Introduction
The fraction XII Ter of Article III in the Federal Law for Prevention and Identification of Operations with Illicitly-Obtained Funds has incorporated a new risk definition.
This new definition states: “It is the probability that vulnerable operations can be used to carry out acts or operations through which illicit operations with resources, related offenses, and the financial structures of criminal organizations can be updated, as well as preventing the use of resources for their financing.”
Legislative Background and Purpose
On the previous day at 14:55 hours, the Chamber of Deputies received the project of decree, which had been sanctioned by the Senate of the Republic. The reform aims to strengthen institutional mechanisms to combat money laundering and terrorism financing, ensure the stability of the financial system, and safeguard the national economy’s health.
This reform is a necessary step following the International Group of Action on Money Laundering (GAFI) raising concerns six years ago about deficiencies in the application of preventive measures and supervision.
Implementation Details
Once the reform enters into force, the Secretariat of Finance will issue a regulation for the law, including an electronic system to register and authorize individuals engaging in vulnerable activities.
Legislative delays have hindered the adaptation of this law, also known as the Anti-Money Laundering Law. Two initial proposals were removed: including preventing and detecting terrorism financing among its objectives, along with illicit resource operations; and incorporating the offense of terrorism financing and its concealment into the Federal Criminal Code’s list of offenses that can be committed by legal entities.
Only Article 400 Bis of the Federal Criminal Code was reformed, adding a new paragraph III to empower the Public Ministry to investigate financial institutions and exercise penal action. A denunciation from the Secretariat of Finance, acting as the victim or offended party, will now be required.
Reform Objectives
These reforms aim to ensure the system’s effectiveness by imposing proportional and deterrent sanctions, including revoking permits for individuals engaging in vulnerable activities who fail to comply with their prevention obligations.
Sanctions are also introduced for those who fail to meet reporting and prevention obligations, including revoking permits for vulnerable activities such as gaming, lotteries, cash blinding, and money transportation.
Secondary Effects
Intervention:
INTERVENCIÓN. “Intercam is operating normally and will continue supporting its clients, as we always have,” stated the bank’s executive after being flagged as a concern in money laundering matters by the Treasury Department. Within less than 24 hours, the National Banking and Securities Commission announced it would temporarily take control of Intercam’s administrative organs and legal representation, along with CIBanco. This managerial intervention, according to the regulatory authority, aims to safeguard clients’ and savers’ rights.
REACTION: Sergio Aguayo declined the directorship of the National Institute of Studies on Mexican Revolutions but agreed to join CIDE’s Consultative Council. The first line of resistance to his appointment came from the institution’s board. José Antonio Romero Tellaeche publicly impugned the appointment, signed by Secretary Rosaura Ruiz, and also the “anticipated and illegal” removal of Felipe Ávila Espinosa as CIDE’s councilor, which he was informed of by a third-level functionary from the Technology Development, Linkage and Innovation Subsecretariat under Juan Luis Díaz de León’s instructions.
