Bahamas News

BAHAMAS:Attorney General’s Office: Public Statement on FATF ICRG Announcement

Published

8 years ago

October 30, 2018

#Nassau, October 30, 2018 – Bahamas – The Caribbean Financial Action Task Force (CFATF) conducted a mutual evaluation of The Bahamas during an onsite visit (November 30, 2015 to December 11 2015). The Bahamas’ CFATF Mutual Evaluation Report (MER) was approved at the May 2017 CFATF Plenary in Trinidad and Tobago. The report provided a summary of the AML/CFT measures in place in The Bahamas, analysis of the country’s level of compliance with the FATF 40 Recommendations, the level of effectiveness of the AML/CFT regime, and provided recommendations on how the regime could be strengthened.

Results of the CFATF MER reflected that the country received ‘largely compliant or compliant’ ratings in 18 of the 40 FATF Recommendations, while posting ‘partially compliant’ ratings in 21 FATF Recommendations and ‘non-compliant’ rating in one (1) FATF Recommendation.

Following the publication of The Bahamas’ CFATF MER in July 2017, the National AML/CFT Action Task Force (Task Force) commenced an ambitious plan to address all of the deficiencies noted in the 2017 MER, particularly to complete the National Risk Assessment (NRA), which examined the money laundering and terrorist financing risks in the financial services sector both domestic and international, and to gain the government’s approval of same. Emanating from the NRA and the CFATF MER were gaps regarding the country’s AML/CFT Framework (legal, supervisory/regulatory, and enforcement regimes). The Task Force was charged with the responsibility of developing a National Identified Risk Framework Strategy (NIRFS) inclusive of AML/CFT/PF regimes. The NRA was approved by government in December 2017 and the NIRFS was approved in April 2018.

Among the deficiencies noted also was the absence of a legal regime that was capable of addressing the identified risks which were illuminated by the NRA. In order to address this the government embarked on an ambitious legislative reform agenda.

Both internationally and regionally, The Bahamas has been praised for its significant efforts and achievements over the last 15 months to address deficiencies identified in its CFATF MER. During this period of time the Attorney-General and the Task Force he leads have attained many of the goals they established post the 2017 publication of the country’s CFATF MER. Notably –

Since July 2017, the authorities have enacted the following legislative measures:

(i) The International Tax Cooperation Amendment Act, 2018, Automatic Exchange of Information Amendment Act, 2018 and Automatic Exchange of Information Amendment Regulations 2018 which resulted in the signing of the MCA and MCAA;.

(ii) The legislative amendment of the National Constitution to create the Independent Office of the Director of Public Prosecutions.The mandate of the ODPP as an independent prosecutorial Authority is to provide efficient, effective, fair and just prosecutorial services within the Commonwealth of The Bahamas. Noteworthy is the progress made with money laundering investigations, prosecutions and convictions – during the period July 2017 – September 2018, during which 40 money laundering prosecutions were recorded with 19 convictions compared with one (1) money laundering case recorded for the previous period;

(iii) The Financial Transactions Reporting Act (FTRA), also passed in 2018 addressed technical gaps identified in the Bahamas’ CFATF MER;

(iv) The Proceeds of Crime Act (POCA), 2018 addressed technical gaps identified in the Bahamas’ CFATF MER -with provisions such as the introduction of Unexplained Wealth Orders, Civil Forfeiture and the establishment of the Identified Risk Framework (IRF) oversight bodies – the Ministerial Council (National Identified Risk Policy Body), the Identified Risk Steering Committee (an operational IRF multi-agency body responsible for implementation and enforcement of the IRF);

(v) Anti-Terrorism Act (ATA), 2018) addressed the technical gaps identified in the CFATF MER and IO 10 and IO 11. Notable provisions address the financing of terrorism, financing of proliferation of WMD, manufacturing of WMDs, all forms of terrorism and participation in terrorist activities, identification of the competent authority dealing with terrorist issues (Attorney-General), local and international listing of terrorists and terrorist organization, and international cooperation. Attention was given to ensuring that the requirements of Recommendation 6 and 7 of the FATF 40 Recommendations and IO 10 and IO 11 were addressed; and

(vi) The Travellers’ Currency Declaration (Amendment) Act, 2018. The provisions of this Act mandate currency declaration at the borders by departing and arriving passengers. These provisions along with those of the Travellers’ Currency Declaration Act, 2015 came into force by 1^st September 2018. This legislation obligated all travellers to declare currency, negotiable instruments, precious metals and stones equal or exceeding $10,000.

The Government further enacted a number of Regulations (which have the force of Law) in order to address other noted deficiencies:

b) Regulations released by the Government include:

(vii) Financial Transactions Reporting Regulations, 2018 which establishes the thresholds for customer due diligence set out in the FATF 40 recommendations, customer due diligence requirements for companies, trusts and legal persons, and establishes STR filing obligations on general insurers.

(viii) Financial Transactions (Wire Transactions) Regulations, 2018 which incorporated the provisions of the 2015 Regulations and increased administrative penalties for non-compliance with the requirements of the Regulations.

ix) International Obligations (Economic & Ancillary Measures) (Implementation of United Nations Security Council Resolutions) Iraq Order, 2018, which enforces all provisions of the UN Security Council’s mandated targeted sanctions on Al’Qaida, I’Sil and related entities and associated parties. Order to come into force on 11 October 2018;

(x) International Obligations (Economic & Ancillary Measures) (Implementation of United Nations Security Council Resolutions) Afghanistan Order, 2018, which enforces all provisions of the UN Security Council’s mandated targeted Sanctions on Al-Qaida, I’Sil and related entities and associated parties. Order to come into force on 11 October 2018;

Additionally the Central Bank of The Bahamas and other financial sector Regulators issued the following Guidance Notes:

c) Regulatory guidance issued to the financial institutions and designated non-financial businesses and professions:

(xi) As of August 2018, The Central Bank (CBB) has updated its Guidelines for Supervised Financial Institutions on the Prevention of Money Laundering and Countering the Financing of Terrorism (AML/CFT Guidelines) to align with the NIRFS and address the deficiencies highlighted in The Bahamas’ Mutual Evaluation Report (MER);

(xii) As of August 2018, the Group of Financial Services Regulators – CBB, Insurance Commission Board (ICB), Securities Commission Board (SCB), Gaming Board (GB) and Compliance Commission (CC) jointly issued the following guidance notes;

Guidance Note on the Sound Management of Risks Related to Financial Crime in The Bahamas; and
Guidance Note on Proliferation and Proliferation Financing.

The guidance notes provide direction to regulated entities on the identification, assessment, management and mitigation of financial crime risk and raise awareness of the risks and vulnerabilities in regards to proliferation and proliferation financing.

(xiii) The Compliance Commission issued revised and enhanced Codes of Practice for Lawyers, Accountants and Real Estate Brokers and Developers.

Note is made that the Insurance Commission of The Bahamas, the Gaming Board and the Securities Commission of The Bahamas have drafted updated AML/CFT Guidelines for their licensees and registrants which are due for release by month end October 2018. The guidelines are being updated to address key deficiencies noted in the MER, and to take into account the enhanced provisions contained in the FTRA 2018, POCA 2018 and ATA 2018.

d) Development and implementation of Risk Based Supervision:

(xiv) The Central Bank, having developed and implemented risk based supervision for its substantive licensees (banking and trust companies) in last quarter of 2009, incorporated credit unions into its risk based framework in the second quarter of 2018 and has completed the risk profiling of all 10 credit unions as of July 2018.

(xv) The Securities Commission of The Bahamas, developed and implemented risk based appropriate supervision for securities licensees and registrants. The risk profiling of al licensees is ongoing. Note is made that SCB’s risk based supervision has been ongoing for Financial and Corporate Service Providers since 2014.

The Compliance Document

The FATF recently listed The Bahamas in the ‘Compliance Document’ following its October 2018 Plenary in France. The same is not a “Black List”, but a monitoring list; as the country is working to implement fully the provisions of the newly enacted POCA, 2018, FTRA, 2018, and ATA, 2018. It has been recognized even in the context of the Compliance Document, that The Bahamas has in a very short period of time since May 20017, made significant and important progress towards fully addressing all deficiencies noted in the 2017 MER.

The terms of the short “Action Plan” adopted by the FATF Plenary in Paris this month clearly indicates that all required now of The Bahamas is the production of evidence to support the effective implementation of the vigorous AML/CFT and Counter-identified risk legal framework which has now been created by the legislative framework, the NRA and subsequent AML/CFT Guidance Notes referred to above. Issues related to the availability of beneficial ownership information are being addressed concurrently with the Bahamas’ commitment to the Base Erosion and Profit Shifting (BEPS) project of the European Union.

This task will necessarily involve the installation of case management software to better track international cooperation efforts, coupled with the installation of analytical software to improve the outcomes of the Financial Intelligence Unit in its response to both domestic and international Suspicious Transactions Reports and requests for intelligence-based assistance.

The Bahamas has formally communicated a high level of political commitment and will to address the remaining implementation issues and have noted that within the international and regional AML/CFT/PF organizations, there has been favorably recognition of the tremendous effort that The Bahamas has expended to enable it to be the first of the countries (Trinidad & Tobago, Jamaica, Barbados, Antigua and Barbuda) in the Fourth Round CFATF Mutual Evaluations, to request re-rating of its legal provisions to address FATF Recommendations. Note is also made that all countries having undergone the Fourth Round CFATF Mutual Evaluations are confronting new standards on ‘Effectiveness Ratings’ and substantial challenges in ensuring that ‘sufficient progress’ is being made to comply with these newly introduced international standards. The Bahamas is committed as a member of the international financial community, to implement and maintain an appropriate, effective NIRF which incorporates its AML/CFT/PF regime.

Release: Office of the Attorney General and Ministry of Legal Affairs

Bahamas News

Caught in the Net, Not Accused of Wrongdoing

Published

4 days ago

July 23, 2026

Deandrea Hamilton

What the Attorney General must do now to protect Bahamian exports

Deandrea Hamilton | Editor

NASSAU, Bahamas — The United States’ decision to impose a 12.5 percent tariff on Bahamian exports is about more than higher costs for seafood, rum and other goods entering the American market. It is a warning that The Bahamas must move quickly to strengthen or clarify its legal framework governing forced labour and supply-chain enforcement.

The tariff, which takes effect July 24, is part of a sweeping U.S. trade action affecting 60 economies following a review by the Office of the U.S. Trade Representative (USTR). The review concluded that the listed countries have not adequately prohibited or enforced measures against goods linked to forced labour in global supply chains.

The action follows a recent U.S. Supreme Court ruling that invalidated an earlier series of Trump-era tariffs imposed under emergency powers. In response, the Trump administration shifted to a different legal authority—Section 301 of the Trade Act of 1974—using findings from a U.S. Trade Representative investigation into forced-labour compliance to support a new round of tariffs affecting 60 economies, including The Bahamas.

Importantly, the action does not accuse Bahamian businesses of using forced labour. Instead, it reflects the U.S. view that The Bahamas’ legal or enforcement framework does not yet meet the standard Washington expects.

That distinction matters.

The Attorney General’s Office now has the responsibility to lead the country’s legal response. That begins with determining precisely what concerns the U.S. Trade Representative identified, reviewing whether Bahamian law adequately addresses those concerns and, where necessary, recommending legislative or regulatory changes. If deficiencies exist, legal amendments and stronger enforcement could help position The Bahamas for removal from the tariff list.

The government may also seek formal discussions with U.S. officials while those reforms are undertaken, outlining a clear timetable for compliance and demonstrating that the country is committed to meeting international labour standards.

A Nassau Guardian front-page report on July 24 drew attention to the tariff action, prompting broader questions about why The Bahamas was included among the 60 economies affected by the U.S. trade measure and what steps are now needed to restore full confidence in the country’s trade framework.

For many Bahamians, the immediate concern will be the fisheries sector, one of the country’s largest export industries. Commercial shipments of lobster, conch, fish, crawfish and other products entering the United States could become more expensive because of the additional tariff, potentially affecting exporters’ competitiveness.

The broader lesson is that international trade increasingly depends not only on quality products, but also on strong business relationships and confidence in the legal systems that govern them.

For The Bahamas, this is less a finding of wrongdoing than a reminder that international credibility is earned through modern laws, effective enforcement and trusted partnerships. The challenge now is for the Attorney General’s Office to lead a swift legal review, identify any deficiencies and chart a clear path toward compliance so Bahamian exporters are not burdened any longer than necessary.

Bahamas News

What 45 Shell Casings and New Murder Charges May Mean for Three Officers in the Azario Major Case

Published

2 weeks ago

July 16, 2026

Deandrea Hamilton

By Deandrea Hamilton | Editor

NASSAU, Bahamas (July 16, 2026) — The allegation is as shocking as it is consequential. Prosecutors now contend Azario Major was struck by additional gunfire after he was already dead. That conclusion has prompted the Director of Public Prosecutions to upgrade the case against three police officers from manslaughter to murder ahead of a judge-only trial.

According to court filings and the DPP’s review of the forensic evidence, prosecutors allege that additional rounds entered Major’s body after death, a finding they say fundamentally changed their assessment of the case and justified the more serious charge of murder.

Investigators recovered 45 spent shell casings at the scene of the Boxing Day 2021 fatal shooting of Azario Major, a striking piece of forensic evidence that has remained central to the case from its earliest days.

Major, 31, was fatally shot by police outside Woody’s Bar on Fire Trail Road on December 26, 2021. While police initially maintained the shooting was justified, the circumstances surrounding the incident were heavily scrutinized during a Coroner’s Court inquest, where jurors ultimately returned a verdict of homicide by manslaughter.

The officers later challenged that finding, but the Supreme Court upheld the Coroner’s Court ruling, paving the way for criminal proceedings. They were subsequently arraigned on manslaughter charges and pleaded not guilty.

The DPP’s decision to elevate the charges to murder significantly raises the legal stakes. Unlike manslaughter, which does not necessarily require proof of an intent to kill, a murder conviction requires prosecutors to establish the legal elements of the more serious offence beyond a reasonable doubt. The prosecution’s case is now expected to focus heavily on forensic evidence, ballistic analysis and the sequence of gunfire during the fatal encounter.

The case is also notable because it will proceed without a jury. Barring further delays, the trial is expected to open on September 14 before Justice Guillimina Archer-Minns in a judge-alone trial, where a single judge—not a jury—will decide the fate of the three accused officers.

The proceedings will determine not only whether the three officers are guilty or innocent of murder, but whether prosecutors’ extraordinary allegation—that Azario Major was struck by additional gunfire after he was already dead—can be proven in court.

Bahamas News

CARICOM Targets Affordability as Bahamas, TCI Continue to Feel the Pinch

Published

2 weeks ago

July 15, 2026

Deandrea Hamilton

By Deandrea Hamilton

Cheaper shipping. Lower energy costs. Better access to healthcare. Stronger consumer protections.

Those are among the measures CARICOM Heads of Government believe could finally begin reducing the stubbornly high cost of living for millions of people across the Caribbean.

Meeting in Saint Lucia, regional leaders agreed that making life more affordable must become one of the Community’s highest priorities. Their emerging strategy includes reducing freight costs through a regional ferry service, accelerating renewable energy projects to lessen dependence on imported fuel, expanding regional healthcare partnerships, strengthening consumer protection, and encouraging governments to adopt successful cost-of-living measures already being implemented across the Caribbean.

“Our discussions over the past four days were guided by one central objective – ensuring that CARICOM delivers results that people can see and feel in their everyday lives,” CARICOM Chairman and Saint Lucia Prime Minister Philip J. Pierre said.

Few places may welcome that relief more than The Bahamas and the Turks and Caicos Islands.

Although inflation has moderated in both countries from the sharp increases experienced following the pandemic, the cost of living remains stubbornly high. Families continue to complain about grocery bills that stretch household budgets, rising housing costs, expensive electricity, healthcare expenses and fuel prices that remain among the highest in the region.

Governments have responded.

In The Bahamas, successive reductions in Value Added Tax on selected goods and other targeted tax measures have sought to ease pressure on consumers. In the Turks and Caicos Islands, the Government this weekend opens applications for its $500 Cost of Living Relief Programme, acknowledging that many households continue to struggle despite the country’s economic success.

Yet affordability remains elusive.

The contradiction is difficult to ignore.

The Turks and Caicos Islands continues to post one of the region’s strongest tourism-driven economies, with robust investment, record visitor spending and sustained construction activity. The Bahamas has also strengthened its economic position, earning improved sovereign credit ratings as tourism, government revenues and fiscal performance continue to recover.

Yet those encouraging economic indicators have not translated into noticeably lower household expenses.

The reason is largely structural.

Both The Bahamas and the Turks and Caicos Islands produce relatively little of what they consume. Food, fuel, medicines, vehicles, building materials and countless household essentials are imported. Both countries also record significant trade deficits, illustrating their dependence on overseas suppliers. Every increase in global shipping costs, fuel prices or supply chain disruptions is eventually reflected in supermarket prices, utility bills and the cost of everyday living.

That is why CARICOM’s agenda matters.

If regional leaders succeed in lowering freight costs through an inter-island ferry network, expanding renewable energy, improving regional cargo movement, strengthening consumer protections and making healthcare more accessible through cooperation, the benefits could extend far beyond government balance sheets.

For Bahamians and Turks and Caicos Islanders, success will not be measured by another tourism record or another credit rating upgrade. It will be measured at the supermarket checkout, on the monthly electricity bill, at the gas pump and in the simple ability to afford a better quality of life.