INTERNATIONAL PAYMENT CARD CRIME INITIATIVE
DRAFT FRAMEWORK DOCUMENT

Adopted in Kyoto, May 2000

We recognize that modern technology is advancing to the point where, around the world, a large percentage of financial transactions involve the use of payment cards for obtaining funds, goods or services. But complicating this fact is the proliferation of international organized payment card crime that, if left unchecked, threatens to undermine and destabilize the worldwide financial settlement system.

It is further recognized that payment card crime involves possessing, transferring, obtaining, or using in any other way, a plastic or other card, or other access device with an intent to illegally transfer or attempt to transfer funds, goods, or services.

We are deeply concerned by the fact that criminals have found international organized payment card crime to be an extremely attractive and rewarding enterprise and that advances in technology have made it easier for criminals to operate with almost total assurances of impunity. There exists a considerable body of intelligence that organized criminal groups are responsible for the significant monetary losses that are being incurred by the payment card industry. International organized payment card crime is a serious problem and the economy of any country that relies on the use of such cards must have an effective structure for deterring abuse.

We believe that neither law enforcement authorities nor the payment card industry can work in isolation in dealing with this most troublesome problem. What is required is a collaborative approach -- one that involves the concerted and co-ordinated international efforts of the law enforcement and other relevant authorities. Therefore, in order to effectively combat international organized payment card crime, the G-8 countries endorse the following principles and action plan. It is urged that this set of principles and action plan be adopted on a worldwide basis in an attempt to combat this well-organized and highly sophisticated criminal activity.

PRINCIPLES :

We hereby endorse the following principles, which should be supported by all countries:

1. There should be sufficient law enforcement authorities resources available to combat international organized payment card crime.
2. In order to address the global and universal problem of international organized payment card crime, certain common features among national laws are desirable to facilitate a co-ordinated international approach to the problem.
3. Mutual assistance regimes must ensure the timely gathering and exchange of evidence in cases involving international organized payment card crime.
4. Effective data exchange systems related to international organized payment card crime are both necessary and desirable.
5. Law enforcement authorities must, to the extent possible, remain abreast of changing technologies and investigative techniques related to international organized payment card crime.
6. Co-operation between the payment card industry and law enforcement authorities of member countries is essential.
7. There should be no acceptable financial losses associated with international organized payment card crime.

ACTION PLAN:

In support of these principles, we are directing our officials to:

1. Establish a central point-of-contact to ensure a timely and appropriate response to international organized payment card crime.
2. Review legal structures to identify the specific criminal acts related to payment card crime that should be prohibited and to take efforts, to the extent possible, to ensure uniformity of criminalization among our national laws and legal systems and to establish common features, including the optimum legal definitions for certain elements such as "payment card" and "computer password".
3. In order to prevent domestic and international mail services from being abused by criminals engaged in international organized payment card crime, ensure, to the extent possible, that no shortcomings exist in our legal structure that would, for example, enable criminals to use the mails to traffic in counterfeit payment cards or components.
4. Support the implementation and continued development of the "Universal Classification System for Counterfeit Payment Cards", which was unanimously approved at the 65th Interpol General Assembly Session, in New Delhi in October, 1997.
5. Pursue a specific criminal analysis project focusing on specific geographic regions where payment card crime tends to be most prevalent or on specific criminal organizations that tend to be deeply entrenched in related criminal activity.
6. Establish and maintain effective liaison with manufacturers and suppliers of material and equipment used in international organized payment card crime in an effort to identify their illegal use.
7. Encourage law enforcement authorities and the payment card industry to provide training and education in the area of payment cards and international organized payment card crime.
8. Encourage the payment card industry to develop and implement effective payment card security features. Both the retailer and the cardholder should recognize their responsibilities to take security precautions.
9. Seek the co-operation of financial institutions of member countries to effectively prevent the abuse of payment cards by, inter alia, terminating payment card accounts and creating an early warning system to alert vulnerable organizations about related criminal activity.
10. Promote a multi-agency and multi-national approach to investigations related to international organized payment card crime.
11. Encourage the use of Interpol Green Notices and any other available means to disrupt criminal activities related to international organized payment card crime.
12. Develop and implement an exchange program for police officers in order to facilitate the sharing of information and experience vis-a-vis investigative techniques, methods, and best practices used in dealing with international organized payment card crime.
13. In order to advance these general principles and co-operation between the G-8 countries, it is recommended that regular meetings, hosted by an appropriate organization, be attended by representatives of the nominated central offices.