As you will no doubt know, on February 1, 2021, the Myanmar military declared a state of emergency in Myanmar for a period of one year. State Counsellor Daw Aung Sang Su Kyi was detained, as were the president and various significant political and civil leaders. Min Aung Hlaing, commander-in-chief of the Tatmadaw (Myanmar armed forces) has installed himself as chairman of the State Administration Council, the current administration. New sanctions The reaction of the Biden administration has been swift. On February 10, 2021, President Biden issued Executive Order 14014, which provides bases to impose sanctions on individuals and companies deemed by the US to, among other things: operate in the defense sector of Myanmar; be responsible for policies that undermine democratic processes in Myanmar; have taken actions to undermine democratic processes or institutions, or prohibit, limit, or penalize the exercise of free speech, in Myanmar; or be a spouse or child of the foregoing. On the next day, February 11, the US Office of Foreign Assets Control (OFAC), imposed sanctions under the new executive order on ten individuals—including General Min Aung Hlaing—and three companies, including Cancri Gems & Jewelry Co, Myanmar Imperial Jade Co, and Myanmar Ruby Enterprise.  All such individuals and companies have now been designated on the US list of specially designated nationals (SDNs). Effect of sanctions As a result of such sanctions, the property of these individuals or companies that is located in the US or is under the possession or control of US companies and citizens is frozen, and US companies and citizens are generally prohibited from dealing deal with any such property.  Reportedly, roughly USD 1 billion of funds belonging to the individuals and companies blocked on February 11 are located in the US and thus now frozen. The SDN list As many

Thailand’s legal framework for preventing transactions that are deliberately designed to conceal the unlawful origin of funds is primarily contained within the Anti-Money Laundering Act B.E. 2542 (1999) (AMLA), as amended. As international money laundering practices evolve and emerge over time, prevention measures must evolve with them. Therefore the Financial Action Task Force (FATF) recently recommended amendments to the AMLA, along with the Counter Terrorism and Proliferation of Weapons of Mass Destruction Financing Act B.E. 2559 (2016) (CFTA), in order to be consistent with the latest international standards. The amendments passed through the public hearing stage on June 15, 2020, and the laws will now continue through the cabinet and parliament. Key Draft Amendments to the AMLA The definition of “financial institution” is expanded to include operators of many financial technology services, including: asset management and digital asset businesses; trustees in capital market trusts; derivatives businesses; authorized juristic persons under foreign exchange controls; personal loan businesses; nano- and pico-finance businesses; peer-to-peer lending businesses; crowdfunding platforms; regulated e-payment systems and services; non-bank credit card service providers; and additional businesses related to financial services or financial technology services at risk for money laundering (by further announcement in ministerial regulations). The definition of “professions” (formerly known as “section-16 professions”) is expanded to include additional occupations and businesses, such as accounting, auditing, auto trading and leasing, legal consulting, and additional professions at risk for money laundering (by further announcement in ministerial regulations). For cash transactions exceeding the prescribed threshold, parties in the listed professions are assigned recordkeeping duties in addition to their current reporting duties. The authority and power of the Anti-Money Laundering Office are expanded to include acting as a central financial intelligence agency to regulate, check, and rate the operations of companies and branches both within and outside of Thailand. Key

On 27 June 2020, Cambodia issued the new Law on Anti-Money Laundering and Combating the Financing of Terrorism (‘the 2020 AML/CFT Law’), that abrogates both the 2007 law of the same name and the 2013 sub-decree that accompanied the former law. All other laws relevant to AML will remain in effect. Jay Cohen, Sochanmalisphoung Vannavuth, and Robin Spiess, of Tilleke & Gibbins International Ltd., provide an overview of the 2020 AML/CFT Law, and how it differs from the 2007 in areas such as definitions and penalities.

Cambodia’s new Anti-Money Laundering and Combating the Financing of Terrorism Law (the “2020 AML/CFT Law”) came into force in June 2020, abrogating the 2007 law of the same name and the accompanying sub-decree from 2013.The 2020 AML/CFT Law differs in three major ways from the 2007 law: (1) more specific definitions, (2) a requirement for reporting entities to introduce enhanced due diligence measures, and (3) increased penalties for non-compliance.Altered Definitions of Legal Terms