Japan should set national anti-money laundering policy, says FATF report

TOKYO - A global financial crimes watchdog urged Japan on Monday to improve cooperation among various government agencies as part of efforts to combat money laundering and the financing of terrorism.

Responding to the report by The Finance Ministry Japan announced a three-year action plan that will include an intervention in the inter agency crime investigation and tighter oversight of financial institutions.

The FATF report, the result of a 14-month peer review in Japan, said there was generally good interagency cooperation among Tokyo's law enforcement bodies in the area of money laundering.

However, FATF, an international body that underpins the fight against money laundering and terrorist financing worldwide, suggested that Japan designate a joint-agency body responsible for setting national anti-money laundering and counter-terrorism policies and activities.

Welcoming the FATF report, Finance Minister Taro Aso said fighting money laundering was essential to our strategy to make Japan an international hub for the country.

FATF recommends the body’s more than 200 members around the world to go after the money of criminal traders dealing in illegal drug, human trafficking and other crimes. The FATF also works to stop funding of weapons of mass destruction.