|
|
Sanctions:
As a member of the EU, the country is party to all EU Sanctions
as well as UN sanctions.
____________________________________________________
Offshore Jurisdiction Blacklists:
Information unavailable.
____________________________________________________
US State Department Money Laundering Report 2012:
While not an offshore financial center, Germany is one of the
largest financial centers in Europe. Although not a major drug
producing country, Germany continues to be a consumer and a
major transit hub for narcotics. Organized criminal groups
involved in drug trafficking and other illegal activities are an
additional source of laundered funds in Germany. Trends in
money laundering include electronic payment systems; financial
agents, i.e., persons who are solicited to make their private
accounts available for money laundering transactions; and trade
in CO2 emission certificates. Free Zones of control type I exist in
Bremerhaven, Cuxhaven, and Hamburg, i.e., freeports.
Deggendorf and Duisburg are control type II Free Zones
(unfenced inland ports).
For additional information focusing on terrorist financing, please
refer to the Department of State’s Country Reports on Terrorism,
which can be found here: http://www.state.gov/j/ct/rls/crt/
Do Financial Institutions engage in currency transactions related
to international narcotics trafficking that include significant
amounts of US currency; currency derived from illegal sales in the
U.S.; or that otherwise significantly affect the U.S.: NO
Criminalization of Money Laundering:
“All serious crimes” approach or “list” approach to predicate
crimes: Both
Legal persons covered: criminally: NO civilly: YES
Know-your-customer (KYC) rules:
Enhanced due diligence procedures for PEPs: Foreign: YES
Domestic: NO
KYC covered entities: Credit institutions, financial services
institutions, payment institutions and e-money institutions as well
as their agents; financial enterprises; insurance companies and
intermediaries; investment companies; lawyers, legal advisers,
auditors, chartered accountants, tax advisers and tax agents;
trust or company service providers; real estate agents; casinos;
and persons trading in goods
Suspicious Transaction Reporting (STR) Requirements:
Number of STRs received and time frame: 11,042 in 2010
Number of CTRs received and time frame: Not applicable
STR covered entities: Credit institutions, financial services
institutions, payment institutions and e-money institutions as well
as their agents; financial enterprises; insurance companies and
intermediaries; investment companies; lawyers, legal advisers,
auditors, chartered accountants, tax advisers and tax agents;
trust or company service providers; real estate agents; casinos;
and persons trading in goods
Money Laundering Criminal Prosecutions/Convictions:
Prosecutions: 684 in 2010
Convictions: 606 in 2010
Records exchange mechanism:
With U.S.: MLAT: YES Other mechanism: YES
With other governments/jurisdictions: YES
Germany is a member of the Financial Action Task Force. Its most
recent mutual evaluation can be found here: http://www.fatf-gafi.
org/dataoecd/44/19/44886008.pdf
Enforcement and implementation issues and comments:
Germany strengthened its AML/CFT regime in 2011, including by:
amending AML/CFT provisions governing the financial sector
through the Act to Implement the Second E-Money Directive which
entered into force at the end of April 2011; extending the list of
predicate offenses to include market manipulation, product piracy
and insider trading through the Act to Improve the Combating of
Money Laundering and Tax Evasion, effective May 3, 2011;
clarifying the powers - such as the right to obtain information and
enter premises - of the supervisory authorities responsible for
non-financial institutions; and submitting the draft Act to Optimize
the Prevention of Money Laundering to the German parliament,
with adoption envisaged before the end of 2011. While Germany
has no automatic CTR requirement, large currency transactions
frequently trigger a STR.
Tipping off is a criminal offense only if it is committed with the
intent to support money laundering or obstruct justice, and
applies only to previously-filed STRs. Otherwise, it is an
administrative offense that carries a fine of up to € 50,000
(approximately $68,000) under the Money Laundering Act; draft
legislation would increase the fine up to € 100,000 (approximately
$133,000). Legal persons are only covered by the Administrative
Offenses Act, and are not criminally liable under the Criminal
Code.
The numbers of prosecutions and convictions included in this
report only reflect cases in which the money laundering violation
carried the highest penalty of all the crimes of which the offender
was convicted.
Notably, on March 10, 2011, a German-Lebanese criminal group
was sentenced for laundering money from narcotics sales
throughout Europe by transporting it to Lebanon. Assets
amounting to € 9.2 million (approximately $12.271 million) were
forfeited. Germany has no federal statistics on the amount of
assets forfeited in criminal money laundering cases. Assets can
be forfeited as part of a criminal trial or through administrative
procedures such as claiming back taxes.
Germany should become a party to the UN Convention against
Corruption.
____________________________________________________
US State Dept Narcotics Report 2012 (introduction):
Germany is a consumer and transit country for narcotics. The
German government actively combats drug-related crimes and
places particular emphasis on prevention programs and
assistance to victims of drug abuse. Germany continues to
implement its 2003 Action Plan on Drugs and Addiction. Cannabis
remains the most commonly-consumed illicit drug in Germany.
Organized crime continues to engage in narcotics trafficking.
Germany is a party to the 1988 UN Drug Convention.
Germany is not a significant drug cultivation or production
country. The Federal Criminal Police (BKA) statistics reported
seizure of 16 small-scale synthetic drug labs in Germany in 2010.
Germany is not a significant producer of hashish or marijuana. In
2010, German police reported the discovery and seizure of 46
outdoor marijuana “plantations,” a 31% decrease compared to
2009. In addition, German police seized 348 indoor plantations – a
2% increase compared to 2009. Germany is a major manufacturer
of legal pharmaceuticals, making it a potential source of precursor
chemicals used in the production of illicit narcotics, although
Germany strictly controls precursor chemicals.
Germany’s central location in Europe and its well-developed
infrastructure make it a major transit hub for commerce.
Traffickers smuggle cocaine from South America (in particular by
air via Brazil and Argentina) to Germany for German domestic
use, as well as through Germany to other European countries
such as Spain and the UK. The origin of larger seizures of heroin
in Germany in most cases could not be traced back further than
the Netherlands. Overland smuggling occurs through Belgium,
Austria, Poland, or the Balkans. Cannabis is trafficked to Germany
mainly from the Netherlands, but also from Morocco via Spain and
Portugal as well as through Belgium, France, and Austria. Smaller
amounts of marijuana are smuggled with high frequency from
Switzerland, Austria, and the Czech Republic to Germany.
Amphetamines are trafficked mainly from the Netherlands and in
lesser quantities from Belgium, Austria, and the Czech Republic.
Per the Federal Health Ministry, around 600,000 individuals in
Germany consume cannabis and around 200,000 individuals
consume other illegal drugs, such as heroin and amphetamines,
through injection. The number of drug-related deaths in Germany
continued to decrease in 2010. A total of 1,237 people died as a
result of consuming illegal drugs in 2010, down from 1,331 in
2009. The most frequent cause of death was from an overdose of
heroin, sometimes in connection with other drug abuse. 18,621
hard drug users were newly recorded in 2010, a 2.7% increase
compared to 2009. First-time use of heroin (-10.9%), cocaine
(-10.6%) and ecstasy (-38%) decreased in 2010, while the first-
time use of crack cocaine (+71.8%) and amphetamines (+12.8%)
increased. The first-time use of crystal methamphetamines
increased by 76.4%.
For Full report, click here
____________________________________________________
US State Dept Trafficking in Persons Report 2011
(introduction):
(Tier 1)
Germany is a source, transit, and destination country for women,
children, and men subjected to sex trafficking and forced labor.
Approximately 85 percent of identified victims of sex trafficking
originated in Europe, including 25 percent from within Germany,
20 percent from Romania, and 19 percent from Bulgaria. Non-
European victims originated in Nigeria, other parts of Africa, Asia,
and the Western Hemisphere. The majority of identified sex
trafficking victims have been exploited in bars, brothels, and
apartments – approximately 45 percent of identified sex trafficking
victims reported that they had agreed initially to engage in
prostitution. Victims of forced labor have been identified in hotels,
domestic service, construction sites, meat processing plants, and
restaurants. Members of ethnic minorities, such as Roma, as well
as foreign unaccompanied minors who arrived in Germany, were
particularly vulnerable to human trafficking.
The Government of Germany fully complies with the minimum
standards for the elimination of trafficking. The government
sustained strong efforts in investigating and prosecuting
trafficking offenders. The government continued to fund NGOs
that provided a full range of services to trafficking victims. The
government also reported an increase in the number of trafficking
victims proactively identified by authorities. During the year, it also
commissioned several studies on human trafficking to examine
and improve its response to the problem. Available statistics,
however, indicate the majority of convicted labor and sex
trafficking offenders were not required to serve time in prison,
raising concerns that punishments were inadequate to deter
traffickers or did not reflect the heinous nature of the offense.
For full report click here
____________________________________________________
US State Dept Terrorism Report 2010
Overview: German security officials indicated that the threat from
violent extremism remained high and that terrorist groups
continued to target Germany. In November, Interior Minister de
Maizière warned about an increased likelihood of a terrorist attack
in Germany and ordered heightened security measures at
airports, railway stations, and other public sites. As of late 2010,
more than 1,000 individuals were monitored by security
authorities, 129 of whom were considered dangerous. Authorities
estimated that roughly 220 individuals, both German nationals
and permanent residents, have undergone paramilitary training
since the early 1990s at terrorist training camps, primarily located
in the border regions of Afghanistan and Pakistan. Approximately
110 of these individuals have returned to Germany and 10 of
them were in custody at year’s end. Germany investigated,
arrested, and prosecuted numerous terrorism suspects and
disrupted terrorist-related groups within its borders with
connections to religious extremist, Kurdish nationalist, and Marxist-
Leninist terrorist organizations. Authorities conducted
approximately 390 active investigations against 405 terrorist
suspects, the largest number conducted to date. Of these
investigations, 129 were Afghanistan-related. Throughout the
year, a number of terrorist organizations, including the German
Taliban Mujahedin and the Islamic Movement of Uzbekistan,
released videos featuring German speakers.
2010 Terrorist Incidents: On November 2, a package bomb
postmarked from Greece and addressed to Chancellor Merkel
was detected at the Chancellery and destroyed. One of the two
Greeks subsequently arrested in Athens allegedly belonged to
the group “Conspiracy of Fire Nuclei.”
Legislation and Law Enforcement: In reaction to the October 28
parcel bomb plot from Yemen, an interagency task force on air
cargo security on December 8 recommended procedural
changes. The federal police were given increased authority at
airports and they implemented more frequent spot checks of
cargo companies.
German courts began trials or reached verdicts in a number of
notable counterterrorism cases, including:
* On March 4, four violent extremists belonging to the Islamic
Jihad Union (IJU) cell arrested in Sauerland were found guilty of
planning to attack U.S. diplomats, soldiers, and civilians. They
received five to 12 year sentences.
* On July 19, a court sentenced Turkish citizen Oemer Ozdemir to
six years and German citizen Sermet Ilgen to two years and six
months for supporting/belonging to al-Qa’ida (AQ).
* On October 20, the Federal Prosecutor’s office charged seven
Germans and one Turkish citizen with supporting AQ, al-Qa’ida in
Iraq (AQI), Ansar al-Islam, and the Global Islamic Media Front’s
German section.
In 2010, German law enforcement authorities arrested a number
of individuals suspected of involvement in terrorism. Prominent
new actions and arrests included:
* Eric Breininger, a German citizen, was reportedly killed in
Waziristan in late April. Breininger, an IJU member, appeared in
extremist videos and is suspected of having ties with the IJU
Sauerland cell.
* On July 4, authorities arrested Syrian national Hussam S. on
suspicion of recruiting for AQ, AQI, al-Qa’ida in the Islamic
Maghreb, and the IJU. Hussam S. was suspected of about 100
counts of posting criminal propaganda material online.
* On July 12, Interior Minister de Maizière banned the Frankfurt-
based Hamas-affiliated International Humanitarian Relief
Organization.
Countering Terrorist Finance: Germany is a member of the
Financial Action Task Force, and its Financial Intelligence Unit is a
member of the Egmont Group. Of the 9,046 suspicious
transaction reports filed in 2009 (2010 figures were not available
at year’s end), 98 were filed for suspected terrorist financing, and
an additional 415 were examined for possible links to terrorist
financing. Germany remained a strong advocate of the UNSCR
1267 al-Qa’ida/Taliban sanctions regime.
Regional and International Cooperation: Germany ratified the
Amendment to the Convention on the Physical Protection of
Nuclear Material. Germany continued to participate in multilateral
counterterrorism initiatives, including the G8 Roma-Lyon and
Counterterrorism Action Group.
Countering Radicalization and Violent Extremism: On July 19, the
German Federal Office for the Protection of the Constitution
launched an opt-out program for violent extremists called HATIF,
which is the Arabic term for telephone and also the abbreviation in
German for “Heraus Aus Terrorismus und Islamistischem
Fanatismus”, or “leaving terrorism and Islamist fanaticism.” The
Interior Ministry also continued a project first launched in 2001 to
stop radicalization among young right-wing offenders. The
program was expanded in 2007 to include young militants and ran
in eight states. The recidivism rate of participants was very low. In
2010, the Interior Ministry also continued a project in three states
to counter radicalization of young delinquents influenced by
violent extremist ideology.
As a member of the EU, the country is party to all EU Sanctions
as well as UN sanctions.
____________________________________________________
Offshore Jurisdiction Blacklists:
Information unavailable.
____________________________________________________
US State Department Money Laundering Report 2012:
While not an offshore financial center, Germany is one of the
largest financial centers in Europe. Although not a major drug
producing country, Germany continues to be a consumer and a
major transit hub for narcotics. Organized criminal groups
involved in drug trafficking and other illegal activities are an
additional source of laundered funds in Germany. Trends in
money laundering include electronic payment systems; financial
agents, i.e., persons who are solicited to make their private
accounts available for money laundering transactions; and trade
in CO2 emission certificates. Free Zones of control type I exist in
Bremerhaven, Cuxhaven, and Hamburg, i.e., freeports.
Deggendorf and Duisburg are control type II Free Zones
(unfenced inland ports).
For additional information focusing on terrorist financing, please
refer to the Department of State’s Country Reports on Terrorism,
which can be found here: http://www.state.gov/j/ct/rls/crt/
Do Financial Institutions engage in currency transactions related
to international narcotics trafficking that include significant
amounts of US currency; currency derived from illegal sales in the
U.S.; or that otherwise significantly affect the U.S.: NO
Criminalization of Money Laundering:
“All serious crimes” approach or “list” approach to predicate
crimes: Both
Legal persons covered: criminally: NO civilly: YES
Know-your-customer (KYC) rules:
Enhanced due diligence procedures for PEPs: Foreign: YES
Domestic: NO
KYC covered entities: Credit institutions, financial services
institutions, payment institutions and e-money institutions as well
as their agents; financial enterprises; insurance companies and
intermediaries; investment companies; lawyers, legal advisers,
auditors, chartered accountants, tax advisers and tax agents;
trust or company service providers; real estate agents; casinos;
and persons trading in goods
Suspicious Transaction Reporting (STR) Requirements:
Number of STRs received and time frame: 11,042 in 2010
Number of CTRs received and time frame: Not applicable
STR covered entities: Credit institutions, financial services
institutions, payment institutions and e-money institutions as well
as their agents; financial enterprises; insurance companies and
intermediaries; investment companies; lawyers, legal advisers,
auditors, chartered accountants, tax advisers and tax agents;
trust or company service providers; real estate agents; casinos;
and persons trading in goods
Money Laundering Criminal Prosecutions/Convictions:
Prosecutions: 684 in 2010
Convictions: 606 in 2010
Records exchange mechanism:
With U.S.: MLAT: YES Other mechanism: YES
With other governments/jurisdictions: YES
Germany is a member of the Financial Action Task Force. Its most
recent mutual evaluation can be found here: http://www.fatf-gafi.
org/dataoecd/44/19/44886008.pdf
Enforcement and implementation issues and comments:
Germany strengthened its AML/CFT regime in 2011, including by:
amending AML/CFT provisions governing the financial sector
through the Act to Implement the Second E-Money Directive which
entered into force at the end of April 2011; extending the list of
predicate offenses to include market manipulation, product piracy
and insider trading through the Act to Improve the Combating of
Money Laundering and Tax Evasion, effective May 3, 2011;
clarifying the powers - such as the right to obtain information and
enter premises - of the supervisory authorities responsible for
non-financial institutions; and submitting the draft Act to Optimize
the Prevention of Money Laundering to the German parliament,
with adoption envisaged before the end of 2011. While Germany
has no automatic CTR requirement, large currency transactions
frequently trigger a STR.
Tipping off is a criminal offense only if it is committed with the
intent to support money laundering or obstruct justice, and
applies only to previously-filed STRs. Otherwise, it is an
administrative offense that carries a fine of up to € 50,000
(approximately $68,000) under the Money Laundering Act; draft
legislation would increase the fine up to € 100,000 (approximately
$133,000). Legal persons are only covered by the Administrative
Offenses Act, and are not criminally liable under the Criminal
Code.
The numbers of prosecutions and convictions included in this
report only reflect cases in which the money laundering violation
carried the highest penalty of all the crimes of which the offender
was convicted.
Notably, on March 10, 2011, a German-Lebanese criminal group
was sentenced for laundering money from narcotics sales
throughout Europe by transporting it to Lebanon. Assets
amounting to € 9.2 million (approximately $12.271 million) were
forfeited. Germany has no federal statistics on the amount of
assets forfeited in criminal money laundering cases. Assets can
be forfeited as part of a criminal trial or through administrative
procedures such as claiming back taxes.
Germany should become a party to the UN Convention against
Corruption.
____________________________________________________
US State Dept Narcotics Report 2012 (introduction):
Germany is a consumer and transit country for narcotics. The
German government actively combats drug-related crimes and
places particular emphasis on prevention programs and
assistance to victims of drug abuse. Germany continues to
implement its 2003 Action Plan on Drugs and Addiction. Cannabis
remains the most commonly-consumed illicit drug in Germany.
Organized crime continues to engage in narcotics trafficking.
Germany is a party to the 1988 UN Drug Convention.
Germany is not a significant drug cultivation or production
country. The Federal Criminal Police (BKA) statistics reported
seizure of 16 small-scale synthetic drug labs in Germany in 2010.
Germany is not a significant producer of hashish or marijuana. In
2010, German police reported the discovery and seizure of 46
outdoor marijuana “plantations,” a 31% decrease compared to
2009. In addition, German police seized 348 indoor plantations – a
2% increase compared to 2009. Germany is a major manufacturer
of legal pharmaceuticals, making it a potential source of precursor
chemicals used in the production of illicit narcotics, although
Germany strictly controls precursor chemicals.
Germany’s central location in Europe and its well-developed
infrastructure make it a major transit hub for commerce.
Traffickers smuggle cocaine from South America (in particular by
air via Brazil and Argentina) to Germany for German domestic
use, as well as through Germany to other European countries
such as Spain and the UK. The origin of larger seizures of heroin
in Germany in most cases could not be traced back further than
the Netherlands. Overland smuggling occurs through Belgium,
Austria, Poland, or the Balkans. Cannabis is trafficked to Germany
mainly from the Netherlands, but also from Morocco via Spain and
Portugal as well as through Belgium, France, and Austria. Smaller
amounts of marijuana are smuggled with high frequency from
Switzerland, Austria, and the Czech Republic to Germany.
Amphetamines are trafficked mainly from the Netherlands and in
lesser quantities from Belgium, Austria, and the Czech Republic.
Per the Federal Health Ministry, around 600,000 individuals in
Germany consume cannabis and around 200,000 individuals
consume other illegal drugs, such as heroin and amphetamines,
through injection. The number of drug-related deaths in Germany
continued to decrease in 2010. A total of 1,237 people died as a
result of consuming illegal drugs in 2010, down from 1,331 in
2009. The most frequent cause of death was from an overdose of
heroin, sometimes in connection with other drug abuse. 18,621
hard drug users were newly recorded in 2010, a 2.7% increase
compared to 2009. First-time use of heroin (-10.9%), cocaine
(-10.6%) and ecstasy (-38%) decreased in 2010, while the first-
time use of crack cocaine (+71.8%) and amphetamines (+12.8%)
increased. The first-time use of crystal methamphetamines
increased by 76.4%.
For Full report, click here
____________________________________________________
US State Dept Trafficking in Persons Report 2011
(introduction):
(Tier 1)
Germany is a source, transit, and destination country for women,
children, and men subjected to sex trafficking and forced labor.
Approximately 85 percent of identified victims of sex trafficking
originated in Europe, including 25 percent from within Germany,
20 percent from Romania, and 19 percent from Bulgaria. Non-
European victims originated in Nigeria, other parts of Africa, Asia,
and the Western Hemisphere. The majority of identified sex
trafficking victims have been exploited in bars, brothels, and
apartments – approximately 45 percent of identified sex trafficking
victims reported that they had agreed initially to engage in
prostitution. Victims of forced labor have been identified in hotels,
domestic service, construction sites, meat processing plants, and
restaurants. Members of ethnic minorities, such as Roma, as well
as foreign unaccompanied minors who arrived in Germany, were
particularly vulnerable to human trafficking.
The Government of Germany fully complies with the minimum
standards for the elimination of trafficking. The government
sustained strong efforts in investigating and prosecuting
trafficking offenders. The government continued to fund NGOs
that provided a full range of services to trafficking victims. The
government also reported an increase in the number of trafficking
victims proactively identified by authorities. During the year, it also
commissioned several studies on human trafficking to examine
and improve its response to the problem. Available statistics,
however, indicate the majority of convicted labor and sex
trafficking offenders were not required to serve time in prison,
raising concerns that punishments were inadequate to deter
traffickers or did not reflect the heinous nature of the offense.
For full report click here
____________________________________________________
US State Dept Terrorism Report 2010
Overview: German security officials indicated that the threat from
violent extremism remained high and that terrorist groups
continued to target Germany. In November, Interior Minister de
Maizière warned about an increased likelihood of a terrorist attack
in Germany and ordered heightened security measures at
airports, railway stations, and other public sites. As of late 2010,
more than 1,000 individuals were monitored by security
authorities, 129 of whom were considered dangerous. Authorities
estimated that roughly 220 individuals, both German nationals
and permanent residents, have undergone paramilitary training
since the early 1990s at terrorist training camps, primarily located
in the border regions of Afghanistan and Pakistan. Approximately
110 of these individuals have returned to Germany and 10 of
them were in custody at year’s end. Germany investigated,
arrested, and prosecuted numerous terrorism suspects and
disrupted terrorist-related groups within its borders with
connections to religious extremist, Kurdish nationalist, and Marxist-
Leninist terrorist organizations. Authorities conducted
approximately 390 active investigations against 405 terrorist
suspects, the largest number conducted to date. Of these
investigations, 129 were Afghanistan-related. Throughout the
year, a number of terrorist organizations, including the German
Taliban Mujahedin and the Islamic Movement of Uzbekistan,
released videos featuring German speakers.
2010 Terrorist Incidents: On November 2, a package bomb
postmarked from Greece and addressed to Chancellor Merkel
was detected at the Chancellery and destroyed. One of the two
Greeks subsequently arrested in Athens allegedly belonged to
the group “Conspiracy of Fire Nuclei.”
Legislation and Law Enforcement: In reaction to the October 28
parcel bomb plot from Yemen, an interagency task force on air
cargo security on December 8 recommended procedural
changes. The federal police were given increased authority at
airports and they implemented more frequent spot checks of
cargo companies.
German courts began trials or reached verdicts in a number of
notable counterterrorism cases, including:
* On March 4, four violent extremists belonging to the Islamic
Jihad Union (IJU) cell arrested in Sauerland were found guilty of
planning to attack U.S. diplomats, soldiers, and civilians. They
received five to 12 year sentences.
* On July 19, a court sentenced Turkish citizen Oemer Ozdemir to
six years and German citizen Sermet Ilgen to two years and six
months for supporting/belonging to al-Qa’ida (AQ).
* On October 20, the Federal Prosecutor’s office charged seven
Germans and one Turkish citizen with supporting AQ, al-Qa’ida in
Iraq (AQI), Ansar al-Islam, and the Global Islamic Media Front’s
German section.
In 2010, German law enforcement authorities arrested a number
of individuals suspected of involvement in terrorism. Prominent
new actions and arrests included:
* Eric Breininger, a German citizen, was reportedly killed in
Waziristan in late April. Breininger, an IJU member, appeared in
extremist videos and is suspected of having ties with the IJU
Sauerland cell.
* On July 4, authorities arrested Syrian national Hussam S. on
suspicion of recruiting for AQ, AQI, al-Qa’ida in the Islamic
Maghreb, and the IJU. Hussam S. was suspected of about 100
counts of posting criminal propaganda material online.
* On July 12, Interior Minister de Maizière banned the Frankfurt-
based Hamas-affiliated International Humanitarian Relief
Organization.
Countering Terrorist Finance: Germany is a member of the
Financial Action Task Force, and its Financial Intelligence Unit is a
member of the Egmont Group. Of the 9,046 suspicious
transaction reports filed in 2009 (2010 figures were not available
at year’s end), 98 were filed for suspected terrorist financing, and
an additional 415 were examined for possible links to terrorist
financing. Germany remained a strong advocate of the UNSCR
1267 al-Qa’ida/Taliban sanctions regime.
Regional and International Cooperation: Germany ratified the
Amendment to the Convention on the Physical Protection of
Nuclear Material. Germany continued to participate in multilateral
counterterrorism initiatives, including the G8 Roma-Lyon and
Counterterrorism Action Group.
Countering Radicalization and Violent Extremism: On July 19, the
German Federal Office for the Protection of the Constitution
launched an opt-out program for violent extremists called HATIF,
which is the Arabic term for telephone and also the abbreviation in
German for “Heraus Aus Terrorismus und Islamistischem
Fanatismus”, or “leaving terrorism and Islamist fanaticism.” The
Interior Ministry also continued a project first launched in 2001 to
stop radicalization among young right-wing offenders. The
program was expanded in 2007 to include young militants and ran
in eight states. The recidivism rate of participants was very low. In
2010, the Interior Ministry also continued a project in three states
to counter radicalization of young delinquents influenced by
violent extremist ideology.
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| Further Tables |
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*Please note that FATF deems that a country has significant aml deficiencies if any
of the 'Core' Recommendations, R1, R5, R10, R13, SRII, or SRIV are rated either
Partially of Non-Compliant. These are marked in red.
For FATF to remove a country from the regular follow-up process, it has to be rated
Compliant or Largely Compliant in the above mentioned Core Recommendations
and the following Key Recommendations: -
R3, R4, R23, R26, R35, R36, R40, SRI, SRIII, SRV
Please also note that any risk assessment should take into consideration all
follow-up reports.
of the 'Core' Recommendations, R1, R5, R10, R13, SRII, or SRIV are rated either
Partially of Non-Compliant. These are marked in red.
For FATF to remove a country from the regular follow-up process, it has to be rated
Compliant or Largely Compliant in the above mentioned Core Recommendations
and the following Key Recommendations: -
R3, R4, R23, R26, R35, R36, R40, SRI, SRIII, SRV
Please also note that any risk assessment should take into consideration all
follow-up reports.
| GERMANY |
| KnowYourCountry |
|
_________________________________________________________
AML News / Updates
August 1, 2011 - IMF release report on on Observance of Standards
and Codes prepared by the Monetary and Capital Markets and
European Departments
Read Report
May 1, 2011 - New report by the Global Forum on Transparency and
Exchange of Information to evaluate the country's legal and regulatory
frameworks and implementation for re exchange of information is made
available.
Read Report
Links:
Worldwide AML Legislation (International Bar Association)
Zentralstelle für Verdachtsanzeigen – Financial Intelligence Unit
AML News / Updates
August 1, 2011 - IMF release report on on Observance of Standards
and Codes prepared by the Monetary and Capital Markets and
European Departments
Read Report
May 1, 2011 - New report by the Global Forum on Transparency and
Exchange of Information to evaluate the country's legal and regulatory
frameworks and implementation for re exchange of information is made
available.
Read Report
Links:
Worldwide AML Legislation (International Bar Association)
Zentralstelle für Verdachtsanzeigen – Financial Intelligence Unit
|
Key Findings from last Mutual Evaluation Report
Germany has introduced a number of measures in recent years to
strengthen its anti-money laundering and combating the financing of
terrorism regime. Germany has generated a relatively large number of
prosecutions for money laundering and of orders to confiscate assets.
These achievements occurred despite the shortcomings that were
identified in this assessment.
Many indicators suggest that Germany is susceptible to money
laundering and terrorist financing, including because of its large
economy and financial centre, as well as its strategic location in Europe
and its strong international linkages. Substantial proceeds of crime are
generated in Germany, estimated to be EUR 40 to EUR 60 billion
(approximately USD 60–80 billion), inclusive of tax evasion, annually.
Terrorists have carried out terrorist acts in Germany and in other nations
after being based in Germany. Germany is also estimated to have a
large informal sector (> EUR 400 billion or > EUR 560 billion) and the
use of cash is reportedly high. Germany’s currency is the Euro (€), which
is used widely across Europe, thus making it attractive to organized
criminals and tax evaders.
Key factors that may reduce Germany’s risk profile for money laundering
include its strong legal tradition, the rule of law, its political environment,
and having an effective single financial regulator.
The core elements of Germany’s anti-money laundering and counter-
terrorist financing regime are established in the German Criminal Code,
which contains the money laundering and terrorist financing offenses;
the Money Laundering Act; and the sector-specific laws such as the
Banking Act. The Money Laundering Act established Germany’s financial
intelligence unit (FIU) within the Federal Criminal Police Office (BKA),
imposes customer due diligence (CDD) obligations on a wide range of
financial institutions, and requires these financial institutions to submit
suspicious transaction reports to the competent authorities. The Act was
most recently amended in August 2008, when Germany transposed the
third European Union Money Laundering Directive, and its Implementing
Directive, into national law.
The anti-money laundering and counter-terrorist financing framework is
not fully in line with the FATF Recommendations. There are weaknesses
in the legal framework and in sanctioning for non-compliance with anti-
money laundering and counter-terrorist financing requirements. The
FATF report contains Recommendations to address these issues.
Germany has introduced a number of measures in recent years to
strengthen its anti-money laundering and combating the financing of
terrorism regime. Germany has generated a relatively large number of
prosecutions for money laundering and of orders to confiscate assets.
These achievements occurred despite the shortcomings that were
identified in this assessment.
Many indicators suggest that Germany is susceptible to money
laundering and terrorist financing, including because of its large
economy and financial centre, as well as its strategic location in Europe
and its strong international linkages. Substantial proceeds of crime are
generated in Germany, estimated to be EUR 40 to EUR 60 billion
(approximately USD 60–80 billion), inclusive of tax evasion, annually.
Terrorists have carried out terrorist acts in Germany and in other nations
after being based in Germany. Germany is also estimated to have a
large informal sector (> EUR 400 billion or > EUR 560 billion) and the
use of cash is reportedly high. Germany’s currency is the Euro (€), which
is used widely across Europe, thus making it attractive to organized
criminals and tax evaders.
Key factors that may reduce Germany’s risk profile for money laundering
include its strong legal tradition, the rule of law, its political environment,
and having an effective single financial regulator.
The core elements of Germany’s anti-money laundering and counter-
terrorist financing regime are established in the German Criminal Code,
which contains the money laundering and terrorist financing offenses;
the Money Laundering Act; and the sector-specific laws such as the
Banking Act. The Money Laundering Act established Germany’s financial
intelligence unit (FIU) within the Federal Criminal Police Office (BKA),
imposes customer due diligence (CDD) obligations on a wide range of
financial institutions, and requires these financial institutions to submit
suspicious transaction reports to the competent authorities. The Act was
most recently amended in August 2008, when Germany transposed the
third European Union Money Laundering Directive, and its Implementing
Directive, into national law.
The anti-money laundering and counter-terrorist financing framework is
not fully in line with the FATF Recommendations. There are weaknesses
in the legal framework and in sanctioning for non-compliance with anti-
money laundering and counter-terrorist financing requirements. The
FATF report contains Recommendations to address these issues.
| Last Updated: 16 April 2012 |