Turkey remains on international gray list for money laundering


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Earlier this week, the United States stated that the country of Turkey still remains on the gray list of the Financial Action Task Force (FATF), the international organization that works to set global standards for combating the funding of terrorism. Terrorist funding most often occurs, according to the group, because of countries that have ineffective financial laws and lack the capability to counter any illegal monetary activities. The U.S. believes Turkey does not have the ability to prevent terrorism funding.

The statement comes from the branch of the U.S. Treasury Department that is dedicated to fighting money laundering domestically and internationally — the Financial Crimes Enforcement Network (FinCEN). There were two countries removed from the gray list this week, Tanzania and Kenya, but Turkey could not be because of the graft scandal and corruption charges currently facing Prime Minister Recep Tayyip Erdoğan. The political landscape of Turkey is still dominated by fraud and illegal actions.

“Turkey has continued to take steps towards improving its combating terrorism financing regime, including as demonstrated by recent court decisions. The FATF welcomes Turkey’s progress in largely complying with the FATF standard on criminalization of terrorist financing,” the FATF said in its statement. “However, certain concerns remain regarding Turkey’s framework for identifying and freezing terrorist assets under UNSCRs 1267 and 1373. The FATF encourages Turkey to address these remaining strategic deficiencies and continue the process of implementing its action plan.”

The United States says that, as it currently is, Turkey poses a serious threat to the international financial system. It has urged the country to take the necessary steps to fight money laundering, an issue that has been very publicly plaguing the country since members of the government were recently swept up in corruption charges.