0 Your letters: Trimming terrorist flows

The House of Representatives has enacted a Criminal Terrorism Financing Law. It was approved by a House plenary session after hearing from the special committee tasked with deliberating the bill. Fighting terrorism must be comprehensive. Knocking out terrorism by crippling its funding will be very effective in minimizing bombings and armed attacks, which some time ago were rife in Indonesia. The law can be used to stop the laundered money used to benefit terrorist networks. 

Money laundering has always been associated with the illicit trade of narcotics, prostitution, gambling and arms. However, with the widespread issue of terrorism, the issue of money laundering took on greater importance in Southeast Asia and the world. The Financial Action Task Force on money laundering (FATF) was established by the G7 countries to combat money laundering, which was eventually extended to prevent the flow of funds to the account of the terrorists. 

The FATF, in its 2001-2002 report, said that terrorist organizations were linked to funding sources that were both legal and illegal, relying on the results of illegal activity to generate money, such as drug trafficking, the smuggling of goods in bulk and financial crimes such as credit card fraud. Acts of terrorism financed by crimes and the fight against the financing of terrorism can be pursued through the regulation of money laundering. The financing of terrorism generally relies on legitimate sources of funding, collected through legitimate organizations or non-profit organization. 

These funds come from membership dues, donations and cultural and social events, which are then funneled to terrorist organizations. In an ASEANAPOL meeting in Manila, it was revealed that the authorities have highlighted Indonesia, Malaysia and the Philippines for attention due to a number of suspects who have started collecting humanitarian funds or had ties to terrorist organizations. The finance officials from G-20 nations have agreed to enhance cooperation to block funding for terrorists and also discussed ways to cut terrorist funding sources, ranging from the freezing of terrorist assets to the modernization of the financial system. 

But actually there is no universal method to cut off sources of terrorist financing. It is necessary to apply different methods to suit the various manifestations of terrorism from one country to another, depending on the level of development of each country. Hopefully with the Criminal Terrorism Financing Law will support the spirit of the global eradication of terrorism.

Teguh Sujono
Bandar Lampung
source : the jakarta post