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Firstly, is important to understand the cause of money laundry crime. Usually, is related to drugs traffic, terrorism, trafficking of humans, others international crimes.

In 1989, the group of seven (G-7), composed in those days by Italy, United Kingdom, France, Canada, United States, West Germany and Japan, create Financial Action Task Force (FATF).

At the present time, FATF have the responsibility to enforcement legislations to combat money laundry, terrorism financing and other international crime related. Therefore, FATF review countries compliance against anti-money laundry (AML) such as legislations and internal politics.

Last, June Panama was included in the “grey list”, which means our jurisdictions receive calcification as “strong deficiency in AML standards.”

Given these points, Which is the real problem?. In all honesty, Panama government, I mean politics don’t provide relevance to this international situation, whose affect the country reputation, consequently became difficult to do business with international financial institutions, because transform the daily basis know your client (KYC) diligence in “deeply, strongly know your client policy and required more documents to confirm the “transactions is legal”.

With this in mind, what are the actions for Panama, to resolve this issue?.

In order to accomplish, with the 40 recommendations, Panama should modify the legislation and include terrorism financing and tax evasion as crime. However, traditionally this country doesn’t have a “culture of paying taxes”. For the simple reason, that the main economic activity is “to provide service”, as a result the principal revenue source is the Panama Canal. Also we offer financial and commercial service for the world. Understanding, the income source of the country is considered unfair that international organization named “tax heaven jurisdiction” or similar adjectives.

Accordingly, this will be representing a real challenge to our system; anyhow I have the confidence that always we are going to find the best solution.

On the other hand, is necessary to create a District Attorney office persuades to contest specifically the money laundry activities, which means a large investment of the government authorities.

Other actions that Panama have to implement is to control lawyers and accounting in the compliance of the KYC with their clients.

Actually, Panama is among of the 15 countries with the healthier economic growing, the reputation of the county is a risk, in any case, Panama request for counseling, guidelines of the United States experts to resolve this situation.

Finally, we have expatiation to leave the “grey list”, enforcement AML standards, modifying our legislation and procedures in least than 5 years.