The island does not welcome ’those seeking to launder the proceeds of crime’ says Chief Minister Howard Quayle.

He spoke out as it emerged the island’s relationship with an important anti money laundering body appears to be in a ’positive’ place at the moment.

It has been confirmed that the Isle of Man is no longer required to report to the Council of Europe body on an annual basis.

The island’s government says the decision reflects its progress in developing ’an excellent technical framework and provides reassurance to industry’.

The news follows the conclusion of the 61st Moneyval Plenary Council meeting.

The Isle of Man will next be required to report to Moneyval in three years’ time.

Mr Quayle said: ’I welcome the decision by the Moneyval Plenary.

’It is a significant milestone for the Isle of Man and reflects the island’s commitment to playing a leading role in the global fight to tackle financial crime.

’The island is grateful for the very positive engagement that has taken place with the Moneyval secretariat throughout this process.

’The Isle of Man is dedicated to attracting quality, legitimate business and seeks at all times to prevent the misuse of its finance sector by criminals.

’The Isle of Man therefore attaches great importance to the maintenance of high standards of financial regulation and supervision.

’We do not welcome those seeking to launder the proceeds of crime and where there is evidence of any wrongdoing in this respect then we will take the appropriate action necessary.

’We are proud of our progress to date and commit with renewed determination to do our part as responsible members of the international community.’

The Isle of Man has been positively marked on 39 out of the 40 Financial Action Task Force (FATF) international standards.

It emerged last week that the one remaining sticking point revolves around discussions with the Moneyval secretariat over ’Recommendation 23 (Designated Non-Financial Businesses and Professions: Other Measures)’ which remains only partially compliant.

The Isle of Man has been in discussions with the Moneyval secretariat regarding the interpretation of the methodology concerning this recommendation.

The island is currently in a stage referred to as ’enhanced follow-up’ as are many other countries.

This will continue to be the case until an on-site review takes place.

However, with FATF and Moneyval facing a number of challenges this is unlikely to be for some time.

This will not surprise Karen Badgerow, the chief executive of the Financial Services Authority (FSA).

She predicted in the new year that it was unlikely that the organisations would be sending representatives over to the island.

Mrs Badgerow, who leaves the job later this year to return to Canada, said the island was certainly not alone in being in a state of ’enhanced follow up’.

She told Business News earlier this year it had been a ’long hard road since the 2016 review by Moneyval’ and subsequent reports.

But she added: ’There has been great progress.

’We are almost all the way to getting signed up on all of our areas of compliance.’

She explained that out of the 40 Moneyval recommendations on meeting international standards there was only one technical issue remaining where the FSA has a ’fundamental disagreement’.

She stressed the FSA was keen to ’fight the fight for (the financial) industry.

She said: ’If we think something is amiss with a code and it does not make a sense in its application to a certain sector we will make that case.’