An International Monetary Fund inspection of Bermuda's anti-money laundering enforcement has left the Island's Finance Ministry admitting it has "some work to do in public and private sectors."

Finance Ministry permanent secretary Donald Scott who has seen the still-classified report commented: "No jurisdiction ever receives a perfect score."

The draft IMF report described as "frank" and containing "constructive recommendations" for now remains out of sight of the public but has been handed to the Ministry.

It raises issues about Bermuda's ability to practically implement and enforce anti-money laundering measures and those to combat the financing of terrorism.

A positive assessment from the IMF would enhance Bermuda's reputation as a trusted financial jurisdiction, but the reverse is also the case and judging from the guarded language used in a statement issued late yesterday afternoon by the Finance Ministry, there appears to be areas of concern.

Donald Scott, who is also chairman of the Island's National Anti-Money Laundering Committee, said a response to the IMF's draft report has been sent with the hope that additional points will be considered before the report is finalised and made public before the end of the year.

The Washington DC-based IMF oversees the global financial system by observing exchange rates and balance of payments, as well as offering financial and technical assistance and carrying out inspections of regulatory compliance.

During May an IMF review team visited Bermuda to check on a variety of public and private organisations to see how Bermuda's anti-money laundering and combatting of terrorism financing regimes measure up to the revised Financial Action Task Force (FATF) recommendations.

Bermuda was measured on its current regime and practices and, having been given sight of the draft report has felt it necessary to send a detailed response to the organisation's HQ in Washington DC in the hope additional points will be considered before the report is made public.

In his statement Mr. Scott has given little indication of the content of the draft report and said it would be premature to comment in any depth until the report is finalised.

However he adds: "For indicative purposes it would be a fair assessment to note that the issues raised by the IMF focus particularly on the practical aspects of implementation and enforcement within the private and public sectors in respect of anti-money laundering/combat financing terrorism.

"The report is frank and provides constructive recommendations that can strengthen our institutional framework and make recommendations.

Mr. Scott goes on to say: "No jurisdiction ever receives a perfect score after one of these assessments as the FATF standards are a continuously evolving area of regulation. Bermuda has some work to do in the public and private sectors within a realistic time-frame."