Denmark Wages War on Money Laundering

The Danish government adjusted its strategy toward money laundering and terrorist funding activities. Spillemyndigheden, the country’s gambling regulator, released a statement on 20 July 2022 to introduce the Ministry of Finance’s regulations on strengthening anti-money laundering (AML) and counter-terrorism funding (CTF) strategies. Through a national strategy, the authorities plan to prevent financial crimes.

The Ministry of Justice, the Ministry of Business, and the Ministry of Taxation collaborated with authorities like the gambling inspectorate to create a coherent strategy. It focuses on five general areas to prevent and combat money laundering and terrorist financing over the next three years.

Through greater cooperation between all relevant stakeholders, the Danish government works to take the power back and make crime less profitable.

More Details Complex Crimes Call for Highly Strategic Authorities

Although Denmark’s recent efforts against organised crime caused countless hurdles for criminals, the Ministry reports that more needs to be done. While authorities work to improve regulations and processes in combating financial crimes, criminals work at circumventing these and still defraud the public of billions of Kroner each year.

The ministries believe this leads to a breakdown in trust between the community and government authorities and hope to create noticeable change with the improved strategies. Simon Kollerup, Business Minister, said:

“Laundering is cheating the community, and we will never accept that. With the strategy, we stand up against the criminals who exploit the system for their own gain.”

Besides the five focus areas, the action plan includes 21 strategic objectives to further improve action against profitable, complex, and organised crime. Danish authorities will partner with private investigators and utilise the combined knowledge to pinpoint masterminds in the global organised crime network. Minister Kollerup added:

“We are strengthening efforts at all levels so that the criminals are hit where it hurts most.”

The updated AML and CTF strategy builds on the measures implemented in 2018 following criticism from the FATF on Denmark’s lack of control in this area.

Community Collaboration Breeds Success

The document that outlines the strategic efforts for the next three years admits they can only win this war through joint efforts. Danish authorities require the first line of defence of private actors. Strengthened approaches aim to make it increasingly difficult for criminals to profit from their illegal acts.

Focus areas for the strategy include:
Improved efforts against complex and organised crime
Applying digital solutions in the fight against money laundering and terrorist financing
A coherent, risk-based, and targeted control and supervision effort
Efficient collaboration between government and private actors
Increased focus on international cooperation

Through the specialised police task force, the country increased successful convictions tremendously in the AML and CTF scope. The government ascribes this success to collaboration with the private sector and increased police focus.