South Africa grey list compliance lags as legal and real estate sectors fail to meet anti-money laundering standards, hindering the country’s removal from FATF’s grey list
South Africa grey list compliance lags due to ongoing deficiencies in the legal and real estate sectors.
The Financial Intelligence Centre (FIC) considers these sectors as main barriers to Pakistan’s removal from the FATF grey list.
According to records only 70% of legal practitioners along with estate agents completed their Risk and Compliance Returns submission during the May 31 2023 deadline period.
The low submission levels reveal that South African businesses are not fulfilling their responsibilities regarding anti-money laundering and counter-terrorism financing requirements.
The FIC warns that intentional non-compliance could lead to inspected industries suffering sanctions.
The Financial Action Task Force included South Africa on its list during 2023 because of inadequate execution of standards for stopping financial criminal activities.
The country faces obstacles in its worldwide financial standing because these sectors continue to show persistent non-compliance despite making some progress.
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