London, United Kingdom; – Pointing to concerns over the conduct of a Guyanese-owned bank and its seemingly uncooperative attitude towards requests made by local financial investigators, the European Banking Authority has warned its members to be cautious when dealing with the Guyana based banking institution.
In a private memo circulated to one of its foreign banking oversight committees, but which was seen by the Guyana Guardian, the financial monitoring authority referred to Guyana’s Special Organize Crime Unit (SOCU) and its distressed efforts to get a named local bank to cooperate with their investigations into multiple instances of possible money laundering.
“The Authority has been monitoring developments in Guyana, where the ability to effectively police money laundering is weak……… In recent times, a privately held bank, namely (name deleted) has been blatantly uncooperative with the country’s Special Organize Crime Unit, which is investigating that very bank for possible money laundering and wire fraud”, parts of the memo read.
It went on to name several directors and key shareholders of that banking institution, and proceeded to warn banks throughout Europe to be cautious in their dealings with the Guyanese bank, and the list of persons who were named as directors and key shareholders.
As a matter of fact, it noted that the body will proceed with a review of the Guyanese financial system, while quoting that the Bank of Guyana which oversees the conduct of local banking institutions is seemingly weak or unable to effectively cause local banks to stay clean from money laundering practices.
The United States has already caused key US banks to cut off their relations with banks in Guyana over money laundering concerns and poor oversight of the local banking system.
And with European banking authorities now warning its membership, it is more than likely that the Guyanese banking system would eventually be shut off from most of the Western world.
Efforts to solicit a comment from Dr. Gobin Ganga who is the governor of the Bank of Guyana, and officials at the named Guyanese private bank since yesterday has been futile.