CYPRUS: No inspection on money laundering from a private firm

The government does not accept any kind of inspection from a private firm with regard to money laundering allegations, Government Spokesman Stephanos Stephanou stressed here today, noting that certain quarters within the EU are trying to blackmail Cyprus.

The Spokesman assured that the government has not and will not discuss a haircut on Cyprus’ bank deposits.

Speaking here Wednesday, Stephanou said that it is at least a contradiction in terms to see some Europeans not trusting organizations such as Moneyval of the Council of Europe, which has already conducted four inspections in Cyprus since 1998, but trusting private firms.

“This attitude shows bad faith and malicious intentions against Cyprus. They also indicate that there are expediencies” behind such an approach, he said.

Noting that Cyprus is a victim of the European decision for a haircut of the Greek debt, Stephanou pointed out that Cyprus is not asking for any favours. However, he said, a check on money laundering from a private firm is not provided by the EU.

Government Spokesman said that Cyprus has repeatedly expressed its readiness to implement its obligations, and it has proven that.

“What is happening against Cyprus is unacceptable and annuls the principle of solidarity that should guide Europe. It also magnifies the feeling of mistrust of the European citizens towards the EU itself”, he said.

Stephanou referred to rumors on a possible haircut of the Cyprus’ bank deposits, clarifying that such an issue is not and will never be discussed and the government will never accept it. “I call on the citizens to remain calm that their deposits are in safe hands”, he concluded.

Cyprus applied on June 25 for financial assistance from the European Stability Mechanism estimated at 17.5 billion euro which is equivalent to its GDP. The programme is expected to be agreed on Eurogroup level in March.