A Legal Appraisal of the Fight Against Money Laundering by the Courts in Cameroon
Keywords:
Money Laundering, Courts, Fight, Legal and AppraisalAbstract
Money laundering is a crime that is rampant in the world and Cameroon despite the existence of laws and institutions to combat same, the practice still poses a significant threat to economic stability, social justice, and right to development in the country. Money laundering is the covert process of disguising significant amounts of money derived from illegal activities like drug
trafficking or corruption to make it appear legitimate. This unlawful practice hinders economic growth, reduces efficiency in the real economy, and undermines developmental objectives. This paper examines the role of the courts in Cameroon in combating money laundering, a critical aspect of financial crime with far-reaching implications for economic stability and social justice.
Focusing on the legal framework and judicial practices, it evaluates the effectiveness of the judiciary in addressing money laundering challenges within the country. By analyzing relevant laws, judicial decisions, and enforcement mechanisms, this paper sheds light on the strengths, weaknesses, and gaps in the legal framework for combating money laundering in Cameroon. The
paper employs qualitative research methods, focusing particularly on the doctrinal approach, which involves analyzing primary and secondary data through content analysis.. In addition, focus groups, observation, and unstructured interviews are used in the study. The ensuing result revealed that money laundering is not effectively combatted by the courts in Cameroon as there
is still the prevalence of same which has an adverse effect on the right to development in Cameroon. Hence, there is the need to establish a national money laundering coordinator or monitoring body and to strengthen the fight against corruption within the judiciary especially the courts in Cameroon.
References
1. Isolauri EA, Ameer I. Money laundering as a transnational business phenomenon: a systematic review and future agenda. Crit Perspect Int Bus. 2023;19(3):426 -68. doi: 10.1108/cpoib-10-2021- 0088.
2. Habiyaremye A. Natural resource abundance: A hidden drag on Africa’s development? In: Oloruntoba SO, Falola T, editors. The Palgrave Handbook of African Political Economy. Cham: Palgrave Macmillan; 2020. p. 699–723. DOI: 10.1007/978-3-030-38922-2_38.
3. UN News. How illicit financial flows drain African economies [online]. 2014 Apr 21. Available from: https://www.opensocietyfoundations.org/voices/how -illicit-financial-flows-drain-african- economies.
4. Abubakar M. The role of EFCC in the fight against money laundering in Nigeria. Int Inst Afr Res Cent. 2020;6:1-10.
5. Achille M. Cameroon: nearly $2 billion in money laundering. Kapital Afrk. 2021 Jan 1;2(1):12-15.
6. National Financial Investigation Agency. Annual report on anti -money laundering efforts in Cameroon. Yaoundé: NFIA; 2022.
7. Cameroon. Law No.2016/007 of 12th July 2016 relating to the Penal Code.
8. Ibid, Section 11.
9. Cameroon. Law No.2005 of 27th July 2005 on the Criminal Procedure Code, Section 699.
10. European Commission. Report from the Commission to the European Parliament and the Council on the implementation of Directive (EU) 2015/849. Brussels: European Commission; 2024. Report No.: COM(2024) 112 final. Available from: https://ec.europa.eu/info/sites/default/files/ supranational_risk_assessment_of_the_money_laundering_and_terrorist_financing_risks_affectin g_the_union.pdf.
11. Canhoto AI. Leveraging machine learning in the global fight against money laundering and terrorism financing: an affordances perspective. J Bus Res. 2021;131:441-52.
12. Defossez D. The current challenges of money laundering law in Russia. J Money Laund Control. 2017;20(4):367-85.
13. Wechsler WF. Follow the money. Foreign Aff. 2001;80(4):40-57.
14. Singh C, Lin W. Can artificial intelligence, RegTech and CharityTech provide effective solutions for anti -money laundering and counter -terror financing initiatives in charitable fundraising? J Money Laund Control. 2020;24(3):464-82.
15. May A. Football and the ‘mysterious nature of global capital’: a case study of Birmingham City FC and Birmingham International Holdings. Int Rev Sociol Sport. 2019;54(8):957-70.
16. Sharman JC. Power and discourse in policy diffusion: anti-money laundering in developing states. Int Stud Q. 2008;52(3):635-56.
17. Cooley A, Sharman J. Blurring the line between licit and illicit: transnational corruption networks in Central Asia and beyond. Cent Asian Surv. 2015;34(1):11-28.
18. Levi M, Soudijn MR. Money laundering risks and trends in the digital age. J Money Laund Control. 2020;23(4):453-65.
19. Financial Action Task Force (FATF). National money laundering risk assessment. Paris: FATF; 2018. p. 1-20.
20. FATF. Money laundering and the illegal wildlife trade. Paris: FATF; 2020. p. 23-24.
21. Kruisbergen E, Kleemans E, Roks R. Money talks: Money laundering choices of organized crime offenders in a digital age. J Crime Justice. 2019;42(5):569-81.
22. Reuter P, Truman EM. Chasing dirty money: the fight against money laundering. Washington, DC: Peterson Institute for International Economics; 2004. p. 28-29.
23. Levi M. E -gaming, money laundering and the problem of risk assessment. In: Unger B, van der Linde D, editors. Research handbook on money laundering. Cheltenham: Edward Elgar Publishing; 2013. p. 332-45.
24. US Department of the Treasury. National money laundering risk assessment. Washington, DC: USDT; 2018. p. 1-20. V olume 7, Issue 2
25. Levi M, Soudijn MR. Money laundering risks and trends in the digital age. J Money Laund Control. 2020;23(4):453-65.
26. Kleemans E, van Koppen MV , Roks R. Women, brokerage and transnational organized crime: empirical results from the Dutch organized crime monitor. Trends Organ Crim. 2014;17(1 -2): 16-30.
27. Kruisbergen E, Kleemans E, Roks R. Money laundering and organized crime: trends in the digital age. J Crime Justice. 2019;42(5):576-93.
28. Levi M, Soudijn M. Understanding the laundering of organized crime money. Crime Justice. 2020;49:579–631. DOI: 10.1086/708047.
29. FATF. National money laundering risk assessment. Paris: FATF; 2018. p. 22-24.
30. FATF. Money laundering using trust and company service providers. Paris: FATF; 2010. p. 1-40.
31. Organisation for Economic Co -Operation and Development (OECD). Money laundering and terrorist financing awareness handbook for tax examiners and tax auditors. Paris: OECD; 2019. p. 59-63.
32. Mirenda L, Abbruzzo A, Giuntella O. The real effects of ‘Ndrangheta: firm-level evidence. Bank of Italy Working Papers. 2019;1235:14-15.
33. Faiola A. Sting operations reveal mafia involvement in renewable energy. The Washington Post [online]. 2013 Jan 22. Available from: https://www.washingtonpost.com/world/europe/sting - operations-reveal-mafia-involvement-in-renewable-energy/2013/01/22/67388504-5f39-11e2- 9dc9-bca76dd777b8_story.html. Accessed 2024 Mar 13.
34. FATF. National money laundering risk assessment. Paris: FATF; 2018.
35. Cassara J. Trade -based money laundering: the next frontier in international money laundering enforcement. Hoboken (NJ): John Wiley & Sons; 2016. p. 73 -88. Available from: https://onlinelibrary.wiley.com/doi/book/10.1002/9781119125389. Accessed 2024 Mar 13.
36. Gaughan PH, Reuer JJ, Sullivan TD. A framework for analyzing international business and legal ethical standards. Bus Horiz. 2018;61(6):813-22.
37. Ahmed SA. Practical application of anti-money laundering requirements in Bangladesh: an insight into the disparity between anti -money laundering methods and their effectiveness based on resources and infrastructure. J Money Laund Control. 2017;20(4):428-50.
38. Hameiri S, Jones L, Sandor A. Security governance and the politics of state transformation: moving from description to explanation. J Glob Secur Stud. 2018;3(4):463-82.
39. Emilia IA, Ameer I. Money laundering as a transnational business phenomenon: a systematic review and future agenda. Crit Perspect Int Bus. 2021;17(1):12-35.
40. Warde I. The war on terror, crime and the shadow economy in the MENA countries. Mediterr Polit. 2007;12(2):233-48.
41. Kaygin E, Topcuoglu E, Ozkes S. Investigating the bitcoin system and its properties within the scope of business ethics. Turk J Bus Ethics. 2019;11(2):186-92.
42. Lord N, Flores -Macias G, Spencer E. Organizing the monies of corporate financial crimes via organizational structures: ostensible legitimacy, effective anonymity, and third -party facilitation. Adm Sci. 2018;8(2):17-25.
43. Maggetti M. Promoting corporate responsibility in private banking: necessary and sufficient conditions for joining the Wolfsberg initiative against money laundering. Bus Soc. 2014;53(6):787- 819.
44. Cameroon. Law No.2022/006 of 27th April 2022 governing banking secrecy.
45. Cameroon. Law No.2016/007 of 12th July 2016 relating to the Penal Code.
46. Iacob OA. Principles regarding state jurisdiction in international law. Univ Bucharest. 2004;602:1- 20.
47. United Nations Office on Drugs and Crime (UNODC). Country review report of Cameroon [online]. Available from: https://uncaccoalition.org/files/Cycle1 -Country-Report-Cameroon.pdf. Accessed 2024 Mar 13.
48. Cameroon. Law No.2005/007 of 27th July 2005 to institute the harmonized Criminal Procedure Code applicable in the whole territory.
49. Kapjip A. The procedure of terrorism acts in Cameroon [online]. Available from: https://thelawbrigade.com/wp-content/uploads/2020/05/Kapjip-JLSR.pdf. Accessed 2024 Mar 13.
50. Interviews were conducted in Yaoundé on 2023 Nov 15.
51. Financial Action Task Force (FATF). Anti -money laundering and counter -terrorist financing measures, Republic of Cameroon, Mutual Evaluation Report. Paris: FATF; 2022. p. 73.
52. Cameroon. Decree No. 2013/288 of 4 September 2013 to lay down conditions for restitution of the body of the offence.
53. Interview conducted in Yaoundé on 2023 Nov 13.
54. Ngala K. Cameroon: Jail terms for Mebe Ngo ’o, wife signals turning point in running battles to succeed nonagenarian Biya [online]. Timescape Magazine; 2023 Feb 3. Available from: https://timescapemag.com/2023/02/03/cameroon-jail-terms-for-mebe-ngoo-wife-signals-turning- point-in-running-battles-to-succeed-nonagenarian-biya/.
55. Bonny A. Cameroon’s ex-defense minister gets 30 years in jail for corruption [online]. Anadolu Agency; 2023 May 5. Available from: https://www.aa.com.tr/en/africa/cameroons -ex-defense- minister-gets-30-years-in-jail-for-corruption/2804761.
56. Jimoh A. Cameroon jails former defense minister, Mebe Ngo ’o for corruption [online]. News Central Africa; 2023 May 5. Available from: https://newscentral.africa/cameroon -jails-former- defence-minister-mebe-ngoo-for-corruption/.
57. Hughes RT. Expert judgement as an estimating method. Inf Softw Technol. 1996;38:67 –75. DOI: 10.1016/0950-5849(95)01045-9.
58. Gatehouse S, Noble W. The speech, spatial and qualities of hearing scale (SSQ). Int J Audiol. 2004;43:85–99. DOI: 10.1080/14992020400050014. PubMed: 15035561.
59. Information obtained from the case file at the level of the Special Criminal Court, Yaoundé on 2024 Mar 13.
60. Emmanuel. Special Criminal Court: Some 225 decisions rendered, billions recovered [online]. Cameroon Tribune; 2024 Mar 13. Available from: https://www.cameroon-tribune.cm/article.html/ 33965/fr.html/special-criminal-court-some-225-decisions-rendered-.
61. Amin M, Naseer R, Akhtar N. Pakistan in the FATF grey-list: Compliance and policy readjustments. Pak J Terror Res. 2021;3.
62. Weil DS, Hemenway D. I am the NRA: An analysis of a national random sample of gun owners. Violence Vict. 1993;8:353–65. DOI: 10.1891/0886-6708.8.4.353. PubMed: 8060908.
63. Azah C. Cameroon on FATF Grey List of jurisdictions with anti -money laundering deficiencies: Appraisal of what will turn the table around [online]. Projecteur Magazine; 2023 Mar 22. Available from: https://projecteurmagazine.cm/cameroon-on-fatf-grey-list-of-jurisdictions-with-anti-money- laundering-deficiencies-appraisal-of-what-will-turn-the-table-around/.
64. National Anti-Corruption Commission (NACC). Report on the status of the fight against corruption in Cameroon, 2017. Yaoundé: NACC; 2017. p. 138.
65. National Anti-Corruption Commission (NACC). Report on the status of the fight against corruption in Cameroon, 2018. Yaoundé: NACC; 2018. p. 123-4.
66. National Anti-Corruption Commission (NACC). Report on the status of the fight against corruption in Cameroon, 2020. Yaoundé: NACC; 2020. p. ix.
67. National Anti-Corruption Commission (NACC). Report on the status of the fight against corruption in Cameroon, 2017. Yaoundé: NACC; 2017.
