Financial Crime Bureau to cost £1.35m.

The public hearing organised by the Scrutiny Management Committee was told that setting-up costs for the island’s new Economic and Financial Crime Bureau were £1.35m.

Some 50 people will be employed by the bureau, although that will incorporate existing staff working in financial intelligence.

It was not specified how many new staff would need to be recruited.

Bureau director Kevin Davis said he wanted to recruit within the island, and had received significant interest from people working in the finance sector, even though public sector salaries were lower.

However, he added that some specialists would have to be recruited from off-island, and that ‘specialist staff don’t come cheap’.

The preparations come before the island is inspected in 2023 by Moneyval, which is Europe’s money laundering watchdog.

Mr Davis said that Guernsey was a well-regulated financial centre, but there were improvements that had to be made to avoid a disappointing inspection result.

He had confidence that with development and upskilling, Moneyval would find Guernsey to be compliant with their rules.

The bureau will be a ‘blend of professionals’ who will track down white-collar criminals, and hit them where it hurts – in their pockets.

Bailiwick Law Enforcement has the power to seize assets from criminals who can offer no legitimate explanation on asset ownership.

Deputy John Dyke, a member of Scrutiny Management, asked whether Moneyval was pushing the island into a quota mentality, where a certain number of criminals had to be brought before the courts.

Deputy Rob Prow, Home Affairs president, said that was not the case but that Moneyval required a tangible response that demonstrated effectiveness.

The Isle of Man was criticised in a Moneyval inspection, and head of Law Enforcement Ruari Hardy said they were proactively making changes that the Isle of Man had been forced to.

‘Guernsey is genuinely trying to do the right thing’, he said.