Turkey
Last updated: 03/04/2007CENTRAL AUTHORITY FOR REPORTING
- Financial Crimes Investigation Board (MASAK)
- The Turkish financial intelligence unit (FIU) – Mali Suçlarý Aratýrma Kurulu (MASAK) - has been a member of the Egmont Group of FIUs since 1998. MASAK receives suspicious transaction reports (STRs) and develops cases that are forwarded to the public prosecutor for action against ML.
HAS THE SECOND EU MONEY LAUNDERING DIRECTIVE BEEN IMPLEMENTED?
The Second EU Directive has not yet been implemented, but the Law on Prevention of Money Laundering, 19/11/1996 includes references to those intermediating buying and selling of real estate being bound to comply. Also, in a General Communiqué public notaries were added to those obligated to report suspicious transactions.
Turkey is currently working on a new draft money laundering law which will harmonize Turkey's legislation with the Second EU Directive. A bill is being drafted and will be presented in the next legislative term.
LAWS REGARDING ANTI-MONEY LAUNDERING PROCEDURES
- Law No. 4208 on the Prevention of Money Laundering
- Law 5237 of June 2005 (Criminal Code)
- Law 5549 of October 2006
- Draft Bill on Combating Laundering of Proceeds of Crime
GUIDELINES
No information available
UNDER WHAT CIRCUMSTANCES IS A LAWYER UNDER AN OBLIGATION TO REPORT?
According to the anti-money laundering law, Article 5 establishes that public institutions, individuals, and corporate bodies must submit information upon the request of MASAK or other authorities specified in Article 3 of the law.
IS TIPPING-OFF PERMITTED?
Tipping off is not permitted.
However, in practice, some financial institutions automatically suspend transactions that are subject of an STR and that may inadvertenly alert the customer of the fact that a report has been made, thus limiting the effectiveness of the "tipping off" prohibition.
LAWYER RESPONSIBILITY
Turkey does not have secrecy laws that prevent disclosure of client and ownership information.
It is not possible to refrain from submitting the requested items by claiming the protection provided by privacy provisions in special laws, provided that the provisions related to the right of defence are reserved.
Lawyers and other legal professionals are not required to submit suspicious transaction reports (STRs) and are not subject to other measures.
DOCUMENTS TO BE COLLECTED
No systems exist for monitoring and ensuring compliance of Designated Non-Financial Businesses and Professions (DNFBP) with AML/CFT requirements and little training has been provided to DNFBPs. DNFBPs are not required to conduct in-house training or screen potential employees. Limitations identified generally in relation to financial institutions apply also to the DNFBP sector. No STRs have been submitted by DNFBPs.
Lawyers, accountants and other legal professionals are notably absent from the list of obliged parties. They are not required to submit STRs and are not subject to other AML/CFT measures. Turkey is effectively working to move more transactions to secure payment systems.
RESTRICTIONS TO ACT
No information available
EXISTING CLIENTS AFFECTED
No information available
NEW MATTERS
No information available
NEW CLIENTS
No information available
LAWYERS PROSECUTED FOR MONEY LAUNDERING SITUATIONS
The number of convictions for money laundering in Turkey is relatively low, and the new legislation has not yet been in place long enough to fully demonstrate its effectiveness.
Confiscation measures, although complete, have also not yet produced substantial results.
The Turkish FIU is responsible for the receipt, analysis and dissemination of STR information for investigation by law enforcement.
The number of STRs received, however, is relatively low.
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Sources
FATF-GAFI, Mutual Evaluation Report, Anti Money Laundering and Combatting the Financing of Terrorism, Turkey, 23 February 2007, www.fatf-gafi.org.
