Text 7: Agencies and their Personnel

The Organized Crime Control Department of the Ministry of Internal Affairs acts on economic crimes based on the gravity and scope of the investigation and, in some cases, will conduct joint investigations with the Economic Crimes Control Department. The Federal Service of the Tax Police initiates investigations as they relate to tax offenses. The Russian Customs Service has responsibility to prosecute violations of customs and other commercial fraud. Any of these agencies can request the participation of any of the others in a joint investigation when investigatory interests coincide.

Access to bank records and information without a prosecutor's order is given to the courts, arbitrary courts, tax inspection and tax police units, and customs, in cases stipulated by legislation. Any investigative, operational, or law enforcement unit that has a prosecutor's order may inspect bank records and information. The law enforcement units compel banks and NBFIs to give evidence in financial investigations by means of ajudicial order.

Under the proposed anti-money laundering bill, the agencies responsible for combating money laundering and their areas of responsibilities are specified. The State Tax Police Department and the Ministry of Finance are empowered to oversee the activities of all business enterprises, institutions, and organizations. The Bank of Russia is responsible for oversight of all banking transactions. A clause is included that also lists other ministries, departments, and executive bodies, as responsible for combating money laundering within the limits of their competence.

The proposed draft law names the General Prosecutor's Office as a central authority for coordinating overall policy and resolving any disputes between the agencies responsible for combating money laundering.

Training for law enforcement personnel that deal with financial crime is active and ongoing. Personnel are recruited for their positions based on their financial or economic backgrounds and previous positions with experience in investigations, prosecutions, and seizures. Russian law enforcement agencies are associated with financial training institutes and academies, where initial training programs and refresher training range from several months to five years in length.

§ Suggested activities

a Discuss the following questions in pairs:

• the authorities involved in combating money laundering in Russia

• joint investigations

• cases when the legislation allows access to bank records and information even without a prosecutor's order

• power of a prosecutor's order

• the idea of a judicial order

b Draw a diagram showing all the organizations involved and their responsibilities, according to the text.

с Write a short essay on training of law enforcement personnel, the text states. Give your assessment. State your proposals.

In conclusion

d Look through all the 7 texts on money laundering and make a list of the most important terms and expressions relating to this subject.

e Say what is being done at the present time to combat these offenses and what legislation is in force.

f Act out a press conference on anti-money laundering legislation in Russia at present.

g Have a look at the picture and answer the following questions:

1 Why do you think this man is masked and armed?

2 Where was the picture taken, to your mind?

3 Is alcoholic drinks trade to be licensed in Russia?

4 When does this trade involve illegal proceeds?

5 What steps do state and local authorities take to prevent crimes in this trade?