The number of people in Bermuda's Financial Intelligence Agency will increase as part of new legislation aimed at combating money laundering and the financing of terrorism.

The law, which allows Government to freeze companies' funds to carry out investigations, will come into operation on a date named by Justice Minister Kim Wilson.

Under the Financial Intelligence Agency Amendment Act — read out yesterday by Junior Justice Minister Michael Scott in the House of Assembly — the number of non-executive members will increase from three to six. They will be joined by a chairman and director.

Shadow Finance Minister Bob Richards welcomed the legislation, first announced last year, but warned the Island was falling behind rival jurisdictions with such legislation.

Mr. Richards pointed out that a recent review showed Bermuda was failing to comply with 29 international recommendations on anti-money laundering and fighting the financing of terrorism. The corresponding figures for the Bahamas and Cayman respectively are six and two, said Mr. Richards.

"We are playing catch-up in this game and it's not the kind of game you want to be behind on," he said.