Illegal Wildlife Trafficking (IWT)
Definition:
Illegal wildlife trafficking refers to the illicit trade of animals and plants that are protected by law. This activity often involves the capture, transport, and sale of species that are endangered or threatened, often resulting in significant harm to biodiversity and ecosystems. Traffickers exploit wildlife for various purposes, including the pet trade, traditional medicine, souvenirs, and luxury goods.
The impacts of illegal wildlife trafficking are far-reaching; it threatens species with extinction, disrupts ecological balance, and undermines conservation efforts. Additionally, it is often linked to organised crime, corruption, and violence, contributing to broader issues of lawlessness and security in affected regions. Efforts to combat wildlife trafficking include international agreements, stronger law enforcement, and raising public awareness about the importance of protecting wildlife and their habitats.
Illigal Wildlife Trafficking - So what to Jersey?
The importance of addressing illegal wildlife trafficking in Jersey, as an international finance centre, lies in several key factors:
- Reputation and Ethics: - Jersey's status as a finance centre is tied to its reputation for integrity and ethical standards. Engaging in or enabling illegal activities, such as wildlife trafficking, can tarnish that reputation, making it essential for Jersey to be seen as a jurisdiction that actively combats such crimes.
- Financial Crime Links: - Wildlife trafficking often involves significant financial transactions and is linked to other forms of organised crime, including money laundering. By taking a stand against wildlife trafficking, Jersey can help disrupt these criminal networks that may also impact financial systems and create vulnerabilities.
- Legal Obligations: - As a member of various international agreements and conventions aimed at protecting wildlife, Jersey has a responsibility to align its financial practices with these commitments. This alignment helps bolster international cooperation in combating wildlife trafficking and reinforces Jersey's role in global efforts.
- An ethical IFC: - Increasingly, international clients are looking at the sustainability and ethical implications of their investments. By promoting initiatives that combat illegal wildlife trafficking, Jersey can attract responsible business that values environmental and social governance.
Responsibilities of Jersey's regulated sectors
Jersey financial services firms need to be vigilant about illegal wildlife trafficking, even if it doesn't directly occur in their jurisdiction, for several reasons:
- Reputation Management: - Firms need to protect their reputation and ensure they are not inadvertently associated with illegal activities. Being linked to wildlife trafficking can harm a firm's credibility and reputation, affecting client trust and business relationships.
- Regulatory Compliance: - Financial institutions are often subject to international regulations that require them to guard against financing illegal activities, including wildlife trafficking. Failing to comply can lead to penalties and loss of licenses.
- Legal Risks: - Involvement, even unwittingly, in illegal wildlife trafficking can expose firms to legal risks. They may face investigations or penalties if they are found to have ties to related transactions.
- Corporate Social Responsibility: - Many organisations today are committed to ethical practices and sustainability. By being aware of wildlife trafficking issues, firms can align themselves with these values, demonstrating their commitment to global well-being and conservation.
- Global Impact: Wildlife trafficking is a worldwide issue that affects biodiversity and ecosystems and is often linked to broader criminal activities. Financial firms play a critical role in monitoring and preventing illicit financing, contributing to global efforts to combat trafficking.
- Client Expectations: - Increasingly, clients are concerned about ethical practices and sustainability. Having knowledge of illegal wildlife trafficking can help firms engage more effectively with clients concerned about these issues.
By staying alert to the risks associated with illegal wildlife trafficking, Jersey financial services firms can proactively safeguard their integrity, comply with regulations, and contribute to the broader fight against global crime.
Types of criminal activities linked to illicit finance
As part of the FIU's mission to assist Jersey's regulated sectors, we have created below some criminology examples which explain what they are, and more importantly, the 'So what to Jersey' connection.
Understanding the 'So what to Jersey' connection
As an International Finance Centre (IFC), the Island's products, services or industries could be used by criminals for illicit financial activity. Whilst the criminal activity may not have occurred in Jersey, the funds or derived funds from such criminality might be placed within a Jersey product or structure, or pass through the island's financial system. It is therefore important to understand the 'So what to Jersey' principle in relation to each of the criminology types below.
To help understand the various criminologies better, we have produced fictional typologies (within our knowledge base section), which provide an examples on how they work, and importantly, illustrate the 'So what to Jersey' connection.
