out soon, bank negara malaysia and the relevant agencies have started to implement the action plan in stages. the ml / tf investigation and prosecution have been intensified. to date, there have been 94 money laundering cases at various stages of prosecution, with more than 3000 charges involving proceeds amounting to rm1. 2 billion. law enforcement agencies have also stepped up capacity and efforts to curb laundering of illegal proceeds. three main law enforcement agencies for the amlatfa investigations, i. e., the royal malaysian police, the malaysian anti - corruption commission and the royal customs malaysia have established dedicated aml / cft units to give focus to ml / tf investigations and expedite overall enforcement actions. other related enforcement agencies have also geared up to achieve the same progress. for bank negara malaysia, we will remain vigilant on the level of compliance of the financial institutions with the aml / cft rules and measures. thematic examination will continue to be carried out on aml / cft compliance of the financial institutions, and other reporting institutions, when the need arises. non - compliance incidences will be dealt with based on the seriousness of the issue. we will not compromise on serious matters, such as tipping - off, as those are the foundation of the aml / cft framework. apart from that, we are fully aware of the concern of not to cause the “ overshooting ” of aml / cft implementation so as to affect the financial inclusion agenda. for this, malaysia will be involved, under the umbrella of the apg and jointly with the fatf on initiative related to financial inclusion, in particular to look at best practices to ensure that implementation of the aml / cft measures is not a barrier to financial inclusion. in malaysia, the subject of financial inclusion is actually embedded in the national agenda and implemented with the full participation of the financial sector. a snapshot on the implementation result currently shows that 80 % of the population has some form of savings account. in term of penetration of deposit and loan accounts, malaysia is currently among the highest in the world with ratio of 3, 300 deposit accounts per 1, 000 adults and 1, 100 loan accounts per 1, 000 adults. malaysia has also been championing the structured advance of islamic finance around the world. such a structured advance of islamic finance is in fact part and parcel of financial inclusion. in this regard, we believe that malaysia is able to support the work of the fatf and the ap

efforts, and better coordination among key stakeholders, both domestically and internationally, to address this concern. strong governance among the stakeholders, however, remains the key and integral component within the national aml / cft framework, to prevent the escalation of ml / tf risks. more importantly, strong governance in financial institutions is and will remain a critical safeguard and is pertinent in the overall prevention of ml / tf activities. striving to enhance the level of governance in this area will not only result in lowering the overall threat of ml / tf in malaysia, but would also enable the financial institutions to derive greater value for themselves, and in the process, reduces the cost associated with the ml / tf prevention activities. i will briefly share my thoughts today on this issue by covering three key items ; firstly ( a ) the current emerging trends of ml / tf ; secondly ( b ) policy and strategic response by the authorities in malaysia on these emerging trends ; and finally ( c ) our expectations on the financial institutions in response to these trends. emerging ml / tf trends ml / tf is notable for the diversity of its forms, players, location and settings. while it is normally described in the sequential elements of placement, layering and integration, the real activities are very fluid. recent global ml / tf trends indicate that the criminals, especially the professional launderers, will exploit every possible gap in the formal and informal financial system to launder the illegal proceeds. they are known to misuse the payment and fund transfer system, including wire transfer and remittance services, internet payments, mobile payment and stored value card, to channel the illegal proceeds within and across borders. the traditional laundering methods of cash smuggling, via casino, investment and insurance policies are increasingly being used together with other methods such as through the banking facilities to avoid detection. in march 2010, the financial action task force ( or fatf ) issued a report on money laundering vulnerabilities of free trade zones, indicating the rising threats of trade based money laundering. apart from this report and the periodical typologies reports, the fatf has issued a number of reports relating to specific laundering methods ; such as through securities, football and gaming sectors in 2009 ; vulnerabilities of internet payment system and commercial websites in 2008 ; and the real estate sector, vat carousel fraud, and the misuse of corporate vehicles, such as trust and company service providers in the previous years. for