WRITTEN QUESTION E-1193/98

by María Sornosa Martínez (GUE/NGL) to the Commission

(24 April 1998)

Subject: Russian mafias in Spain

On 27 January 1997 the Commission replied to Written Question E-3385/96(1) which had been submitted by the author of this question on the subject of money laundering in Gibraltar.

At that time the Spanish Ministry of the Interior acknowledged that there were 16 criminal gangs active in various parts of Spain.

Despite the efforts of the Member States to apply, and ensure compliance with, Council Directive 91/308/EEC of 10 June 1991(2), criminal activities continue.

In its reply the Commission referred to a number of cooperation initiatives and schemes to develop the strategies set up by the EDU (the Europol Drugs Unit, which is dealing with the money laundering activities associated with the types of crime for which it is competent and which is cooperating with the Member States in the implementation of the recommendations and other initiatives relating to the fight against money laundering). The results of the activities undertaken do not, however, seem particularly encouraging.

In view of the fact that the situation is worsening as the criminal organizations concerned become more firmly established, and given that a comprehensive European money-laundering network exists, despite there being a directive on this subject,

1. What action is the Commission going to take in order to ensure that money obtained by criminal means is not kept in European accounts?

2. What international cooperation strategy is the Commission intending to devise in order to put a stop to this problem?

Answer given by Mr Monti on behalf of the Commission

(14 July 1998)

The Commission believes that Council Directive 91/308/EEC of 10 June 1991 on prevention of the use of the financial system for the purpose of money laundering has had a deterrent effect, notably as a result of the mobilisation of the banking sector. This has without doubt made it more difficult for criminal money to gain access to the Community's financial system.

The Commission will very soon be presenting to Parliament and the Council a second report on the implementation of the Directive. The report concludes that, in the light of the wishes expressed by Parliament in its Resolution(3) on the Commission's first report and the recommendations of the action plan on organised crime(4) approved at the Amsterdam European Council, it is now necessary to update and extend the 1991 Directive. A proposal for a directive to that end will be presented to Parliament and the Council in the coming months.

At the same time the Commission is fully aware that if it is to be effective the fight against money laundering must be a global effort. The Commission is a member and firm supporter of the Financial action task force on money laundering (FATF), the only world body dedicated solely to combating money laundering. The recent Birmingham G7 Summit endorsed the decision of the FATF to extend its mandate for a further five years and agreed that the major task during this period should be the establishment of a world-wide anti-money laundering network encompassing all continents and regions of the world.

The Commission is seeking to give support to that strategy wherever possible. The Commission's efforts to promote international cooperation in this area are described in the report cited above.

(1) OJ C 186, 18.6.1997, p. 81.

(2) OJ L 166, 28.6.1991, p. 77.

(3) OJ C 198, 8.7.1996.

(4) OJ C 251, 15.8.1997.