The Central Bank of Aruba (“CBA”) is, inter alia, the designated supervisory authority for compliance with the State Ordinance for the Prevention and Combating of Money Laundering and Terrorist Financing (“LWTF”) (AB 2011, no. 28). The CBA monitors whether the service providers comply with the obligations incumbent on them pursuant to the LWTF, including the obligation to carry out client investigations, the duty of disclosure and the duty of legal hold. In that respect, the CBA determines whether a service provider has adequate procedures and measures in place to ensure compliance.
Insofar as financial institutions and trust service providers are involved, the CBA also supervises compliance with the Sanctions State Decree to Combat Terrorism and Terrorist Financing (AB 2010, no. 27).
In sum, the CBA is authorized to request and inspect data and information while performing its supervisory duties. Among other things, the CBA may request information (off-site) or carry out an investigation (on-site). Service providers are obligated to lend every cooperation to the CBA in the context of performing its duties.
In the event of non-compliance, the CBA may take informal measures and/or formal measures. Informal measures could include a warning letter or standard transfer meetings. Formal measures could include giving instructions or imposing a fine or an administrative penalty (maximum of 1,000,000 Afl.).
The CBA keeps a register of designated non-financial service providers and non-regulated financial service providers. These categories of service providers must be registered with the CBA.
For more information on the supervision by the CBA and the registration obligation, reference is made to the CBA’s website.