The Rock of Gibraltar has postponed submitting a document detailing its advancement in being taken off the Financial Action Task Force on Money Laundering (FATF) “grey list,” citing the AML organization’s demand for stricter punishments.

The British overseas territory was put on the list at the FATF’s full meeting in June, the same gathering where Malta was taken off. At the time, the organization pointed to the gaming industry as a key reason for Gibraltar’s inclusion, stating that authorities were not “imposing adequate penalties for AML failures.”

Despite this, Gibraltar’s Gambling Commissioner, Andrew Lyman, stated the territory would not be issuing more penalties simply because of the FATF grey list.

After its inclusion on the list, the territory agreed to a plan of action to enhance its anti-money laundering measures. This primarily involved ensuring that non-bank financial institutions use a variety of effective sanctions for AML violations.

The FATF has now released the most recent version of its list, including new additions, removals, and updates on how nations already on the list are progressing with their action plans.

Despite the lack of advancement reported for Gibraltar, the territory decided to postpone its report to the organization. This was done to present a more thorough update at a later time.

The leader of the Financial Action Task Force on Money Laundering (FATF), T. Raja Kumar, continued to emphasize the importance of anti-money laundering sanctions. He believes this is an area where Gibraltar needs improvement.

“Gibraltar needs to enhance the discouraging impact of its penalties, especially fines associated with the gambling sector and the legal industry that serves these businesses,” he stated.

“Gibraltar is a small territory, but it serves as an offshore financial hub and is home to numerous gambling companies.”

It is improbable that Gibraltar will be removed from the FATF grey list at the October meeting. The review and removal process typically takes a longer period. Malta was removed within a year of being listed, which was considered an exceptionally short timeframe.

Gibraltar is currently undergoing a comprehensive overhaul of its gambling regulations.

This week, they initiated a consultation on new licensing fees, following their proposal for new gambling laws.

The new licensing fee structure will now be tiered, with larger companies paying higher fees and smaller companies paying lower fees.

Meanwhile, the gambling law primarily focuses on ensuring that Gibraltar licensees have a genuine local presence.

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