What is the role of COAF in the Money Laundering and Terrorism Financing Prevention process (PLD/FT)?

What is the role of COAF in the Money Laundering and Terrorism Financing Prevention process (PLD/FT)?

The Financial Activities Control Council (COAF) plays a crucial role in the Money Laundering and Terrorism Financing Prevention process (PLD/FT). Its main functions include:

1. Monitoring and Analysis: COAF monitors suspicious financial transactions and analyzes information to identify atypical patterns or behaviors that may indicate illicit activities, such as money laundering or terrorist financing.

2. Reporting Suspicions: When COAF identifies suspicious transactions or situations, it is responsible for communicating this information to the competent authorities, such as the Public Ministry or the Federal Police. This communication is essential for investigations and legal actions.

3. Collaboration with Financial Institutions: COAF works closely with financial institutions, including banks and other entities, to share relevant information and strengthen the prevention and detection of illicit activities.

4. Improvement of Policies and Regulations: Based on its analyzes and experience, COAF contributes to the improvement of policies, regulations and guidelines related to AML/FT. This includes providing guidance to financial institutions on best practices and procedures.

5. Training and Awareness: COAF also plays an educational role, promoting training and awareness about AML/FT for professionals in the financial sector and the general public.

COAF acts as a supervisory and oversight body, ensuring that financial institutions comply with their legal obligations in the fight against money laundering and terrorist financing.

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