Financial crime experts from across Asia-Pacific have been welcomed to New Zealand for a three-day workshop on combatting money laundering, terrorism financing and the smuggling of bulk cash, gems and precious metals, which was co-hosted by the New Zealand Customs Service and the World Customs Organization (WCO).

The regional workshop was held from 29 – 31 October in Auckland. Twenty-six delegates representing Customs agencies and financial intelligence units from 14 countries, as well as representatives from INTERPOL and the Egmont Group, were in attendance.

Established in 2019, Project Tentacle is a WCO programme that leads into operational activity globally, with New Zealand Customs an active participant in Project Tentacle Asia-Pacific.

Operation Tentacle Asia-Pacific III occurred over nine weeks from 1 May – 7 July 2024. During this period, New Zealand Customs had the highest number of detections across the region with 99 detections of undeclared cash equating to over NZ$1.79 million, as well as $9,800 counterfeit US dollars.

New Zealand Customs Group Manager Intelligence, Investigations and Enforcement, Terry Brown, says financial crime, most notably cash and gold smuggling and trade-based money laundering, are prevalent across the world and are often linked to other serious criminal activities - such as illicit drug and tobacco smuggling.

“Customs agencies are the first line of defence at the border, playing a significant role in national and regional security. Having close relationships with our Asia-Pacific partners is vital in detecting and combatting financial crime. These workshops have given us real opportunities to further strengthen our close working relationships”, Mr Brown says.

“In 2024 to date, Customs detected 388 instances of undeclared cash at the border, which equated to over NZ$8.3 million of undeclared currency. It is widely understood that in order to combat trade-based money laundering and financial crimes, jurisdictions must work together and share intelligence to be successful in detecting and investigating this risk.”

A WCO representative said that the results of Operation Tentacle Asia-Pacific III “highlight the unwavering commitment of customs administrations, police, and financial intelligence units across the Asia-Pacific region to combat the movement of illicit currency, currency equivalents, and valuable commodities such as gems and precious metals. These efforts underscore the collective resolve to counter trade-based money laundering and prevent illicit financial flows.

“This operational effort led to the seizure or detention of over USD$45 million in smuggled currency and gold, as well as the arrest of 265 individuals involved in money laundering and smuggling, including 17 individuals identified as insiders operating within key airports. The law enforcement results, driven by the collective efforts of the WCO, the Egmont Group and INTERPOL, demonstrates the critical need for customs administrations to remain vigilant at international borders to identify, disrupt and dismantle organised crime networks and other nefarious actors.

“The workshops convened as part of this initiative have provided invaluable opportunities to strengthen regional partnerships and share intelligence and best practices, ultimately enhancing our collective capacity to counteract financial crime and support global security.”

The workshops included debriefs on operational activity and discussions on trade-based money laundering, inter-agency collaboration, terrorism financing and case studies from jurisdictions across the region. There was also a visit to New Zealand Customs facilities in Auckland, including demonstrations from the Detector Dog Unit and Customs Environmental Science and Research screening laboratory based at Customs’ Air Cargo Inspections Facility.

© Scoop Media