Anti-money Laundering Reward And Punishment Mechanism: International Experience And Its Implications For China

Money laundering is a global problem, which influences the world economy. Since "911", anti-money laundering is concerned by most of the governments in the international community as a vehicle of cutting off links between terrorism and capital source .To improve the effect of anti-money laundering, the government needs assistances from domestic finance organizations and foreign governments. For the cost of anti-money laundering paid by the finance organizations and foreign governments can't be compensated, it influences the enthusiasm and efficiency of anti-money laundering. So it is urgent to establish the rewards and punishment mechanism of anti-money laundering.In common research, finance organization is the research object. For the externality in the behavior of anti-money laundering, the author thinks that only organized by the government can solve the externality and realize the most benefit of the public. The paper begins the research from the government's view; explore the establishment of rewards and punishment mechanism.First, the paper researches the principal-agent relation between government and finance organizations, domestic government and foreign governments in anti-money laundering. Then introduces and evaluates the operation of rewards and punishment mechanism in main countries, finding out the theory elements behind the mechanism, which improve practice to theory. At last, the paper analyses the situation of anti-money laundering and the mechanism of rewards and punishment in China. The author points out the "four focuses, four neglects" in the establishment of rewards and punishment mechanism, and then gets inspiration in theoretical level also from international experiences. This can be considered as a course theory guiding practice.To improve the anti-money laundering efficiency, the Chinese Government should establish an equilibrium rewards and punishment mechanism from the Chinese reality as follows: Increase the degree of punishments to impel the finance organizations far from money-laundering; Deliver part of residual Claim to impel agent working harder in anti-money laundering; Appoint a person responsible for anti-money laundering to change the current situation of impersonalized agent; Transfer the thinking of supervision to reduce the possibility of finance organization's moral hazard.