FROM A
DIFFERENT ANGLE by Kenneth Rijock
Financial Crime Consultant, for World-Check
Alert on new "political" church with unsavoury support
29 June 2008

Bankers asked to open accounts for a newly-formed Bolivarian revolutionary church known as the Reform Catholic Venezuelan Church, might want to take a close look at the prospective client. The church, which was first publicly organised only last week, has reportedly been denounced by the religious establishment as a parallel entity that departs from mainstream Catholic tenets, including excusing its priests from vows of chastity, permitting divorce, and hiring priests who have histories of misconduct. Aside from that, the church appears to be a qualified PEP, due to its funding source.

The Reform Catholic Venezuelan Church, which apparently has adopted a radical political agenda, is strongly pro-Chavez, and is reportedly funded by Petroleos de Venezuela (PdVSA), a governmental agency, and the Government of Venezuela itself. Therefore, it should be categorised as a Politically Exposed entity, or PEP, and the appropriate measures taken to ensure that it is not used as a conduit for illicitly-acquired funds.

The church, which has also described itself as anti-capitalist, is believed to have attracted radical clergy from all over Latin America. This could be a client with an agenda which puts any bank that is conducting its business at risk. Compliance should notify bank front-line staff to alert it to any attempts by this radical group to open accounts. 

The facts and opinions stated in this article are those of the author and not those of World-Check. World-Check does not warrant the accuracy of any facts and opinions stated in this article, does not endorse them, and accepts no responsibility for them.

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