Anti-Money Laundering and Countering the Financing of Terrorism, Sanctions, Export and Trade Controls and Countering Proliferation

The Isle of Man Government is strongly committed to fulfilling its international obligations with regard to:

  • sanctions regimes, and denying terrorist groups access to the financial system;
  • countering the proliferation of weapons of mass destruction; and
  • effective controls on the export and trade in military equipment, dual-use items, and other goods of concern.

The persons and organisations believed to be responsible for, or implicated in terrorist activities or the funding of such activities, are the subject of various United Nations (UN) and European Union (EU) measures.

On 28 September 2001, the UN Security Council adopted Security Council Resolution 1373 (2001). This instructed countries to take the necessary steps to freeze funds belonging to individuals and entities suspected of:

  • committing, or
  • posing a significant risk of committing, or
  • providing material support

for acts of terrorism.

UN Security Council Resolution 1540 (2004) also requires all countries to control funds and services relating to proliferation, i.e. the financing of the development, acquisition, possession, transfer or use of weapons of mass destruction or their delivery systems. Such controls apply to non-state actors as well as countries (and separate, specific Resolutions can also apply in respect of certain countries).

In the Isle of Man, the Terrorism and Other Crime (Financial Restrictions) Act 2014 is now concerned with those persons and entities subject to terrorism sanctions measures in the Island. These would include those designated by the UN under Resolution 1373, or by the EU under Regulation 2580/2001. The Act also allows the Treasury to impose freezing orders or to issue directions to persons and businesses in the regulated sector requiring them to limit or cease business with named persons, entities or territories, or require enhanced customer due diligence, systematic reporting or ongoing monitoring.

UN and EU sanctions against members of the Taliban in Afghanistan, and against members or supporters of Al-Qaida, have also been given effect in Island law.

As a matter of policy, the Isle of Man Government has decided that lists of individuals and entities subject to sanctions, including sanctions imposed because of involvement in terrorism or connections to the Taliban or Al-Qaida, will be maintained so that they correspond to the Consolidated List published by HM Treasury in the UK.

Isle of Man businesses are obliged to check whether they maintain accounts for any listed individual, and if so they must freeze the accounts and report their findings to the Customs and Excise Division.

The law and procedure dealing with the export of military or other goods of concern and technology or dual-use items, or trafficking or brokering in such things, also correspond to those in place in the UK.

The lead agency with regard to trade and financial sanctions within the Isle of Man, and for export and trade controls and licensing, is the Customs and Excise Division of the Treasury.

Customs and Excise publish a number of Public Notices explaining in straightforward terms the sanctions and export and trade controls that are in force. Copies of these are available free of charge on the Customs and Excise website:

http://www.gov.im/categories/tax,-vat-and-your-money/customs-and-excise/sanctions-and-export-control/

Where the Authority is notified of amendments and revisions to such notices, details are also posted on the Authority's website.

All enquiries concerning sanctions, export controls and trade controls on trafficking and brokering should be directed to:

The Isle of Man Treasury
Customs and Excise Division
PO Box 6
Custom House
North Quay
Douglas
Isle of Man
IM99 1AG
Tel: + 44 (0)1624 648138
Email: [email protected]