13_Terror Financing Flashcards
What event triggered a renewed focus on countering terrorist financing?
The 9/11 attacks in the United States.
What significant aspect of the 9/11 investigation is relevant for us?
Tracing the sources of funding for the attacks became a crucial part of the investigation to understand the financial network behind the terrorists.
Which organization provides guidelines for Anti-Money Laundering (AML)?
The Financial Action Task Force (FATF) offers comprehensive guidelines for combating money laundering and terrorist financing.
What are the primary goals of Anti-Money Laundering (AML) investigations?
AML investigations aim to deter, detect, and disrupt financial crimes, including money laundering and terrorist financing.
What organizations maintain lists for identifying terrorists?
- United Nations (UN)
- European Union (EU)
- United States Office of Foreign Assets Control (OFAC)
What does the SDN or SDGT label signify?
- SDN (Specially Designated Nationals)
- SDGT (Specially Designated Global Terrorist)
individuals and entities subject to financial restrictions and sanctions.
What is the main purpose of the OFAC list?
identify and impose sanctions on individuals and entities involved in terrorism and other illicit activities
What is the primary goal of financial disruption against terrorists?
to deter or disrupt terrorist operations by targeting their financial networks and funding sources
What are the main financial mechanisms utilized by terrorist organizations?
- direct costs for operations
- funding training activities
- sharing resources among members
In what ways do terrorist organizations resemble legitimate businesses?
- managing finances
- acquiring resources
- maintaining operational capabilities
What are common sources of funding for terrorist activities?
- charitable donations
- criminal enterprises
- state-sponsored support
What method is often used for moving funds outside formal financial systems?
Hawala Banking
What risks are associated with charities in the context of terrorist financing?
- the public trust
- global reach
- relatively light regulation
What are the main methods used by terrorists to evade financial regulations?
- cash movement
- alternative remittance systems
- exploitation of legitimate financial channels
- trade-based money laundering
