Greece's measures to combat money laundering and terrorist financing

Publication details

Language

English

Country

Greece

Mutual Evaluation Report Greece 2019

Filename
MER-Greece-2019.pdf
Size
2 MB
Format
application/pdf
Download

Paris, 3 September 2019 - Greece has the foundations for effective action against money laundering and terrorist financing. However, it needs to improve prosecution of these crimes and focus more on the risks that face the non-financial sector.

The Financial Action Task Force (FATF) assessed Greece’s anti-money laundering and counter terrorist financing (AML/CFT) system. The Mutual Evaluation Report Greece 2019

Greece completed its first comprehensive national assessment of money laundering and terrorist financing risks in 2018 and has a good understanding of the risks it faces. The lucrative drug trade in Greece is one of the most important money laundering risks the country faces. Other risks include corruption and smuggling of migrants. The country’s terrorist financing risks come primarily from domestic terrorist groups. 

Greece has a particularly strong legal framework to fight these crimes which needs only minor improvements to meet the FATF requirements.  

Authorities work together effectively, making good use of financial intelligence. Greece is effectively using tools to disrupt terrorist financing, and seize and freeze criminals’ assets but delays can prevent effective money laundering prosecution. Greece should also prioritise the investigation and prosecution of money laundering as a standalone offence. 

Greece authorities actively co-operate with foreign counterparts to both share information and to build their own cases for investigation. 

The Greek banking sector understands its potential exposure to crime or terror related transactions and is effectively supervised using a risk-based approach. However, without detailed guidance, lawyers, tax advisors and other non-financial entities do not fully understand the risks they face. Supervision of this sector is often inconsistent, including the sanctioning of entities that fail to implement the required measures to prevent criminals and terrorists from using their services. 

Greek investigators have access to a database of up-to-date beneficial ownership information of legal persons as well as other databases. However, it is difficult to obtain timely and accurate ownership information concerning the Greek shipping industry, which frequently uses higher risk bearer shares and complex structures involving offshore locations. 

The country takes effective action in several areas, however, it needs to strengthen its risk-based approach to supervision and implementation of preventive measures, prosecution of money laundering, confiscation, and preventing misuse of legal structures and the non-profit sector.    

The FATF adopted this report at its June 2019 Plenary meeting. 

Technical Compliance

Ratings which reflect the extent to which a country has implemented the technical requirements of the FATF Recommendations.

Greece Mutual Evaluation 2019

R.1 - Assessing risk & applying risk-based approach
LC
R.2 - National cooperation and coordination
LC
R.3 - Money laundering offence
C
R.4 - Confiscation and provisional measures
LC
R.5 - Terrorist financing offence
LC
R.6 - Targeted financial sanctions related to terrorism & terrorist financing
LC
R.7 - Targeted financial sanctions related to proliferation
LC
R.8 - Non-profit organisations
PC
R.9 - Financial institution secrecy laws
C
R.10 - Customer due diligence
C
R.11 - Record keeping
C
R.12 - Politically exposed persons
C
R.13 - Correspondent banking
PC
R.14 - Money or value transfer services
C
R.15 - New technologies
LC
R.16 - Wire transfers
LC
R.17 - Reliance on third parties
LC
R.18 - Internal controls and foreign branches and subsidiaries
C
R.19 - Higher-risk countries
LC
R.20 - Reporting of suspicious transactions
C
R.21 - Tipping-off and confidentiality
C
R.22 - DNFBPs: Customer due diligence
LC
R.23 - DNFBPs: Other measures
LC
R.24 - Transparency and beneficial ownership of legal persons
LC
R.25 - Transparency and beneficial ownership of legal arrangements
LC
R.26 - Regulation and supervision of financial institutions
LC
R.27 - Powers of supervisors
C
R.28 - Regulation and supervision of DNFBPs
LC
R.29 - Financial intelligence units
C
R.30 - Responsibilities of law enforcement and investigative authorities
C
R.31 - Powers of law enforcement and investigative authorities
C
R.32 - Cash couriers
PC
R.33 - Statistics
LC
R.34 - Guidance and feedback
LC
R.35- Sanctions
LC
R.36 - International instruments
LC
R.37 - Mutual legal assistance
LC
R.38 - Mutual legal assistance: freezing and confiscation
C
R.39 - Extradition
C
R.40 - Other forms of international cooperation
LC

C = compliant   |   LC = largely compliant     |   PC = partially compliant   |   NC = non-compliant

Effectiveness

Ratings that reflect the extent to which a country's measures are effective. The assessment is conducted on the basis of 11 immediate outcomes, which represent key goals that an effective AML/CFT system should achieve.

Ratings that reflect the extent to which a country's measures are effective. The assessment is conducted on the basis of 11 immediate outcomes, which represent key goals that an effective AML/CFT system should achieve.

Greece Mutual Evaluation 2019

IO1
SE
IO2
SE
IO3
ME
IO4
ME
IO5
ME
IO6
SE
IO7
ME
IO8
ME
IO9
SE
IO10
ME
IO11
SE

HE = high level of effectiveness   |   SE = substantial level of effectiveness    |   ME = moderate level of effectiveness   |   LE = low level of effectiveness

Related materials

The FATF Recommendations

The FATF Recommendations are the basis on which all countries should meet the shared objective of tackling money laundering, terrorist financing and the financing of proliferation. The FATF calls upon all countries to effectively implement these measures in their national systems.
Read more

Mutual Evaluations

The FATF conducts peer reviews of each member on an ongoing basis to assess levels of implementation of the FATF Recommendations, providing an in-depth description and analysis of each country’s system for preventing criminal abuse of the financial system
Read more Consolitated assessment ratings
ESAAMLG Logo

The 2022 and 2013 Methodologies for Assessing Technical Compliance with the FATF Recommendations and the Effectiveness of AML/CFT/CPF Systems

These documents are guides intended for use by assessors who are tasked with conducting a mutual evaluation. They provide a structured framework of analysis that ensures a level of consistency and high quality of the mutual evaluation reports produced. Latest update: August 2024
Read more