
· F: Trust Companies and other Company Service Providers
· G: Providers of Internet Gambling (aanbieders van internet gokken)
· HB: Traders in building and construction materials (handelaren in bouwmaterialen)
· HJ: Dealers in precious metals and precious stones (Juweliers)
· HV: Car Dealers (autohandelaren)
· I: Providers of factoring services
· L: Life Insurance and Insurance Intermediaries (levensverzekeraars en assurantie bemiddelaars
· M: Credit Card Companies
· N: Providers of Lotteries (aanbieders van loterijen)
· R: Representatives of trusts as meant in Title 6 Book 3 Civil Code (BW)
· T: Money Remitters (geldtransactiekantoren)
· VA: Attorneys, legal advisors (advocaten, juridische dienstverleners)
· VC: Accountants
· VN: Notaries (notarissen)
· VR: Real Estate Agents (makelaars)
· VT: Tax Consultants (belastingadviseurs)
· Z: Central Bank of Curacao and St Maarten (CBCS)
PLEASE TAKE NOTICE that all indicators for all sectors have changed!
The new indicators are now uploaded in the online reporting system CORSYS and must be used for reporting of unusual transactions that came to your attention after the date of December 31 2015.
The new indicators can be recognized in CORSYS by their denominator "0000", placed after the sector letter.
As an example: the new subjective indicator for the car dealer sector is "HA0000211"
The new indicators only contain one (1) subjective indicator per sector. All previous subindicators pertaining to the old subjective indicators are in the new situation to be seen as red flags pertaining to such subjective indicator.
In most cases, the content of all indicators has changed too. Please read the text per indicator carefully so you know in what cases you have to report transactions to the FIU in the new situation under the new indicators.
Here you will find a link to the new lists of indicators per sector, to be used in the online reporting system CORSYS for reporting unusual transactions to the FIU:
New Indicators List
The previously valid indicators per sector will remain available in the CORSYS reporting system for use after the date of December 31, 2015 for a period of six months.
However, as of January 1, 2016, these old indicators may ONLY be used for:
1 the reporting of backlogs (transactions that came to the attention of the service provider before the date of January 1, 2016) and
2 the correction of previously reported transactions, that are send back to you by the FIU for correction.
Here you will find a link to the old lists of indicators per sector:
Old Indicators List
WHEN TO REPORT UNUSUAL TRANSACTIONS
Pursuant to the NORUT, all reports should be sent without delay to the FIU. The term "without delay" is interpreted as follows:
1. Regarding Objective Reports (Reports based on an objective indicator):
With the exception of the Banking Sector (in this paragraph to be interpreted as onshore banks, offshore banks, savings banks and the Central Bank of Curaçao and St Maarten CBCS), all reporting entities should send their unusual transaction reports within 48 hours after the transaction has been executed, or after there has been an intention for a transaction.
In individual cases the FIU might extend this time period to a maximum of 5 working days. A request for dispensation should be directed in writing to the FIU, stating the reasons for the extension.
The FIU will inform the respective reporting entity in writing of its decision within 24 hours.
At least 75% of all reports received by the FIU is received from the Banking Sector. Of this amount, approximately 80% are objective reports. It follows, that the Banking Sector has a higher workload than other reporting entities when reporting objective reports.
For the Banking Sector, the reporting period is 5 workdays, from the moment the transaction is executed or from the moment of an intention to execute a transaction. This time period can be extended to a maximum of 10 working days, depending on the amount of transactions.
2. Regarding subjective Reports (Reports based on a subjective indicator):
For all reporting entities, including the Banking Sector (as defined above under 1.), the time period between the execution of the transaction (or the intention to execute a transaction) and the moment the Compliance Officer receives the report, should not exceed 24 hours.
As of the moment that the Compliance Officer receives the transaction report, the Compliance Officer will have 10 working days to complete the relevant research with regard to a possible Money Laundering/Terrorism Financing ( ML/TF) situation.
If after the research period (maximum 10 working days), there is a suspicion of ML/TF, the Compliance Officer must report the transaction within 48 hours to the FIU.
In the case that the above-mentioned time periods are absolutely not feasible, the reporting entity will send a request for dispensation in writing to the FIU, stating the reasons for this extension.
The FIU will evaluate on objective grounds and inform the reporting entity in writing within 48 hours upon reception of the request of its decision.
HOW TO REGISTER FOR REPORTING
Prior to reporting, all reporting entities (that are not yet registered) are required by law to register with the FIU Analysis department. Here you will find the registering form for CORSYS: Corsys Registration and Login Profile
HOW TO REPORT
- Online, after registration, by accessing the MOT Portal in order to connect to the new reporting system CORSYS. Here you will find a link to CORSYS:Connect to CORSYS via the MOT Portal
As said above, you need to register for CORSYS before you can use the portal.
Here you will find additional information on CORSYS: Additional Information CORSYS
- Manually, if reporting online is for objective reasons not possible, the reporting entity can report by downloading the manual reporting form. Here you will find the manual forms: Manual Reporting Forms