Tax offences accounted for roughly 86 percent of the transaction value tied to case dissemination reports by Fiji’s Financial Intelligence Unit in 2024, Parliament was told during debate on the unit’s annual report. Opposition MP Rinesh Sharma raised the figure in the House as MPs questioned whether Fiji can effectively trace money generated by drug trafficking and organised crime, according to Fijivillage.
Key facts
- Tax crimes made up 26 percent of FFIU case dissemination reports by number but about 86 percent of the associated transaction value in 2024, Sharma said.
- The FFIU received 559 suspicious transaction reports in 2024 and analysed 304, leaving 255 outstanding.
- The debate followed the Standing Committee on Economic Affairs’ review of the FFIU’s 2024 Annual Report.
- Committee chair and Assistant Minister in the Office of the Prime Minister Sakiusa Tubuna said intelligence produced by the unit was not always translating into the outcomes being sought.
- The motion to note the committee’s review was agreed to unanimously.
Why it matters
The FFIU is both a regulatory body and Fiji’s national financial intelligence unit, tasked with protecting the financial system from criminal abuse, Fijivillage reports. The numbers cited in Parliament put a scale on where the money sits: the largest share of value in the unit’s case reports came from tax-related offences, which Sharma said shows the financial exposure attached to those crimes and the need for stronger analysis and enforcement.
The second concern raised in the House was accountability. Sharma told Parliament that MPs cannot establish how many investigations, prosecutions, convictions or asset recoveries have resulted from intelligence produced by the FFIU.
What the committee found
Presenting the review, Tubuna said the central concern was the gap between intelligence and outcomes. The committee found there was no systematic feedback showing what happened to intelligence after it was disseminated, including whether it led to investigations, prosecutions, convictions or asset recoveries, according to Fijivillage.
Tubuna said stronger coordination between the FFIU and the agencies receiving its intelligence, together with a formal feedback mechanism, is needed so that intelligence contributes to enforcement action.
The changes Sharma wants
Sharma put forward a set of measures to strengthen Fiji’s ability to monitor and trace money linked to financial and organised crime. He is calling for amendments to the Financial Transactions Reporting Act to bring in emerging areas currently outside its reach, along with a beneficial ownership register and increased penalties.
He also wants agencies that receive financial intelligence to report back to the FFIU on the outcome of referrals within 90 days, Fijivillage reports.
Funding and the backlog
On resourcing, Sharma called for increased funding for the FFIU so the outstanding suspicious transaction reports can be cleared. He also pushed for greater use of the Proceeds of Crime Act and the introduction of unexplained wealth orders to help trace and recover proceeds of crime.
Gatekeepers and borders
Sharma wants stronger supervision of high-risk professionals, naming lawyers, accountants and real estate agents, with on-site examinations at least once every three years and greater use of administrative penalties.
He also called for Fiji to strengthen its borders by improving cash declaration measures at airports and ports and increasing scanning and surveillance at marinas and remote jetties. That echoes a point Fiji News has reported previously from the maritime regulator, that Fiji’s maritime laws are only as strong as their enforcement.
Drug money and the tracing question
Sharma questioned whether Fiji’s financial intelligence system is sufficiently equipped to follow the proceeds of organised crime and drug trafficking. He referred to major drug seizures and said proceeds from illicit activities can potentially move through bank accounts, businesses, vehicles, land and property, according to Fijivillage.
The trade sits behind other pressures Fiji News has covered, including the meth-driven HIV outbreak reported by health authorities.
To close the gap between agencies, Sharma is calling for stronger links between the National Intelligence Bureau, FICA, the Director of Public Prosecutions and the Fiji Police Force through a shared case-management system. Fijivillage does not spell out what FICA stands for.
Crypto and capacity
Opposition MP Faiyaz Koya raised concerns about the growing complexity of financial crime, including the use of cryptocurrency such as Bitcoin, Fijivillage reports. Koya said additional funding, training and capacity building will be needed so the FFIU can provide the intelligence required by Police and other agencies dealing with transnational crime and drug-related offences.
The exchange adds to a run of national security work in Fiji reported this year, including the launch of a national counter-terrorism strategy.
What happens next
Parliament agreed unanimously to note the committee’s review of the FFIU’s 2024 Annual Report. Fijivillage does not report any government commitment to adopt the legislative amendments, extra funding or the feedback mechanism raised in the debate, and no timeline for the measures was given.
Frequently Asked Questions
What exactly does the FFIU do?
According to Fijivillage, the Fiji Financial Intelligence Unit works as both a regulatory body and the national financial intelligence unit. Its stated role is to protect Fiji’s financial system from criminal abuse.
Which sectors would Rinesh Sharma’s proposed law changes cover?
Fijivillage reports that Sharma wants the Financial Transactions Reporting Act amended to cover virtual assets and cryptocurrency exchanges, mobile money and digital wallets. He also named gold and precious metal dealers, motor vehicle dealers and other high-value traders.
Where would money recovered from criminals go under the proposal?
Sharma told Parliament recovered funds should be directed to drug rehabilitation, the HIV response and frontline policing, Fijivillage reports. He linked that to greater use of the Proceeds of Crime Act and the introduction of unexplained wealth orders.
How does Sharma propose clearing the suspicious transaction report backlog?
He is calling for increased funding for the FFIU, including doubling its analytical capacity, according to Fijivillage. The target he set is clearing the outstanding reports within 12 months.
