The Financial Action Task Force (FATF) has published a paper, Cyber-Enabled Fraud – Digitalisation and Money Laundering, Terrorist Financing and Proliferation Financing Risks, examining the evolving threat of cyber-enabled fraud and setting out how jurisdictions can use the FATF Standards to disrupt scams, prevent funds reaching fraudsters and recover proceeds. The paper highlights the scale of the issue, including that fraud accounts for more than 40% of all crimes in the United Kingdom, cyber-enabled fraud cases in Singapore have increased 61% in two years, and 156 jurisdictions (90% of those assessed by the FATF) identify fraud as a major money laundering risk. It points to techniques such as phishing emails, AI-enabled deepfakes and messaging applications, and emphasises stronger implementation of global standards through international cooperation, faster information sharing and asset recovery. Practical levers discussed include payment transparency tools such as “confirmation of payee”, asset recovery measures in the revised FATF Standards including payment-suspension or freezing tools and non-convictions-based confiscation, closing gaps in implementation of the virtual asset standards, a risk-based multi-pronged approach to beneficial ownership information, closer domestic and cross-border partnerships, and the use of advanced analytics by financial intelligence units and banks. The FATF also said it will prioritise fraud over the next few years, including further analysis of developments such as scam centres, and it will participate in the Global Fraud Summit in Vienna in March 2026 organised by Interpol and the UN Office on Drugs and Crime to highlight coordinated action and measures to strengthen countries’ operational capabilities to prevent, detect and recover fraud proceeds.
Financial Action Task Force 2026-02-24
Financial Action Task Force publishes paper on cyber-enabled fraud and use of FATF Standards to prevent and recover illicit proceeds
The Financial Action Task Force (FATF) published a paper on cyber-enabled fraud, detailing how jurisdictions can leverage FATF Standards to combat scams and recover illicit funds. The paper underscores the prevalence of fraud, with over 40% of crimes in the UK attributed to it, and highlights techniques like phishing and AI-enabled deepfakes. FATF emphasizes international cooperation, faster information sharing, and asset recovery, prioritizing fraud in upcoming years and participating in the Global Fraud Summit in Vienna in March 2026.