Tightening up of money laundering oversight
Cabinet has given the Insolvency Department the power to take on the duties of the asset management service in order to better handle money laundering cases.
MOKAS
Cyprus nears conclusions in probe of Russian sanctions violations
Cypriot authorities are investigating possible breaches of EU sanctions on Russian billionaires related to the war in Ukraine. Investigators are looking into cases involving high-profile individuals like Alexei Mordashov, who reportedly transferred shares worth €1.4 billion to his wife after the sanctions were imposed. The Attorney General’s office met with investigators to review progress and issue instructions, with potential prosecutions looming. Sources indicate that evidence from foreign countries is being sought to support potential charges, with funds leaving Cyprus before the sanctions were implemented being a focus of the investigation.
Avakoum monks had salaries paid
Two monks from the Osiou Avakoum monastery, archimandrites Nektarios and Porfyrios, along with hieromonk Avakoum Christofis, were under investigation for alleged money laundering and engaging in sexual activity with each other. The monks were initially placed on leave with full pay, but later the decision was changed to withhold their salaries during the investigation. However, on Friday, they received payment for their salaries since March 12, which the lawyers said vindicated their clients. The monks had €807,000 in cash and were captured on camera engaging in sexual activity. Police had access to their bank accounts and other services for further investigation. The monks filed an appeal to have the frozen money returned, claiming that not all facts were presented to secure the freezing orders.
‘No room for compromise’ in finding truth over Avakoum scandal
Fact: The court case over the Osiou Avakoum monastery scandal has been postponed until May 30 after the two monks involved filed an appeal to recover the €807,000 taken from them during the investigation.
Moneyval reports improvements in money laundering measures
Cyprus has welcomed a Moneyval report that acknowledged improvements in tackling money laundering and terrorism financing, but also identified existing shortcomings.
St Habakkuk hearing postponed
The hearing to cancel foreclosure orders for the Monastery of Sant Habakkuk’s €807,000 has been postponed until May 30. The postponement was granted to serve the request to three more parties: the Hellenic Bank, the Bank of Cyprus, and the Land Registry. Bishop Isaiah of Tamasos is personally involved, represented by lawyer Elias Stefanou. The court required objections to be filed within eight days before the new hearing date. Notably, the acting abbot of the monastery, Nektarios, other monks, and two citizen applicants claiming ownership of the money were present in court.
Police to seize €807,000 from St Habakkuk monastery in money laundering probe
Police are set to seize €807,000 found in a safe at the Saint Habakkuk monastery as part of a money laundering probe. The Police’s Financial Intelligence Unit will request a court order to freeze the funds to prevent them from being moved or concealed. Separate investigations into the monastery’s finances are also underway, looking into various aspects including fundraising practices and potential financial irregularities. Significant developments are expected next week, with completed cases involving assault and sexual harassment being prepared for submission to the Attorney General’s Office.
AG briefed over monks, ’ cash and sex scandal
Attorney General George Savvides was briefed on an ongoing investigation into a cash scandal involving monks at the monastery of Saint Avvakoum. Monks were allegedly found in possession of €800,000 in cash and were also discovered to own property in Greece and Limassol. The investigation includes allegations of money laundering and obtaining money with false representations. The police are working to identify whether felonies have been committed and initial findings were presented to the Attorney General. The monastery has faced criticism for allegedly receiving donations through fake “miracles” and promises to people suffering from diseases. The monks have vehemently denied the accusations, claiming there has been no financial mismanagement. The monastery has also been accused of engaging in sexual acts on CCTV footage, with one monk reported for sexual harassment. The scandals have raised concerns about potential money laundering through church donations.
Cash flows to Cyprus increase, amid money laundering fears
– €90 million out of €101.6 million declared in cash transactions have no prosecutions before court.
– Most cash declarations at airport customs offices are for the purchase of real estate.
– In the beginning of 2023, 25% of entities were designated as high risk for money laundering, terrorist funding, and tax avoidance.
– There is currently no limit on the amount of cash someone can use to purchase something in Cyprus, as long as purchases over €10,000 are declared to the tax commissioner.
Cabinet ratifies police and FBI cooperation
Fact: The memorandum of cooperation between Cyprus’ police and the FBI will strengthen Cyprus’ law enforcement with expertise to combat money laundering and investigate cases involving financial crime.