Civil society urges FIC to probe parties, lawyers’ trusts

The Institute for Public Policy Research (IPPR) has urged the Financial Intelligence Centre (FIC) to also investigate political party funding and lawyers’ trusts, specifically how these trust funds are sometimes used to channel the proceeds of corruption.

IPPR executive director Graham Hopwood says the centre’s focus on only civil society and religious institutions is questionable.

“What I question is why the FIC places such a strong emphasis on scrutinising civil society and the churches when there are other sectors of Namibian society that would seem more prone to corruption and money-laundering risks,” he says.

Hopwood says the financing of political parties remains a murky area.

“Even lawyers who have used their trust funds to channel the proceeds of corruption should be investigated. We know from Fishrot that these are realities in today’s Namibia,” he says.

“The IPPR doesn’t have a problem with complying with the FIC’s stipulations, because we believe organisations should be run in an accountable and transparent manner,” he says.

The FIC this week announced that churches and other non-profit organisations operating in Namibia must state and provide proof of their funding.

They should also file their annual returns every 12 months or risk action from the FIC.

In enforcing the Financial Intelligence Act of 2012, the FIC also requires evidence that the money made by churches and other non-profit organisations is fully accounted for and used in line with the legitimate mandates of these organisations.

This comes as part of the FIC’s efforts to combat money laundering and terrorism financing in the country.

The IPPR has consistently advocated greater transparency in Namibia’s financial systems.