Curtailing Illicit Flows
Global, Regional, and Domestic
Policy Options
Raymond Baker
President, Global Financial Integrity
September 9, 2014
Policy Themes
• Greater transparency in domestic and
international financial transactions, and
• Greater cooperation between
governments to shut down the channels
through which illicit money flows.
Recommendations Include
• Instituting transparency of company
ownership;
• Building capacity to effectively implement
emerging tax information exchange
arrangements; and
• Taking stronger legal measures against
trade misinvoicing.
Curtailing Trade Misinvoicing
•
•
•
•
Legislation
Declarative Statement
Real-Time Access to Pricing Data
Audit Verification
Legislation
Adopt legislation making abusive trade
misinvoicing, on any transaction with this
country, wherever and however it is done,
against the law.
Declarative Statement
In relation to the importation or exportation of goods or in relation to
the importation or exportation or utilization of services or intangibles,
there has been no misstatement of price, quantity, quality, volume,
or other substantive term of invoice i) for the purpose of
manipulating customs duties, VAT taxes, income taxes, excise
taxes, or any other form of revenues collected by or to be collected
by the Government, or ii) for the purpose of evading or violating
banking, capital, or foreign exchange controls or anti-money
laundering statutes or terrorist financing prohibitions.
___________
________
Chief Executive Officer
Real-Time Access to Pricing
Data
Access to U.S. and E.U. trade pricing data
on 25,000 Harmonized System categories of
trade goods.
Audit Verification
Auditors required to sign a statement on
audited accounts confirming that upon their
examination and to the best of their ability to
determine the Chief Executive Officer’s
Declarative Statement i) has been fully
complied with, or ii) has been or may have
been violated in the following specified
incidents [list].
Political Will
• Political Will
• Political Will
• Political Will
Contact Information
Today’s Speaker:
Press Inquires:
Raymond Baker
President
Global Financial Integrity
rbaker@gfintegrity.org
+1 202 293 0740
Direct all press inquiries to:
Clark Gascoigne
Communications Director
Global Financial Integrity
cgascoigne@gfintegrity.org
+1 202 815 4029
www.gfintegrity.org