Korea already has a rigid measure to fight money laundering and terrorism financing. However, it needs more effort to stop government officials from laundering money. Risk assessment has now taught the nation to identify the risks associated with it. Currently, high-risk criminal activities associated with money laundering are illegal gambling, fraud, corruption, and tax evasion. The country is working hard to stop the widespread of a weapon of mass destruction. But there is a need for it to deal with the challenge of control over seizing assets under the United Nations sanctions regime.
Korea has little to fear on terrorist financing and terrorist financing but needs to start prosecuting money laundering associated with tax crimes. Many corruption cases have been linked with money laundering risk. Therefore, the country needs to adjust its AML/CFT to include politically exposed people and organizations who launder proceeds of corruption.
Korean government works hand-in-hand with several government agencies, private sectors, and international agencies to ensure legal aid. The country needs to collaborate more effectively with concerned agencies to prevent real estate, lawyers, and dealers from money laundering. Korean law enforcement agencies have successfully investigated criminal cases and recovered assets from criminals. This shows that the country AML/CFT framework is functioning effectively ever since it was last evaluated in 2008. However, it still needs to affect tax crimes, politically-exposed individuals, and non-financial businesses.
