--- title: "Ecuador (EC) — Financial-Integrity Intelligence · Sentinel" canonical: https://sentinel.gi/jurisdictions/ecuador/ source_html: /jurisdictions/ecuador/index.html description: "Financial integrity intelligence for Ecuador (EC): sanctions, beneficial ownership, enabler jurisdictions, conflict finance, digital assets and compliance technology — with sourced findings." generated_at: 2026-11-08T04:46:02Z content_sha256: 052e4490ae1349a5472c8106d4cd914fef643250d6424f0d517057e5560cb8bd generator: "fe-fleet/md-twin@1.0" --- # Ecuador (EC) — Financial-Integrity Intelligence · Sentinel Not every instrument is backed by its official text yet. At least one law or rulebook covered here has no official source (tier 1) retrieved for it yet. No finding on this page is shown with confidence above “Probable” until stronger sources are retrieved. Financial Integrity Monitor # Ecuador EC Domains covered 7 of 8 Sources 131 Role actions 8 Horizon <90d 0 Jurisdiction profile FATF status: Clean Tier: B Risk direction: Increasing Enablement vs enforcement: Mixed Dollarized economy; AML/CFT overseen by the Unidad de Análisis Financiero y Económico (UAFE, FIU), Superintendencia de Bancos, and Superintendencia de Compañías, Valores y Seguros (SCVS). More GAFILAT/FATF's 2023 Mutual Evaluation found moderate-to-low effectiveness across most Immediate Outcomes, with BO transparency and DNFBP supervision the weakest links. Key deficiencies - Beneficial ownership identification and verification is weak outside the banking sector, with no evidence of proportionate sanctions for poor-quality BO data - DNFBP supervisors historically lacked supervisory and sanctioning powers in AML/CFT matters - Low quality of STRs, particularly in the DNFBP sector, despite rising filing volumes - Coordination gaps between competent authorities and the NPO registration area of the Ministry of Economic and Social Inclusion - Customs and port capacity has not kept pace with container-trade growth, enabling large-scale cocaine concealment in legal exports Recent developments (18m) - OFAC designated Los Choneros as a Foreign Terrorist Organization / Specially Designated Global Terrorist (4 Sept 2025), alongside continued Los Lobos DTO designation updates - UK Serious Fraud Office charged London-based United Insurance Brokers Ltd with failure to prevent bribery of Ecuadorian state officials (April-May 2025) - Rotterdam customs data show Posorja, Ecuador emerging as the leading cocaine-loading port to Europe, with a four-fold year-on-year increase - Continued high-profile fugitive captures (Gjika, UAE, May 2025; Chavarría Barré, Spain, Nov 2025) tied to transatlantic cocaine-laundering networks - Ecuador remained outside the FATF grey list and EU/UK high-risk third-country lists throughout the window despite rising narco-violence Brief ## Lead signal #### Lead Signal Ecuador has no statute governing virtual assets, and the legislative process underway to create one has just exposed the same institutional fault line that sank a prior attempt. On 19 October 2026 the Asamblea Nacional's qualifying committee (the CAL) unanimously admitted the Proyecto de Ley Organica de Activos Virtuales and referred it to the Comision de Seguridad Integral for substantive review. The bill would build a risk-tiered authorisation and supervision structure spanning the Junta de Politica y Regulacion Financiera y Monetaria, the Superintendencia de Bancos, the Banco Central del Ecuador, the Supercias, the SEPS, the UAFE, the Fiscalia and the judicial function. Reporting around the referral flags an unresolved conflict between the Asamblea and the Junta Monetaria over which body may authorise payment-relevant crypto activity, the identical jurisdictional dispute that caused a 2025 blockchain-regulation bill to be archived before reaching a vote. The bill is formally alive, but the mechanism that killed its predecessor has not been resolved, only re-entered. Read full brief #### Lead Signal Ecuador has no statute governing virtual assets, and the legislative process underway to create one has just exposed the same institutional fault line that sank a prior attempt. On 19 October 2026 the Asamblea Nacional's qualifying committee (the CAL) unanimously admitted the Proyecto de Ley Organica de Activos Virtuales and referred it to the Comision de Seguridad Integral for substantive review. The bill would build a risk-tiered authorisation and supervision structure spanning the Junta de Politica y Regulacion Financiera y Monetaria, the Superintendencia de Bancos, the Banco Central del Ecuador, the Supercias, the SEPS, the UAFE, the Fiscalia and the judicial function. Reporting around the referral flags an unresolved conflict between the Asamblea and the Junta Monetaria over which body may authorise payment-relevant crypto activity, the identical jurisdictional dispute that caused a 2025 blockchain-regulation bill to be archived before reaching a vote. The bill is formally alive, but the mechanism that killed its predecessor has not been resolved, only re-entered. This is a structural gap being tested in real time rather than a single incident. The absence of a virtual-asset law is not neutral: commentary tied to this development treats that absence itself as a factor that raises Ecuador's exposure under global standards for virtual-asset activity, independent of whatever enforcement record exists for other parts of the AML/CTF regime. A jurisdiction with active crypto use and no licensing perimeter for exchange, custody or intermediation activity carries a different risk profile than one with a flawed but existing perimeter, and the institutional contest over who gets to build that perimeter is itself the story this cycle. #### Other Developments No currently queued developments outside the authorised scope for this cycle. #### Cross-Monitor Connections The jurisdictional contest between the legislature and the monetary authority over crypto-payment authorisation is the kind of structural ambiguity that tends to attract activity precisely because no single supervisor can yet claim clear jurisdiction over it. Where a licensing perimeter is contested rather than simply absent, actors seeking to move value through digital-asset rails have a window in which no regulator is positioned to say with confidence that an activity falls within its remit. That dynamic is of direct interest to monitors tracking digital-asset-enabled evasion architecture generally, and it compounds rather than substitutes for any enforcement-side findings elsewhere in Ecuador's financial-integrity profile. A bill that resolves the authorisation question cleanly would close that window; one that is archived for a second time, as its predecessor was, would leave it open indefinitely. #### Outlook The Comision de Seguridad Integral's handling of the bill through the remainder of 2026 and into 2027 is the development to track. The expected framework date, as currently scheduled, sits in 2027, but that date is explicitly uncertain: the precedent of the 2025 bill being archived over the same Junta Monetaria dispute means passage is not assured, and the current filing does not yet show how, or whether, the authorisation conflict will be resolved before any vote. Until that conflict is settled, Ecuador's digital-asset regulatory perimeter remains open-ended, and that openness is itself the structural fact to monitor rather than any single clause of the draft text. Earlier periodic briefs (4) 3 Nov 2026 · fim-2026-11-03 #### Lead Signal Ecuador has no statute governing virtual assets, and the legislative process underway to create one has just exposed the same institutional fault line that sank a prior attempt. On 19 October 2026 the Asamblea Nacional's qualifying committee (the CAL) unanimously admitted the Proyecto de Ley Organica de Activos Virtuales and referred it to the Comision de Seguridad Integral for substantive review. The bill would build a risk-tiered authorisation and supervision structure spanning the Junta de Politica y Regulacion Financiera y Monetaria, the Superintendencia de Bancos, the Banco Central del Ecuador, the Supercias, the SEPS, the UAFE, the Fiscalia and the judicial function. Reporting around the referral flags an unresolved conflict between the Asamblea and the Junta Monetaria over which body may authorise payment-relevant crypto activity, the identical jurisdictional dispute that caused a 2025 blockchain-regulation bill to be archived before reaching a vote. The bill is formally alive, but the mechanism that killed its predecessor has not been resolved, only re-entered. This is a structural gap being tested in real time rather than a single incident. The absence of a virtual-asset law is not neutral: commentary tied to this development treats that absence itself as a factor that raises Ecuador's exposure under global standards for virtual-asset activity, independent of whatever enforcement record exists for other parts of the AML/CTF regime. A jurisdiction with active crypto use and no licensing perimeter for exchange, custody or intermediation activity carries a different risk profile than one with a flawed but existing perimeter, and the institutional contest over who gets to build that perimeter is itself the story. #### Other Developments No currently queued developments outside the authorised scope. #### Cross-Monitor Connections The jurisdictional contest between the legislature and the monetary authority over crypto-payment authorisation is the kind of structural ambiguity that tends to attract activity precisely because no single supervisor can yet claim clear jurisdiction over it. Where a licensing perimeter is contested rather than simply absent, actors seeking to move value through digital-asset rails have a window in which no regulator is positioned to say with confidence that an activity falls within its remit. That dynamic is of direct interest to monitors tracking digital-asset-enabled evasion architecture generally, and it compounds rather than substitutes for any enforcement-side findings elsewhere in Ecuador's financial-integrity profile. A bill that resolves the authorisation question cleanly would close that window; one that is archived for a second time, as its predecessor was, would leave it open indefinitely. #### Outlook The Comision de Seguridad Integral's handling of the bill through the remainder of 2026 and into 2027 is the development to track. The expected framework date, as currently scheduled, sits in 2027, but that date is explicitly uncertain: the precedent of the 2025 bill being archived over the same Junta Monetaria dispute means passage is not assured, and the current filing does not yet show how, or whether, the authorisation conflict will be resolved before any vote. Until that conflict is settled, Ecuador's digital-asset regulatory perimeter remains open-ended, and that openness is itself the structural fact to monitor rather than any single clause of the draft text. 11 Oct 2026 · fim-2026-10-11 #### Lead Signal Ecuador's financial-integrity picture this cycle turns on a single structural development: sports-betting operators have been formally brought inside the anti-money-laundering obliged-entity perimeter. Acuerdo Ministerial MINEDEC-MINEDEC-2026-00078-A, published 5 October 2026, operationalises a designation UAFE first made on 13 April 2026 (UAFE-DG-2026-0005), requiring pronósticos-deportivos operators to register with UAFE within 30 days of obtaining their sports-betting licence, maintain an exclusive bank account, appoint a compliance officer, screen for suspicious operations, and retain records for seven years. This is the architecture-over-incident finding of the cycle: a previously under-regulated commercial sector has been given a complete, dated compliance timeline rather than a general exhortation, closing a gap that had existed between the April designation in principle and an implementing procedure in practice. #### Other Developments GAFILAT confirms cooperating status. Ecuador remains outside the FATF list of jurisdictions under increased monitoring. GAFILAT's XLVI Plenary approved Ecuador's mutual-evaluation report, with the next possible on-site evaluation period as far out as 2032, reinforcing the jurisdiction's standing as cooperating under the Financial Action Task Force of Latin America framework rather than any grey-list exposure. National strategy architecture remains the coordinating backdrop. The Plan Nacional de Acción Estratégico Contra el Lavado de Activos, el Financiamiento del Terrorismo y de la Proliferación de Armas de Destrucción Masiva 2026-2030, adopted 31 January 2026 by CONCLAFT, continues to coordinate UAFE, the superintendencies, notaries and registries under a risk-based framework. Decreto Ejecutivo 298, also dated 30 January 2026, created CONCLAFT and armed UAFE with a 72-hour administrative fund-immobilisation power, a USD 10,000 cash-transaction ceiling, and enhanced politically-exposed-person controls; none of this is new this cycle, but it is the standing architecture against which the sports-betting obliged-entity designation should be read. Beneficial-ownership position unchanged. The Superintendencia de Compañías, Valores y Seguros public beneficial-ownership consultation tool remains the standing transparency mechanism, supplemented by the SRI REBEFICS regime for beneficiary and corporate-composition reporting. No change to the scope of either mechanism was found this cycle. #### Cross-Monitor Connections The sports-betting obliged-entity designation sits at the intersection of sectoral gambling regulation and the national AML architecture, and it is the kind of enabler-jurisdiction development that a gambling-regulation monitor and a financial-integrity monitor each read through a different lens from the same underlying instrument. Ecuador's continued GAFILAT-cooperating status is relevant context for any cross-border correspondent-banking or payment-processing assessment touching the jurisdiction, since it signals a formal international standing distinct from, and more favourable than, grey-list jurisdictions that face enhanced due diligence as a matter of course elsewhere. #### Outlook The sports-betting sector's compliance trajectory over the coming months will depend on how effectively newly obliged entities complete UAFE registration within the 30-day window tied to licence grant, and how the broader national strategy's 12-month execution period, running from the 31 January 2026 adoption date, translates into verifiable implementation. GAFILAT's confirmation of cooperating status removes near-term grey-list risk, with the next possible on-site evaluation period as far out as 2032, so the structural question going forward is less about Ecuador's international standing and more about whether the newly formalised gambling-sector obligations are enforced in practice as the compliance deadlines tied to the October Acuerdo come due. 14 Sep 2026 · fim-2026-08-25 #### Lead Signal Ecuador's beneficial-ownership regime tightened incrementally this cycle without becoming any more transparent. A 2026 compliance mechanism now imposes a 28 percent corporate income tax rate, against the standard 25 percent, on entities that fail to file their full beneficial-ownership chain with SRI and SUPERCIAS. The change raises the cost of concealment, but it does not create the public beneficial-ownership registry that Ecuador continues to lack: ownership data is filed under AML rules but not published, leaving the underlying transparency gap exactly where it stood before. The finding is corroborated across two lower-tier secondary sources; no primary SRI or SUPERCIAS regulatory text was reached this cycle, so confidence sits at assessed rather than high. #### Other Developments AML/CTF baseline unchanged. Ecuador's anti-money-laundering regime remains anchored to its 2022 FATF Mutual Evaluation, and the jurisdiction is not on the current FATF grey or black list; no plenary re-listing touched Ecuador this cycle. Crypto posture unchanged. The Banco Central del Ecuador and the Junta de Politica y Regulacion Monetaria continue to hold that crypto-assets are not legal tender nor an authorised means of payment in Ecuador, with enforcement referred case-by-case to the Fiscalia General del Estado rather than through a dedicated licensing or AML instrument. Neither line moved materially enough this cycle to warrant standalone treatment, and both are carried forward as stable baseline rather than fresh findings. #### Cross-Monitor Connections The beneficial-ownership filing regime and its new tax-cost mechanism touch cross-sector corporate structures and fund vehicles, a population that may overlap with entities tracked by the World Payments Monitor for know-your-business and payment-institution ownership screening; no such overlap was independently evidenced in this cycle's Ecuador-focused sourcing, and this monitor does not analyse payments-specific findings on its own authority. #### Outlook The practical question for next cycle is whether Ecuador's tax-cost mechanism functions as intended, in the absence of a public register, or whether it proves an insufficient substitute for genuine ownership transparency. Confirmation of the exact SRI or SUPERCIAS resolution text underlying the 28 percent rate would move this finding from assessed to high confidence; absent that, the structural transparency gap identified in this and prior cycles should be read as unresolved rather than improving. 11 Aug 2026 · fim-2026-08-05 #### Lead Signal The clearest signal this cycle is that sanctions enforcement is maturing beyond list-based designation toward operational tooling. The European Union's twentieth sanctions package expanded its shadow-fleet vessel list to 632 total, continuing a familiar designation-growth pattern, but the United Kingdom's boarding of the tanker Smyrtos in the English Channel on 14 June 2026 tests a novel statelessness-based boarding doctrine that goes beyond listing into direct interdiction. Read alongside a separate Office of Foreign Assets Control tranche designating 21 individuals and entities and one vessel for a Houthi oil-smuggling and financial-facilitation network generating more than two billion dollars a year, and naming UAE and Oman-based exchange houses as facilitation points, the architecture of sanctions enforcement this cycle looks less like accumulating a list and more like building an operational toolkit against evasion infrastructure. That same enabler-jurisdiction theme runs through Cambodia and Mexico. Cambodia's central bank governor has now publicly warned of a third Financial Action Task Force increased-monitoring listing tied to the scam-centre and illegal-gambling nexus, and Prince Bank has already been forced into liquidation, an enforcement outcome, not merely a risk-warning. In Mexico, the Financial Crimes Enforcement Network's 30 June 2026 supplemental alert on fiscal-fuel-theft, or huachicol, smuggling flags more than seven billion dollars in suspicious-activity-report activity since a May 2025 alert, paired with new Office of Foreign Assets Control designations, and extends the precedent set by Section 311 special measures against CIBanco, Intercam, and Vector Casa de Bolsa. Conflict-finance exposure also broadened this cycle across three distinct corridors: the Mexican cartel fiscal-fuel-theft chain already noted, the Houthi oil-revenue-to-weapons-procurement chain assessed at over two billion dollars annually, and Colombia's coca-cultivation-linked trafficking finance underlying its first failed demonstrably designation in nearly three decades. Taken together, these three corridors span the extractive, narcotics, and conflict-finance registers this monitor tracks under a single pillar reading, with High confidence attached to the Mexican and Houthi corridors and Assessed confidence attached to the Colombian designation. #### Other Developments Colombia's counternarcotics designation. Colombia has been named among five countries that failed demonstrably to meet counternarcotics obligations under the Fiscal Year 2026 Foreign Relations Authorization Act Presidential Determination, the first such finding in nearly thirty years, against a backdrop of record coca cultivation that is directly funding trafficking organisations. MiCA's transitional period ends. The European Union's Markets in Crypto-Assets transitional period closed on 1 July 2026, leaving nineteen authorised electronic-money-token issuers covering twenty-nine tokens across eleven countries as the compliant venue-listed stablecoin base; Binance, Coinbase, Kraken, and Crypto.com have delisted USDT from European Economic Area regulated venues for retail users, entrenching a two-tier authorised-versus-offshore stablecoin market with direct relevance to laundering and sanctions-evasion channel choice. US supervisory reset on transaction monitoring. The Financial Crimes Enforcement Network published its 2026 proposed anti-money-laundering and counter-terrorist-financing programme rule in the Federal Register on 10 April 2026, with a comment deadline of 9 June 2026, moving the expected standard from checklist-based to continuously risk-driven programmes. The Federal Reserve, Federal Deposit Insurance Corporation, and Office of the Comptroller of the Currency issued a joint SR 26-2 Model Risk Management Framework on 17 April 2026, replacing the 2011 SR 11-7 framework. The gap between that reset and current practice was illustrated by the Financial Crimes Enforcement Network's eighty-million-dollar civil money penalty against Canaccord Genuity LLC, the largest ever levied against a broker-dealer, citing static monitoring, understaffed compliance, and more than one hundred and sixty unfiled suspicious-activity reports. #### Cross-Monitor Connections The Cambodia scam-centre and illegal-gambling nexus sits directly at the boundary between this monitor's enabler-jurisdiction tracking and gambling-regulatory monitoring of the same scam-centre ecosystem. The Houthi oil-smuggling and weapons-procurement chain identified by the Office of Foreign Assets Control connects financial-integrity sanctions tracking to conflict-finance and commodity-flow monitoring of the same revenue stream. The Mexican cartel fiscal-fuel-theft corridor and the associated Section 311 special-measures precedent against mid-tier Mexican banks connect to state-capture monitoring of Mexican financial-sector enabler risk, given the scale of flagged suspicious-activity-report volume. #### Outlook Watch for whether Cambodia's central bank governor's public warning converts into an actual Financial Action Task Force increased-monitoring listing at the next review cycle, and whether the United Kingdom's statelessness-boarding doctrine is repeated or challenged. On the compliance-technology track, the Financial Crimes Enforcement Network's proposed programme rule and the joint SR 26-2 framework point toward a continuously risk-driven supervisory expectation; the Canaccord Genuity penalty suggests near-term enforcement will continue to target institutions still operating static, checklist-based monitoring. The MiCA two-tier stablecoin market bears watching for whether offshore USDT liquidity migrates further from the European Economic Area or is absorbed by newly authorised electronic-money-token alternatives. Domain intelligence (D1–D8) #### Sanctions Architecture and Evasion Ecuador's D1 baseline is dominated by a single structural development: OFAC's 4 September 2025 designation of Los Choneros as a Foreign Terrorist Organization and Specially Designated Global Terrorist, issued alongside continued designation updates on the Los Lobos Drug Trafficking Organization. This is not merely an incident-level enforcement action; it is an architectural shift in how Ecuador-linked gang financing is treated within the US sanctions system, moving a counter-narcotics target into the transnational-terrorist-financing bracket and exposing any foreign financial institution transacting with associated networks to secondary-sanctions risk. That is a materially different exposure profile from a standard OFAC narcotics designation, and firms with correspondent-banking or trade-finance relationships touching Ecuador should read it as such. Continue reading The more analytically significant finding, however, is the confirmed absence of an equivalent EU Council or UK OFSI listing. No corroborating designation was identified across either jurisdiction's public sanctions instruments during this research window. Under architecture-over-incident framing, this divergence is the structural story: it creates an asymmetric secondary-sanctions exposure gap in which US-linked financial institutions face a materially different compliance perimeter than their EU or UK counterparts handling the same underlying counterparties. This is precisely the kind of regime-divergence signal the sanctions-architecture filter is designed to surface, and it sits within a broader pattern in which Ecuador shows a curious bifurcation: full convergence across the FATF grey list, EU high-risk third-country list, and UK high-risk third-country list (absent from all three), paired with sharp US-EU/UK divergence specifically on the terrorist-financing designation front. Separately, and outside any Russia-nexus finding, the standing Russian sanctions-evasion-architecture tracker recorded no material connection to Ecuador this baseline cycle; the only documented touchpoint was an unrelated administrative delisting bundled into a prior OFAC release. That absence is itself tracked rather than treated as a null result, consistent with the doctrine that non-enforcement or non-connection in a jurisdiction is analytically meaningful, not merely uninteresting. The practical consequence for institutions handling Ecuador-linked corporate, correspondent-banking, or trade-finance relationships is a two-track compliance posture: US nexus counterparties now carry FTO/SDGT-level secondary-sanctions risk, while EU/UK nexus counterparties currently do not carry an equivalent formal listing trigger, notwithstanding the underlying criminal-network overlap. This divergence is a structural vulnerability in the sanctions architecture that evasion intermediaries could plausibly exploit by routing exposure through the less-constrained jurisdictional leg. #### Outlook The near-term D1 trajectory for Ecuador is deteriorating, driven principally by the compliance burden the FTO/SDGT designation now imposes on US-nexus institutions and the open question of whether EU or UK authorities will issue a corresponding listing. No confirmed timeline for such a listing exists in this research window; its absence should be monitored as a standing gap rather than assumed to be permanent. The broader sanctions-regime-divergence tracker remains in a worsening trajectory specifically on this point, even as Ecuador's convergent absence from all three high-risk-country lists (FATF, EU, UK) continues unchanged. Baseline-Tracked Domains with No Current-Cycle Escalation (1 of 8) - D8 Commercial Activity: Standing coverage — no activity this cycle. Regulatory horizon Consultation 2027 · ±year ### Proyecto de Ley Organica de Activos Virtuales Would create a risk-tiered authorisation and supervision framework spanning the Junta de Politica y Regulacion Financiera y Monetaria, Superintendencia de Bancos, Banco Central del Ecuador, Supercias, SEPS, UAFE, the Fiscalia and the judicial function. [Source](https://www.asambleanacional.gob.ec/es/node/119976) Adopted 2027-Q1 · ±year ### Plan Nacional de Acción Estratégico Contra el Lavado de Activos 2026-2030 A risk-based national AML/CFT strategy coordinating UAFE, superintendencies, notaries and registries, with CONCLAFT replacing the 2022 committee. [CONCLAFT (secretariat: UAFE) Source](https://www.uafe.gob.ec/wp-content/uploads/downloads/2026/01/Plan-Nacional-de-Accion-Estrategico-ALA-CFT-CFP-2026-2030.pdf) 2 dated · 3 pending date · baseline financial-integrity-2026-07-05 Role action cards Compliance ### Ecuador's virtual-asset bill cleared committee referral on 19 October 2026 but remains undermined by the same institutional authority dispute that archived its 2025 predecessor. Any firm with virtual-asset exposure to Ecuador should treat the current absence of a licensing perimeter, and the unresolved split between legislative and monetary-authority control over crypto-payment authorisation, as the operative fact rather than the draft text of the bill itself. 1 evidence refs Board ### Ecuador remains without a virtual-asset statute, and the legislative process now underway carries the same institutional risk of failure as its 2025 predecessor. Strategic exposure in Ecuador's digital-asset space should be assessed against the possibility that no licensing framework materialises before 2027 as currently scheduled, and that the scheduled date itself is not committed. 1 evidence refs CTO ### The institutional conflict over who may authorise crypto-payment activity in Ecuador remains unresolved as the new virtual-asset bill moves to committee review. Technical architecture decisions for operations touching Ecuador's digital-asset space should account for an open-ended authorisation perimeter, where neither the legislature nor the monetary authority has yet secured clear control over licensing payment-relevant crypto activity. 1 evidence refs Risk ### The absence of a settled virtual-asset authorisation structure in Ecuador is itself flagged as a factor raising exposure under global standards for digital-asset integrity. Risk assessment of Ecuador-linked digital-asset activity should weight the structural gap in supervisory authority as a standing condition, not a transitional one, given the repeat failure pattern from the archived 2025 bill. 1 evidence refs Scenario sketches ### Illustrative pathway: unresolved authorisation conflict as a window for digital-asset layering An illustrative sketch, not an observed fact: where a legislature and a monetary authority each assert partial jurisdiction over authorising payment-relevant virtual-asset activity, and neither view prevails for an extended period, an operator in that jurisdiction could in principle structure activity to sit in the ambiguous space between the two claimed authorities, delaying the point at which any single supervisor can assert clear oversight. This is architecture-over-incident illustration of a mechanism that contested jurisdiction could enable; it does not describe any observed transaction, operator or scheme in Ecuador. Illustrative scenario for analytical orientation only. Not compliance advice, not a prediction, and not a statement of observed fact. Standing trackers (T1–T6) Tracker Status Note T1 · Russian Sanctions-Evasion Architecture stable No material change in UN Panel of Experts/OFAC/OFSI channels implicating EC was found this cycle. T2 · EU AML Package / AMLA stable Not applicable to EC (non-EEA, non-UK autonomous jurisdiction). T3 · FATF Grey List material_change FATF's October 2026 Plenary removed Bulgaria, Côte d'Ivoire, DRC and Monaco from the grey list (22 -> 18); EC does not appear on either list. T4 · Beneficial-Ownership Register Status stable No EC-specific beneficial-ownership registry development located this cycle; R.24 remains Largely Compliant. T5 · Crypto & Digital-Asset Integrity watch Virtual-asset bill advanced to committee review amid unresolved institutional conflict; EC's current absence of any virtual-asset law flagged as raising FATF-exposure risk. T6 · Sanctions Regime Divergence stable No EC-specific sanctions-divergence signal found this cycle. Registers ### Enforcement actions - 4 Sep 2025 - 16 Apr 2025 - 26 May 2025 - 14 Nov 2025 - 15 Jan 2026 - 30 Jun 2026 - 1 Mar 2026 - 25 Jun 2025 - 28 Oct 2026 - OFAC updated its SDN list designating Los Choneros as a Foreign Terrorist Organization and Specially Designated Global Terrorist, carrying secondary sanctions risk, and updated Los Lobos DTO designations, both Ecuador-based transnational criminal/terrorist organizations. 4 Sep 2025 - The SFO charged Lloyd's-registered broker UIBL with failing to prevent its US-based intermediaries from bribing Ecuadorian state officials between October 2013 and March 2016 in exchange for US$38 million in re-insurance contracts covering Ecuadorian state water and electricity companies. 16 Apr 2025 - Ecuadorian prosecutors obtained an international arrest warrant against Gjika, accused of leading a cocaine-trafficking and money-laundering network that used export companies and UAE/Spanish shell firms; he was arrested in Abu Dhabi in May 2025 and awaits extradition. 26 May 2025 - Ecuador's most-wanted gang leader, tied to international drug trafficking and criminal operations spanning the Netherlands, Italy, Germany, Mexico and Colombia, was captured in Spain following international cooperation between Ecuadorian and Spanish authorities. 14 Nov 2025 - Ecuadorian courts convicted at least 17 individuals for participation in a transatlantic cocaine-trafficking organization, with four additionally convicted specifically for laundering trafficking proceeds through wire transfers exceeding $43 million between 2015 and 2023. 15 Jan 2026 ### Sanctions changes - 4 Sep 2025 - 4 Dec 2025 - 23 Apr 2026 - 16 Jan 2026 - 20 Aug 2026 - OFAC formally designated Los Choneros as a Foreign Terrorist Organization and Specially Designated Global Terrorist (alongside continued/updated Los Lobos DTO listings), elevating the Ecuador-based gang from a counter-narcotics target to a transnational terrorist entity carrying secondary sanctions risk. 4 Sep 2025 - The European Commission's December 2025 update to the EU high-risk third-country AML list (Delegated Regulations (EU) 2026/46 and 2026/83) added Bolivia and the British Virgin Islands and removed six African jurisdictions, while Ecuador — despite its historical FATF grey-list membership (2010-2015) and continuing narco-laundering exposure — remained absent from the list throughout the window. 4 Dec 2025 ### Regulatory horizon (register) - AMLA direct supervision of selected obliged entities - Plan Nacional de Acción Estratégico Contra el Lavado de Activos 2026-2030 - Reglamento a la Ley de Prevención del Lavado de Activos (Decreto 298) - Proyecto de Ley Orgánica de Activos Virtuales - GAFILAT enhanced follow-up / technical compliance re-rating of Ecuador - Ecuador's next full FATF/GAFILAT 5th-round mutual evaluation - Regional catch-up on structured VASP/crypto regulatory frameworks ### Active schemes - [HIGH] Cocaine export-front company layering via UAE/Spain - [HIGH] Posorja port container-concealment cocaine-export pipeline - Illegal Amazon gold-mining laundering into supply chains - [CRITICAL] Narco-terrorist gang financing via Los Choneros/Los Lobos Sources - [Serious Fraud Office and Five Eyes on foreign bribery indicators - GOV.UK](https://www.gov.uk/government/news/serious-fraud-office-and-five-eyes-on-foreign-bribery-indicators) - [https://www.fatf-gafi.org/en/publications/Mutualevaluations/MER-Ecuador-2023.html](https://www.fatf-gafi.org/en/publications/Mutualevaluations/MER-Ecuador-2023.html) - [https://www.fatf-gafi.org/en/countries/detail/Ecuador.html](https://www.fatf-gafi.org/en/countries/detail/Ecuador.html) - [https://www.commenda.io/ecuador/annual-compliance](https://www.commenda.io/ecuador/annual-compliance) - [https://www.businessdataguide.com/blog/jurisdictions/ecuador-company-search-guide](https://www.businessdataguide.com/blog/jurisdictions/ecuador-company-search-guide) - [https://www.bce.fin.ec/los-criptoactivos-no-son-una-moneda-de-curso-legal-ni-un-medio-de-pago-autorizado-en-ecuador/](https://www.bce.fin.ec/los-criptoactivos-no-son-una-moneda-de-curso-legal-ni-un-medio-de-pago-autorizado-en-ecuador/) - [U.S. Federal Register / OFAC](https://www.federalregister.gov/documents/2026/08/25/2026-17265/notice-of-ofac-sanctions-action) - [U.S. Department of the Treasury](https://home.treasury.gov/news/press-releases/sb0610) - [BAC Law](https://baclaw.ec/alerta-juridica-nuevo-regimen-regulatorio-pronosticos-deportivos-ecuador/) - [UAFE (Ecuador)](https://www.uafe.gob.ec/ecuador-aprobo-el-examen-del-grupo-de-accion-financiera-de-latinoamerica-en-el-marco-del-xlvi-pleno-de-representantes-y-grupos-de-trabajo-del-gafilat/) - [SoloAzar](https://www.soloazar.com/en/category/legislation/cambodia-prepares-new-casino-license-renewal-framework) - [FinCEN](https://www.fincen.gov/news/news-releases/fincen-issues-supplemental-alert-fuel-smuggling-and-tax-evasion-schemes-southern) - [FATF](https://www.fatf-gafi.org/en/countries/detail/Lao-People-s-Democratic-Republic.html) - [Consilient (reporting on FATF/UNODC)](https://consilient.com/illegal-gold-mining-money-laundering-fatf-unodc) - [https://www.registroficial.gob.ec/suplemento-no-383/](https://www.registroficial.gob.ec/suplemento-no-383/) - [https://www.radiopichincha.com/podran-las-casas-de-pronosticos-deportivos-cumplir-las-nuevas-reglas-de-ecuador/](https://www.radiopichincha.com/podran-las-casas-de-pronosticos-deportivos-cumplir-las-nuevas-reglas-de-ecuador/) - [https://www.uafe.gob.ec/ecuador-aprobo-el-examen-del-grupo-de-accion-financiera-de-latinoamerica-en-el-marco-del-xlvi-pleno-de-representantes-y-grupos-de-trabajo-del-gafilat/](https://www.uafe.gob.ec/ecuador-aprobo-el-examen-del-grupo-de-accion-financiera-de-latinoamerica-en-el-marco-del-xlvi-pleno-de-representantes-y-grupos-de-trabajo-del-gafilat/) - [https://www.fatf-gafi.org/en/countries/global-network/financial-action-task-force-of-latin-america--gafilat-.html](https://www.fatf-gafi.org/en/countries/global-network/financial-action-task-force-of-latin-america--gafilat-.html) - [https://www.vistazo.com/actualidad/nacional/2026-01-31-ecuador-lavado-de-activos-nuevo-reglamento-plan-uafe-MB10662619](https://www.vistazo.com/actualidad/nacional/2026-01-31-ecuador-lavado-de-activos-nuevo-reglamento-plan-uafe-MB10662619) - [https://aena.com.ec/ecuador-emite-nuevo-reglamento-para-fortalecer-la-lucha-contra-el-lavado-de-activos-y-financiamiento-del-terrorismo/](https://aena.com.ec/ecuador-emite-nuevo-reglamento-para-fortalecer-la-lucha-contra-el-lavado-de-activos-y-financiamiento-del-terrorismo/) - [https://www.infolaft.com/ecuador-abre-al-publico-su-registro-de-beneficiarios-finales](https://www.infolaft.com/ecuador-abre-al-publico-su-registro-de-beneficiarios-finales) - [Infobae](https://www.infobae.com/america/america-latina/2026/10/28/detienen-al-alcalde-de-vinces-en-ecuador-por-una-investigacion-de-lavado-de-activos-de-usd-32-millones/) - [Asamblea Nacional del Ecuador](https://www.asambleanacional.gob.ec/es/noticia/120296-cal-califica-cinco-proyectos-de-ley-sobre-derechos-de) - [FATF](https://www.fatf-gafi.org/en/publications/High-risk-and-other-monitored-jurisdictions/increased-monitoring-october-2026.html) - [FATF](https://www.fatf-gafi.org/en/countries/detail/Ecuador.html) - [El Universo](https://www.eluniverso.com/noticias/politica/uafe-informa-sobre-nuevo-reglamento-y-plan-nacional-para-combatir-el-lavado-de-activos-nota/?outputType=amp) - [Ecuador](https://www.fatf-gafi.org/content/fatf-gafi/en/countries/detail/Ecuador.html) - [Mutual Evaluation of Ecuador](https://www.fatf-gafi.org/en/publications/Mutualevaluations/Mutualevaluationofecuador.html) - [Jurisdictions under Increased Monitoring - 13 February 2026](https://www.fatf-gafi.org/en/publications/High-risk-and-other-monitored-jurisdictions/increased-monitoring-february-2026.html) - [High-risk and other monitored jurisdictions](https://www.fatf-gafi.org/en/publications/High-risk-and-other-monitored-jurisdictions.html) - [Financial Action Task Force of Latin America (GAFILAT)](https://www.fatf-gafi.org/en/countries/global-network/financial-action-task-force-of-latin-america--gafilat-.html) - ["Black and grey" lists](https://www.fatf-gafi.org/en/countries/black-and-grey-lists.html) - [Countries / Jurisdictions](https://www.fatf-gafi.org/en/countries.html) - [Mutual Evaluations](https://www.fatf-gafi.org/en/publications/Mutualevaluations.html) - [Publications](https://www.fatf-gafi.org/en/publications.html) - [Assessments](https://www.fatf-gafi.org/en/calendars/assessments.html) - [EXCLUSIVE: Alleged ‘Albanian Mafia Leader’ in Ecuador Accused of Laundering Cocaine Cash Via UAE Firms | OCCRP](https://www.occrp.org/en/news/exclusive-alleged-albanian-mafia-leader-in-ecuador-accused-of-laundering-cocaine-cash-via-uae-firms) - [‘It's Just Business’: Texts Reveal the Daily Work — and Drama — of an International Cocaine Syndicate | OCCRP](https://www.occrp.org/en/project/the-crime-messenger/its-just-business-texts-reveal-the-daily-work-and-drama-of-an-international-cocaine-syndicate) - [Ecuador's measures to combat money laundering and terrorist financing](https://www.fatf-gafi.org/en/publications/Mutualevaluations/MER-Ecuador-2023.html) - [Ecuador](https://www.fatf-gafi.org/en/countries/detail/Ecuador.html) - [Ecuador’s Most Wanted Gang Leader Arrested in Spain | OCCRP](https://www.occrp.org/en/news/ecuadors-most-wanted-gang-leader-arrested-in-spain) - [Ten Arrested in Albania in Europol-Led Cocaine Bust | OCCRP](https://www.occrp.org/en/news/ten-arrested-in-albania-in-europol-led-cocaine-bust) - [Ecuador’s Massive Cocaine Seizure Hints at Country’s Growing Drug Trade Role | OCCRP](https://www.occrp.org/en/daily/6444-ecuador-s-massive-cocaine-seizure-hints-at-country-s-growing-drug-trade-role) - ['Stained With Blood': New Port Brings Violent Drug Cartels to Ecuador Fishing Town | OCCRP](https://www.occrp.org/en/feature/stained-with-blood-new-port-brings-violent-drug-cartels-to-ecuador-fishing-town) - [100524 G7 Justice Ministers Meeting Drug Trafficking and Money Laundering](https://www.unodc.org/unodc/en/speeches/2024/100524-g7-justice-ministers-meeting-drug-trafficking-and-money-laundering.html) - [Organized Crime and Corruption Reporting Project | OCCRP](https://www.occrp.org/en) - [Jurisdictions under Increased Monitoring - 19 June 2026](https://www.fatf-gafi.org/en/publications/High-risk-and-other-monitored-jurisdictions/increased-monitoring-june-2026.html) - [Outcomes FATF Plenary, 17-19 June 2026](https://www.fatf-gafi.org/en/publications/Fatfgeneral/outcomes-fatf-plenary-june-2026.html) - [History of the FATF](https://www.fatf-gafi.org/en/countries/fatf.html) - [Mutual Evaluation Report of the Republic of Ecuador 1 MUTUAL EVALUATION](https://www.fatf-gafi.org/content/dam/fatf-gafi/fsrb-mer/GAFILAT-Mutual-Evaluation-Ecudaor-2023.pdf.coredownload.inline.pdf) - [Guidance on Obtaining and Retaining Beneficial Ownership Information | FinCEN.gov](https://www.fincen.gov/resources/statutes-regulations/guidance/guidance-obtaining-and-retaining-beneficial-ownership) - [Beneficial Ownership](https://www.fatf-gafi.org/en/topics/beneficial-ownership.html) - [Guidance on Beneficial Ownership of Legal Persons](https://www.fatf-gafi.org/en/publications/Fatfrecommendations/Guidance-Beneficial-Ownership-Legal-Persons.html) - [Guidance on Beneficial Ownership and Transparency of Legal Arrangements](https://www.fatf-gafi.org/en/publications/Fatfrecommendations/Guidance-Beneficial-Ownership-Transparency-Legal-Arrangements.html) - [1 MUTUAL EVALUATION REPORT OF EL SALVADOR MUTUAL EVALUATION REPORT OF THE](https://www.fatf-gafi.org/content/dam/fatf-gafi/fsrb-mer/El%20Salvador%20MER.pdf.coredownload.inline.pdf) - [Counter Narcotics Designations; Russia-related Designation Removal | Office of Foreign Assets Control](https://ofac.treasury.gov/recent-actions/20240207) - [Sanctions Programs and Country Information | Office of Foreign Assets Control](https://ofac.treasury.gov/sanctions-programs-and-country-information) - [International Criminal Court-related Designations; Counter Narcotics and Counter Terrorism Designation Updates; Issuance of International Criminal Court-related General License | Office of Foreign Assets Control](https://ofac.treasury.gov/recent-actions/20250904) - [Counter Terrorism Designations; Transnational Criminal Organizations Designations | Office of Foreign Assets Control](https://ofac.treasury.gov/recent-actions/20251203) - [Recent Actions | Office of Foreign Assets Control](https://ofac.treasury.gov/recent-actions) - [Where is OFAC's Country List? What countries do I need to worry about in terms of U.S. sanctions? | Office of Foreign Assets Control](https://ofac.treasury.gov/sanctions-programs-and-country-information/where-is-ofacs-country-list-what-countries-do-i-need-to-worry-about-in-terms-of-us-sanctions) - [Sanctions List Updates](https://ofac.treasury.gov/recent-actions/sanctions-list-updates) - [Counter Narcotics Designations | Office of Foreign Assets Control](https://ofac.treasury.gov/recent-actions/20251024) - [Sanctions List Service | Office of Foreign Assets Control](https://ofac.treasury.gov/sanctions-list-service) - [Counter Narcotics Designations; Sudan Designations; West Bank-related Designation | Office of Foreign Assets Control](https://ofac.treasury.gov/recent-actions/20240606) - [2025 Crypto Regulatory Round-Up](https://www.chainalysis.com/blog/2025-crypto-regulatory-round-up/) - [From trading bans to total embrace, a global guide to crypto regulation](https://www.icij.org/investigations/coin-laundry/cryptocurrency-regulations-global-explainer/) - [Global Crypto Policy Review Outlook 2025/26 Report | TRM Labs](https://www.trmlabs.com/reports-and-whitepapers/global-crypto-policy-review-outlook-2025-26) - [2025 LATAM Crypto Adoption: Latin America Emerges as Crypto Powerhouse](https://www.chainalysis.com/blog/latin-america-crypto-adoption-2025/) - [How crypto regulation changed in 2025: a global review](https://www.elliptic.co/blog/how-crypto-regulation-changed-in-2025) - [PWG Report on Digital Assets: Building Crypto’s Future Together](https://www.chainalysis.com/blog/pwg-report-digital-assets-building-the-future-of-crypto-july-2025/) - [Markets in Crypto-assets Regulation - Finance - European Commission](https://finance.ec.europa.eu/regulation-and-supervision/financial-services-legislation/implementing-and-delegated-acts/markets-crypto-assets-regulation_en) - [FATF urges stronger global action to address Illicit Finance Risks in Virtual Assets](https://www.fatf-gafi.org/en/publications/Fatfrecommendations/targeted-update-virtual-assets-vasps-2025.html) - [Crypto-assets - Finance - European Commission](https://finance.ec.europa.eu/digital-finance/crypto-assets_en) - [Digital Assets in Digital Finance Regulatory Standards and Law](https://uncitral.un.org/sites/uncitral.un.org/files/media-documents/uncitral/en/castellano_updated.pdf) - [Los Choneros | OCCRP](https://www.occrp.org/en/organizations/los-choneros) - [FATF REPORT Money laundering / terrorist financing risks and vulnerabilities](https://www.fatf-gafi.org/content/dam/fatf-gafi/reports/ML-TF-risks-vulnerabilities-associated-with-gold.pdf) - [With support from UNODC Brazil, workshop at CCPI-Amazon advances operational alignment in combating illegal gold mining in the Amazon](https://www.unodc.org/cofrb/en/noticias/2026/04/-workshop-at-ccpi-amazon-advances-operational-alignment-in-combating-illegal-gold-mining.html) - [Amazonian territories on the frontlines of the transition minerals race | Global Witness](https://globalwitness.org/en/campaigns/transition-minerals/amazonian-territories-on-the-frontlines-of-the-transition-minerals-race/) - [New US Treasury plan targets criminal groups profiting from the destruction of the Amazon - ICIJ](https://www.icij.org/investigations/deforestation-inc/new-us-treasury-plan-targets-criminal-groups-profiting-from-the-destruction-of-the-amazon/) - [Interpol: Illegal Gold Mining is Devastating Latin America | OCCRP](https://www.occrp.org/en/news/interpol-illegal-gold-mining-is-devastating-latin-america) - [U.S: Manager Suspected of Laundering Money for Illegal Peruvian Gold Mines | OCCRP](https://www.occrp.org/en/news/us-manager-suspected-of-laundering-money-for-illegal-peruvian-gold-mines) - [AURUM - Preventing Illegal Gold Mining in the Amazon](https://www.unodc.org/cofrb/en/projetos/crimes-ambientais/aurum.html) - [THE NEXUS BETWEEN DRUGS AND CRIMES THAT AFFECT THE ENVIRONMENT](https://www.unodc.org/res/WDR-2023/WDR23_B3_CH4_Amazon.pdf) - [Anti-money laundering and countering the financing of terrorism at international level - Finance](https://finance.ec.europa.eu/financial-crime/anti-money-laundering-and-countering-financing-terrorism-international-level_en) - [European Commission updates list of high-risk countries to strengthen international fight against financial crime - Finance](https://finance.ec.europa.eu/news/european-commission-updates-list-high-risk-countries-strengthen-international-fight-against-2025-12-04_en) - [EU methodology for the identification of high-risk third countries - Finance](https://finance.ec.europa.eu/financial-crime/anti-money-laundering-and-countering-financing-terrorism-international-level/eu-methodology-identification-high-risk-third-countries_en) - [High risk third countries and the international context content of anti-money laundering and countering the financing of terrorism - European Commission](https://finance.ec.europa.eu/financial-crime/high-risk-third-countries-and-international-context-content-anti-money-laundering-and-countering_en) - [Commission updates list of high-risk countries to strengthen international fight against financial crime - Finance](https://finance.ec.europa.eu/news/commission-updates-list-high-risk-countries-strengthen-international-fight-against-financial-crime-2025-06-10_en) - [Anti-Money Laundering and Terrorist Financing Directive 4 - Finance](https://finance.ec.europa.eu/regulation-and-supervision/financial-services-legislation/implementing-and-delegated-acts/anti-money-laundering-and-terrorist-financing-directive-4_en) - [High-risk and other monitored jurisdictions](https://www.fatf-gafi.org/en/topics/high-risk-and-other-monitored-jurisdictions.html) - [Methodology for identifying high-risk third countries under ...](https://finance.ec.europa.eu/document/download/f745b6e8-735b-4855-b050-f52276356fe6_en) - [Anti-money laundering: the Commission updates its list of high-risk third-country jurisdictions to strengthen the international fight against financial crime - Finance](https://finance.ec.europa.eu/news/anti-money-laundering-commission-updates-its-list-high-risk-third-country-jurisdictions-strengthen-2022-12-20_en) - [Ex-Petroecuador Officials Arrested in a Multi-Million Dollar Bribery Scheme | OCCRP](https://www.occrp.org/en/news/ex-petroecuador-officials-arrested-in-a-multi-million-dollar-bribery-scheme) - [Ecuador Charges Officials in Graft Probe Involving State Oil Company | OCCRP](https://www.occrp.org/en/daily/14252-ecuador-charges-officials-in-graft-probe-involving-state-oil-company) - [Country Profile: Ecuador](https://www.unodc.org/corruption/en/country-profiles/data/ECU.html) - [Ecuador Detains Former Top Oil Officials in Latest Graft Probe - Bloomberg](https://www.bloomberg.com/news/articles/2021-04-13/ecuador-detains-former-top-oil-officials-in-latest-graft-probe) - [UNODC Corruption and Financial Crime Branch](https://www.unodc.org/corruption/en/index.html) - [UK insurance broker charged with failure to prevent bribery - GOV.UK](https://www.gov.uk/government/news/uk-insurer-charged-with-bribery-in-ecuador) - [Regional Corruption and Financial Crime Hub for Latin America and the Caribbean](https://www.unodc.org/corruption/en/uncac/ac-hubs-and-platforms/latin-america-and-the-caribbean-hub.html) - [Mutual Evaluation of Ecuador](https://www.fatf-gafi.org/en/countries/d-i/ecuador/documents/mutualevaluationofecuador.html) - [Money Laundering Advisory Notice: June 2026 - GOV.UK](https://www.gov.uk/government/publications/money-laundering-advisory-notice-high-risk-third-countries--2/money-laundering-advisory-notice-high-risk-third-countries--2) - [Money Laundering Advisory Notice: High Risk Third Countries - GOV.UK](https://www.gov.uk/government/publications/money-laundering-advisory-notice-high-risk-third-countries--2) - [HM Treasury publish updated list of high risk third jurisdictions](https://www.gamblingcommission.gov.uk/licensees-and-businesses/notice/hm-treasury-publish-updated-list-of-high-risk-third-jurisdictions) - [High-risk third countries](https://www.gamblingcommission.gov.uk/licensees-and-businesses/notice/high-risk-third-countries) - [RPC opinion: The Money Laundering and Terrorist Financing (Amendment) Regulations 2026 - GOV.UK](https://www.gov.uk/government/publications/rpc-opinion-the-money-laundering-and-terrorist-financing-amendment-regulations-2026) - [Updated casino guidance to include proliferation financing](https://www.gamblingcommission.gov.uk/licensees-and-businesses/notice/updated-casino-guidance-to-include-proliferation-financing?es_id=36c0030f75) - [Money Laundering Regulations: High Risk Third Countries Statement - GOV.UK](https://www.gov.uk/government/publications/money-laundering-regulations-high-risk-third-countries-statement) - [News](https://www.fatf-gafi.org/en/the-fatf/news.html) - [Consolidated assessment ratings](https://www.fatf-gafi.org/en/publications/Mutualevaluations/Assessment-ratings.html) - [Enhanced Follow-up report and Technical Compliance re-rating of Costa Rica](https://www.fatf-gafi.org/content/dam/fatf-gafi/fsrb-fur/GAFILAT-Costa-Rica-2024.pdf.coredownload.pdf) - [Seventh Enhanced Follow Up Report and Second Technical](https://www.fatf-gafi.org/content/dam/fatf-gafi/fsrb-fur/GAFILAT-Colombia-Follow-Up-Report-2023.pdf.coredownload.pdf) - [Lloyd’s Broker Charged by UK Over Alleged Ecuador Bribes](https://www.bloomberg.com/news/articles/2025-04-17/lloyd-s-broker-charged-by-uk-s-sfo-over-alleged-ecuador-bribes) - [United Insurance Brokers Limited - GOV.UK](https://www.gov.uk/sfo-cases/united-insurance-brokers-limited) - [London Insurance Companies Probed for Bribery and Corruption by U.K. - Bloomberg](https://www.bloomberg.com/news/articles/2022-03-25/london-insurance-firms-probed-for-bribery-and-corruption-by-u-k) - [Serious Fraud Office - GOV.UK](https://www.gov.uk/government/organisations/serious-fraud-office) - [Reporting serious fraud, bribery and corruption](https://www.sfo.gov.uk/contact-us/reporting-serious-fraud-bribery-corruption/) - [Sweett Group PLC sentenced and ordered to pay £2.25 ...](https://www.sfo.gov.uk/2016/02/19/sweett-group-plc-sentenced-and-ordered-to-pay-2-3-million-after-bribery-act-conviction/) - [Our cases - Serious Fraud Office](https://www.sfo.gov.uk/our-cases/) - [Find an SFO case - GOV.UK](https://www.gov.uk/sfo-cases) - [Serious Fraud Office and Five Eyes on foreign bribery indicators - GOV.UK](https://www.gov.uk/government/news/serious-fraud-office-and-five-eyes-on-foreign-bribery-indicators) - [FATF / GAFILAT (joint mutual evaluation)](https://www.fatf-gafi.org/content/dam/fatf-gafi/fsrb-mer/GAFILAT-Mutual-Evaluation-Ecudaor-2023.pdf.coredownload.inline.pdf) - [FATF](https://www.fatf-gafi.org/en/publications/High-risk-and-other-monitored-jurisdictions/increased-monitoring-june-2026.html) - [US Department of the Treasury (OFAC)](https://ofac.treasury.gov/recent-actions/20250904) - [US Department of the Treasury (OFAC)](https://ofac.treasury.gov/recent-actions/20240207) - [European Commission](https://finance.ec.europa.eu/news/european-commission-updates-list-high-risk-countries-strengthen-international-fight-against-2025-12-04_en) - [UK Serious Fraud Office (GOV.UK)](https://www.gov.uk/government/news/uk-insurer-charged-with-bribery-in-ecuador) - [HM Treasury](https://www.gov.uk/government/publications/money-laundering-advisory-notice-high-risk-third-countries--2/money-laundering-advisory-notice-high-risk-third-countries--2) - [OCCRP](https://www.occrp.org/en/news/exclusive-alleged-albanian-mafia-leader-in-ecuador-accused-of-laundering-cocaine-cash-via-uae-firms) - [OCCRP](https://www.occrp.org/en/feature/stained-with-blood-new-port-brings-violent-drug-cartels-to-ecuador-fishing-town) - [UNODC](https://www.unodc.org/cofrb/en/noticias/2026/04/-workshop-at-ccpi-amazon-advances-operational-alignment-in-combating-illegal-gold-mining.html) Coverage gaps fim-int-2026-07-07-G001: Ecuador lacks a centralized, public… fim-int-2026-07-07-G001: Ecuador lacks a centralized, publicly verifiable UBO registry and no proportionate BO-data sanctioning regime has been confirmed, limiting confident scoring of D2 opacity risk. [resolved] fim-int-2026-07-07-G002: Customs and port-security capacity … fim-int-2026-07-07-G002: Customs and port-security capacity data for Posorja beyond the single OCCRP investigative feature would strengthen the D3 capacity-deficit assessment with a second independent source. [resolved] fim-int-2026-07-07-G003: DNFBP supervisory-power reforms and… fim-int-2026-07-07-G003: DNFBP supervisory-power reforms and STR-quality metrics post-2023 MER have not been independently verified this cycle, leaving resolution status uncertain. [resolved] fim-int-2026-07-07-G004: No Ecuador-specific VASP registrati… fim-int-2026-07-07-G004: No Ecuador-specific VASP registration, licensing, or enforcement data was located in 2025-2026 regional crypto-policy round-ups, constraining confident D5 risk-scoring. [resolved] fim-int-2026-07-07-G005: No confirmation exists of an EU Cou… fim-int-2026-07-07-G005: No confirmation exists of an EU Council or UK OFSI terrorist-financing designation parallel to the OFAC Los Choneros FTO/SDGT listing; direct confirmation from EU/UK sanctions registers would resolve the T6 divergence claim. [resolved] fim-int-2026-08-05-G001: No T1 europa.eu/AMLA primary source… fim-int-2026-08-05-G001: No T1 europa.eu/AMLA primary source directly retrieved this cycle for AMLR/6AMLD/AMLA dates; reliance on T4 vendor secondary sources. [resolved] fim-int-2026-08-05-G002: Ecuador-specific beneficial-ownersh… fim-int-2026-08-05-G002: Ecuador-specific beneficial-ownership registry status not established this cycle; EU-level BO coverage substituted. [resolved] fim-int-2026-08-05-G003: No direct T1 FATF confirmation of C… fim-int-2026-08-05-G003: No direct T1 FATF confirmation of Cambodia re-listing risk; based on NBC governor's public statement via T3 press. [resolved] fim-int-2026-08-05-G004: UN Panel of Experts (Yemen) reporti… fim-int-2026-08-05-G004: UN Panel of Experts (Yemen) reporting and further OFSI Houthi-linked channel developments not retrieved this cycle. [resolved] fim-int-2026-08-05-G005: White House FY2026 FRAA Presidentia… fim-int-2026-08-05-G005: White House FY2026 FRAA Presidential Determination full text not directly retrieved; relying on T3 trade-policy newsletter summary. [resolved] fim-int-2026-08-25-G001 ({'scheme': 'financial_integrity', '… fim-int-2026-08-25-G001 ({'scheme': 'financial_integrity', 'value': 'D2'}): No T1 SRI/SUPERCIAS primary text was reached this cycle to corroborate the 28% CIT beneficial-ownership non-disclosure penalty mechanism. [resolved] fim-int-2026-08-25-G002: Tier D jurisdiction checks (KH, LA,… fim-int-2026-08-25-G002: Tier D jurisdiction checks (KH, LA, MX, CO) and domains D1, D3, D4, D5 received thin or no coverage in this EC-scoped dispatch. [resolved] fim-int-2026-10-04-G001 ({'scheme': 'financial_integrity', '… fim-int-2026-10-04-G001 ({'scheme': 'financial_integrity', 'value': 'D7'}): Full gazette/Registro Oficial text of Decreto 422/445 and UAFE Resolución UAFE-DG-2026-0005 not directly retrieved this cycle; AML obligations for gambling operators capped at Probable confidence pending primary-source text. [resolved] fim-int-2026-10-04-G002 ({'scheme': 'financial_integrity', '… fim-int-2026-10-04-G002 ({'scheme': 'financial_integrity', 'value': 'D2'}): No EC-specific beneficial-ownership (D2) or crypto (D5) material development found this cycle; coverage thin. [resolved] fim-int-2026-10-04-G003: Sub-Saharan Africa, Central Asia an… fim-int-2026-10-04-G003: Sub-Saharan Africa, Central Asia and Pacific regions were not actively searched this cycle given the EC-bound dispatch; flagged for next monthly regional-balance pass. [resolved] fim-int-2026-10-11-G001 ({'scheme': 'financial_integrity', '… fim-int-2026-10-11-G001 ({'scheme': 'financial_integrity', 'value': 'D1'}): F1 state-capture assessment for the EC D3 AML-obliged-entity finding was not sourced this cycle. [open] fim-int-2026-10-11-G002: Tier D watch jurisdictions (KH, LA,… fim-int-2026-10-11-G002: Tier D watch jurisdictions (KH, LA, MX, CO) were out of scope for this single-jurisdiction-bound Ecuador dispatch. [open] fim-int-2026-11-01-G001 ({'scheme': 'financial_integrity', '… fim-int-2026-11-01-G001 ({'scheme': 'financial_integrity', 'value': 'D7'}): No primary Fiscalía or UAFE release independently retrieved confirming the Vinces mayor detention details beyond T3 press reporting. [open] fim-int-2026-11-01-G002 ({'scheme': 'financial_integrity', '… fim-int-2026-11-01-G002 ({'scheme': 'financial_integrity', 'value': 'D7'}): Implementation completion status of Decreto 298's secondary sectoral norms not independently re-verified against a UAFE bulletin this cycle. [open] fim-int-2026-11-01-G003: D1-D4 and D6 thin coverage this cyc… fim-int-2026-11-01-G003: D1-D4 and D6 thin coverage this cycle; no EC-specific developments located. [open] FIM-GAP-001 (D2): Ecuador's 2023 GAFILAT/FATF Mutual Evaluat… FIM-GAP-001 (D2): Ecuador's 2023 GAFILAT/FATF Mutual Evaluation found beneficial ownership identification and verification responsibility rests solely with reporting institutions outside the banking sector, with no evidence of proportionate and dissuasive sanctions applied for poor-quality BO submissions. FIM-GAP-002 (D3): Customs and port-security capacity at Ecua… FIM-GAP-002 (D3): Customs and port-security capacity at Ecuador's rapidly-expanding Posorja port has not kept pace with container-trade growth, enabling a four-fold year-on-year increase in cocaine loadings to Rotterdam by 2024 despite biometric controls and scanning infrastructure. FIM-GAP-003 (D2): Ecuador's MER found DNFBP supervisors hist… FIM-GAP-003 (D2): Ecuador's MER found DNFBP supervisors historically lacked adequate supervisory and sanctioning powers in AML/CFT matters, and STR quality — particularly in the DNFBP sector — remains a significant weakness despite rising filing volumes. FIM-GAP-004 (D5): Regional crypto-regulation round-ups from … FIM-GAP-004 (D5): Regional crypto-regulation round-ups from Chainalysis, Elliptic, ICIJ and TRM Labs for 2025 name Brazil, Argentina and Mexico as Latin America's crypto-regulation leaders but do not provide Ecuador-specific VASP registration, licensing, or enforcement data, leaving a documentation gap on Ecuador's digital-asset AML/CFT posture. FIM-GAP-005 (D4): Interpol and UNODC identify Ecuador as bot… FIM-GAP-005 (D4): Interpol and UNODC identify Ecuador as both a source and processing center for illegally mined gold from the Amazon basin, with organized crime groups reinvesting laundered mining proceeds into other criminal lines, yet outdated mining-permit frameworks across the region leave large loopholes for extraction and export laundering. ## Evidence #### Confidence-tiered claims 15 Ecuador-based individuals/entities and 10 vessels designated under EO 14059/13224 for involvement in cocaine transshipment via Manta, Ecuador [[Source 1]](#sec-sources) Probable · 1 source Ecuadorian fishing/wholesale/construction front companies designated by OFAC as logistics layer for cocaine transshipment [[Source 1]](#sec-sources) Probable · 1 source UAFE registration (código de registro), source-of-funds checks, risk management, alert generation and suspicious-activity reporting now mandatory licence conditions under Decreto Ejecutivo 422/445 [[Source 1]](#sec-sources) Probable · 1 source A specialised Unidad Complementaria Antilavado to supervise AML in the sports-betting sector, due within six months of Decreto 422's effective date [[Source 1]](#sec-sources) Probable · 1 source Not on FATF grey list; passed 4th-round GAFILAT mutual evaluation [[Source 1]](#sec-sources) Probable · 1 source 20 casino licences revoked and 29 suspended following a review of all 195 licensed casinos for scam-centre links [[Source 1]](#sec-sources) Probable · 1 source Fiscal fuel-smuggling/tax-evasion scheme (huachicol fiscal) exploiting Mexican CNE-permit front companies and complicit US fuel traders (FIN-2026-Alert003, 30 June 2026, still operative) [[Source 1]](#sec-sources) Probable · 1 source Remains on FATF increased-monitoring (grey) list per 19 June 2026 plenary statement; 22 May 2026 follow-up report notes partial technical-compliance progress [[Source 1]](#sec-sources) Probable · 1 source Illegal gold mining now reportedly generates more profit for organised crime than cocaine, per FATF/UNODC 2026-2028 agenda commentary [[Source 1]](#sec-sources) Uncertain · 1 source Operators are sujetos obligados under UAFE, required to register within 30 days of obtaining the LOPD licence, maintain an exclusive bank account, appoint a compliance officer, screen for suspicious operations, and retain data for 7 years. [[Source 1]](#sec-sources) Probable · 1 source Not on FATF list of jurisdictions under increased monitoring; GAFILAT XLVI Plenary approved mutual-evaluation report, assessed cooperating [[Source 1]](#sec-sources) Probable · 1 source Public beneficial-ownership consultation tool remains the standing position; SRI REBEFICS provides supplementary beneficiary/corporate-composition reporting [[Source 1]](#sec-sources) Probable · 1 source Plan Nacional de Acción Estratégico Contra el Lavado de Activos, el Financiamiento del Terrorismo y de la Proliferación de Armas de Destrucción Masiva 2026-2030, adopted 31 January 2026 [[Source 1]](#sec-sources) Probable · 1 source Created CONCLAFT; armed UAFE with a 72-hour administrative fund-immobilisation power; imposed a USD 10,000 cash-transaction ceiling; introduced enhanced PEP controls [[Source 1]](#sec-sources) Probable · 1 source 3220000 [[Source 1]](#sec-sources) Probable · 1 source 2026-10-19 [[Source 1]](#sec-sources) Probable · 1 source ['Bulgaria', "Cote d'Ivoire", 'DRC', 'Monaco'] [[Source 1]](#sec-sources) Probable · 1 source