Anti-Terrorism, Anti-Fraud & Anti-Money Laundering Policies

Anti-Terrorism, Anti-Fraud & Anti Money Laundering Policies

1. Anti-Terrorism Policy:

Purpose:

The purpose of the VACD Ltd. Anti-Terrorism Policy is to promote awareness and the prevention of support of terrorism. Specifically, this Policy seeks to prevent, detect and deter facilitation of and the unknowing support of terrorist groups/organisations or individuals associated with terrorism and/or organised crime. 

VACD Ltd. complies with the provisions of the Bank Secrecy Act, Financial Anti-Terrorism Act of 2001, Uniting and Strengthening Act 0f 2001, USA Patriot Act of 2001 and any such legislation that has or may be introduced by a State or Federal Legislative Authority in order to uphold its integrity as a humanitarian organisation. 

Definition of Terrorism:

  1. The act, or threat of action, where the action causes certain defined forms of harm or interference and the action is done or the threat is made with the intention of advancing a political, religious or ideological cause.
  2. An ‘individual or group associated with terrorism’ or suspected to be involved in terrorism related activities includes: - Those listed by State or Federal security and/or international government intelligence agencies;

Definition of Organised Crime:

A conspiratorial enterprise engaged in illegal activities as a means of generating income.

Scope: 

This Policy and Procedures apply to all of VACD Ltd. members, staff, volunteers and VACD Ltd.   partners and contractors. 

Guiding principles:

1. VACD Ltd. has a zero-tolerance policy towards any association with terrorism and/or organised crime. To that end, VACD Ltd. will ensure: 

  • funds are not provided directly or indirectly to individuals or organisations associated with terrorism and/or organised crime; 
  • all individuals or organisations involved in implementing/facilitating projects on behalf of VACD Ltd. are not associated directly or indirectly to organisations or individuals associated with terrorism and/or organised crime; 
  • all activities, individuals /organisations involved and the general practice and functionality of VACD Ltd. adhere and comply with the relevant laws, regulations and policies of USA and the countries in which VACD Ltd.  operates;  
  • any breach of this policy will be immediately brought to the attention of the State or Federal authorities or to the attention of the appropriate authorities in any other jurisdiction in which VACD Ltd. operates. 

2. VACD Ltd. and its partners will comply with counter-terrorism laws and policies through ongoing monitoring of activities of all partners and beneficiaries. They will use their best endeavours to ensure that there is no link whatsoever with any entity or individual associated with terrorism. VACD Ltd. partners are required to: 

  • Know the persons/organisations that are being directly assisted by them; 
  • Make sure that people/organisations being directly assisted are not on either of the lists published by the anti-terrorism and security services in all countries in which VACD Ltd. operates before assistance is provided and ensure that appropriate security updates provided by various authorities via their websites or other forms of communication is taken into account; 
  • Make sure that directly funded persons/organisations are aware of and are obliged to comply with these laws, and that they in turn are obliged to make sure that their distribution of the funds or support is made on the same basis and strict criteria; 
  • Apply caution where: a. Proscribed organisations or individuals are known to be in the area; and/or b. The scale of financial or material support transaction is such that it could potentially provide significant support to a proscribed individual or organization; 
  • Advise VACD Ltd. leadership immediately, if it becomes aware of any breach of these guidelines by any such organisation or group. 

Procedures: 

VACD Ltd. has and will continue to review appropriate training, processes and systems it has put in place to prevent the facilitation of terrorism financing.

The following Procedures in place must be complied with at all times: 

1. HUMANITARIAN PROJECTS: 

In Identifying and committing to a Project within the USA or internationally, all necessary due diligence processes must be completed and approved. This process includes a mandatory check of proscribed organisations to identify any potential VACD Ltd. partners that may be listed therein; 

2. THE PARTNERSHIP AGREEMENTS: 

a) When VACD Ltd. enters into a Memorandum of Understanding (“MOU”) with project partners, the MOU must outline the obligations and objectives of VACD Ltd. and be in accordance with relevant laws, policies and regulations of USA and the country or countries in which the project/s will be implemented, relating to Anti-Terrorism procedures. The MOU must expressly stipulate that a breach of the Anti-Terrorism policies will allow VACD Ltd. the ability to withdraw all funding that has been provided to the partner; 

b) As part of implementation and monitoring of the project, the Project Funding Checklist stipulates the amount of funds, the purpose of the funds and receipts of payments so as to outline the basis for the payments made to VACD Ltd. partners. 

3. STAFF AND VOLUNTEERS: 

a) All persons to whom this Policy applies (see ‘Scope’ above) must be educated and trained about terrorism and related issues. 

b) All members, staff, Volunteers and Collaborative Organisations may be subjected to a Police check in USA and/or country of operation if appropriate; 

c) Staff, members, team and volunteers engaged in international and local volunteer programs will be subjected to a screening process prior to commencing; 

d) International volunteers may also need to complete the necessary equivalent mandatory checks in the country of operation. 

2. ANTI -FRAUD AND ANTI-MONEY LAUNDERING POLICIES:

INTRODUCTION: 

VACD Ltd. has a zero-tolerance policy towards fraud, money laundering and corruption. We recognise that our work occurs in a challenging environment where there are risks of fraud and money laundering, both in the USA and overseas. It is essential that we conduct a thorough risk analysis of our projects and implement our Anti-Fraud and Money Laundering Policies through our Operational Procedures to address this danger. 

Fraud:

Fraud is defined as deliberate deception to secure unfair or unlawful gain, or to deprive a victim of a legal right. Fraud itself can be a civil wrong or a criminal wrong or it may cause no loss of money, property or legal right but still be an element of another civil or criminal wrong. The purpose of fraud may be monetary gain or other benefits, or causing a loss, by deception or other means. 

Fraud can include: 

  • The misappropriation of funds for private gain; 
  • Theft such as stealing property; 
  • Misuse of property e.g. office space for private gain; 
  • Bribery of foreign public officials to implement work; 
  • Diversion of aid to non-target groups; 
  • Preferential treatment for family and friends; 
  • Coercion or intimidation of staff, volunteers or beneficiaries to ignore or participate in corruption; 
  • Manipulating or falsifying financial or other documents for private gain. 

Private gain can refer to individual benefits, as well as benefits received by communities, ethnic groups, religious groups, political organisations, corporations or militia. 

Money Laundering:

Money Laundering is the process of transforming the profits of crime and corruption into ostensibly” legitimate” assets in a number of legal and regulatory systems. Financial and business crime is sometimes used more generally to include misuse of the financial system that also may include terrorism financing and evasion of international sanctions. The USA Patriot Act of 2001 is intended to US measures to prevent, detect and prosecute international, money laundering and the financing of terrorism.  

We have policies in place to rigorously monitor financial transactions, as is outlined in our guidelines. We employ an effective financial management program that allows us to record, track and reconcile funds raising and donation revenue with funds deployed in various projects and programs. Regular project/program budgets are prepared and tracked closely to detect any variance in expenditure. Budget reviews are undertaken regularly. All expenditure has dual authorization. 

VACD Ltd. also rigorously monitors the design, implementation, management and results of our overseas projects and programs. We believe that monitoring and evaluation is a crucial part of determining the success of our projects and partners, and a key part of our measures of success is ensuring fraud and money laundering does not occur. This includes: 

1. A process where VACD Ltd. works with the Partner to complete implement a program or project with proper Due Diligence, including the Project Plan and Project Budget.

2. A process during and after the project where VACD Ltd. conducts monitoring discussions with the Project Leader and our Partner Organisation. This monitoring includes internal monitoring from VACD Ltd. representatives on-site, as well as independent third party monitoring on-site. The frequency of the monitoring varies according to the type of project undertaken.

3. VACD Ltd. additionally undergoes periodic internal auditing processes. At least once every year, the accounts of the organisation are examined by qualified internal and external auditors, who must report to the Members in accordance with the Corporations Act.

4. INVESTIGATING FRAUD, MONEY LAUNDERING & WHISTLE-BLOWER PROTECTION:

VACD Ltd. aims to create a culture that encourages fraud and money laundering detection, ensures that whistle-blowers are protected, and investigates allegations in a rigorous and impartial manner. Training is provided for relevant staff and volunteers regarding fraud and money laundering detection.

4.1 Our Whistle-Blowing Policy clearly outlines a mechanism through which staff and volunteers must report allegations of fraud and money laundering while our members, staff and volunteers are committed to upholding and adhering to VACD Ltd. principles and guidelines that are intended to identify and prevent fraud and money laundering as indicated above. 

4.2. We are committed to ensuring no negative outcomes occur for whistle-blowers acting in good faith. 

4.3. Investigations must be completed in a confidential, prompt and professional manner according to established guidelines. If allegations of fraud and money laundering are proved to be correct, VACD Ltd. is committed to taking disciplinary action in a transparent and fair manner. 

5. REPORTING FRAUD AND MONEY LAUNDERING: 

VACD Ltd. has a “zero tolerance” attitude towards fraud and/or money laundering. This means that any case of alleged, suspected or detected fraud and/or money laundering must be reported immediately to the VACD Ltd. Board.

VACD Ltd. shall: 

  1. Investigate all reported cases of alleged, suspected or detected fraud and/or money laundering; 
  2. Report any alleged, suspected or detected fraud and or money laundering to the appropriate authorities and cooperate with them in order to prosecute or apply other appropriate sanctions against those who have committed fraud and /or money laundering;  
  3. Seek the recovery of misappropriated funds or assets wherever possible; 
  4. Where the funds defrauded relate to institutional donors, such as a government agency, the donor should be informed in accordance with contractual requirements.

How to Contact Us:

If you have any questions about VACD Ltd. Anti-Terrorism, Anti-Fraud and Anti-Money laundering policies including our While-Blower policy, please contact us as per below:

Mr. James Gruver,

No: 111, Suite #3308, Upper West Wacker Drive,

Chicago, Illinois, 60601, USA

Director - Volunteers to Assist Children with Disabilities Limited (USA) Inc.

Phone: +1 952 838 5638 

Email: This email address is being protected from spambots. You need JavaScript enabled to view it.  

Web: http://www.vacd.org.au/