ACCESSION NUMBER:00000

FILE ID:95120407.LAR

DATE:12/04/95

TITLE:04-12-95  RUBIN CALLS PLEDGE TO FIGHT MONEY LAUNDERING `IMPORTANT MILESTONE'



TEXT:

TR95120407 (Text: Rubin statement at closing of conference) (770)





BUENOS AIRES -- The communique issued by the 34 countries

participating in the Ministerial Conference on Money Laundering "marks

an important milestone in our efforts to protect the integrity of our

economies and the health of our societies," says U.S. Treasury

Secretary Robert Rubin.



"Today, the nations of this hemisphere have declared there can be no

sanctuary for money launderers," Rubin said Dec. 2 at the closing

press conference of the two-day conference. "We are telling the drug

lords that every democratic nation in the hemisphere intends to

strengthen its laws and regulations to make money laundering a crime,

and to make it easier to detect, prosecute, and punish money

launderers."



Rubin chaired the conference, which was hosted by Argentina and was

one of a series of meetings to discuss how the 34 countries that

participated in the Summit of the Americas a year ago could work

together to enact the goals set forth in the Summit's Declaration of

Principles and Plan of Action.



Following is the text of Rubin's statement:



One year ago in Miami, the leaders of this hemisphere's democratic

nations directed their governments to work on a cooperative plan to

counter the growing economic and legal problems of money laundering.

They rightly recognized the very dangerous and destructive effect

money laundering has on our economies, and on both our private and

public institutions. Money laundering is central to profit taking in

the drug trade.



This communique marks an important milestone in our efforts to protect

the integrity of our economies and the health of our societies. Today,

the nations of this hemisphere have declared there can be no sanctuary

for money launderers. Today, the nations of this hemisphere are

telling organized crime that we will work together to make it harder

for criminals to legitimize the proceeds of crime. We are telling the

drug lords that every democratic nation in the hemisphere intends to

strengthen its laws and regulations to make money laundering a crime,

and to make it easier to detect, prosecute, and punish money

launderers.



This communique provides the countries of this hemisphere a powerful

vantage point to attack the drug trade by denying a haven for its

profits. Profits that can't be spent are not profits.



The plan of action adopted today contains a detailed set of goals,

recognizing that different nations have different levels of legal

structures on financial crimes in place at the moment.



To sum up the major elements, first, the participants have agreed that

laws to criminalize the laundering of money from illicit drugs and

other serious crimes should be enacted.



Second, because laws and regulations must deny criminals unfettered

access to our financial institutions, countries should establish

systems that the United States and other nations have to report

possible criminal financial activity. We believe that countries should

also create financial intelligence units which can help spot money

laundering crimes and support the prosecution of financial crimes.



And, third, nations should expand the tools available to law

enforcement personnel in fighting financial crimes, including making

financial transactions more transparent, and providing for the

forfeiture of assets.



Finally, the ministers of the hemisphere here this weekend have agreed

to ask the Organization of American States to undertake candid

assessment of the compliance of individual nations with the principles

delineated in the communique.



In closing, let me say that President Clinton has demonstrated a clear

and very vigorous commitment to countering organized crime and the

drug sellers of the world. He is striving at home to reduce demand for

illegal drugs, especially through treatment and prevention programs,

and to step up enforcement by deploying more police. We know we must

do a better job in this regard. At the same time, the President has

directed me as Treasury Secretary, and the Secretaries of State and

Justice, to take a number of steps that will be complementary to the

broader hemispheric plan of action we have agreed to today.



As he made clear at the United National General Assembly in October,

money laundering is a problem of global proportions. In a truly

international economy, when technology allows the rapid movement of

large sums of money around the world, we must not -- as the President

said -- allow criminals to wash the blood off the profits of drug

sales, or finance terrorism, or underwrite all manner of crime, by

leaving open avenues for the laundering of the proceeds of crime.



Thank you.



(end text)

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