money laundering act
DESCRIPTION
Money laundering is the processing of criminal proceeds to disguise its illegal origin. Terrorism, illegal arms sales, financial crimes, smuggling, and the activities of organised crime, including drug trafficking and prostitution rings, generate huge sums. Embezzlement, insider trading, bribery and computer fraud also produce large profits and create an incentive to legitimise the ill-gotten gains through money laundering. When a criminal activity generates substantial profits, the individual or group involved in such activities route the funds to safe heavens by disguising the sources, changing the form, or moving the funds to a place where they are less likely to attract attention.TRANSCRIPT
Money LaunderingMoney Laundering
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Process of Money Laundering
Money LaunderingMoney LaunderingDirectly or indirectlyDirectly or indirectlyAttempts or assists knowingly or Attempts or assists knowingly or
party to any activityparty to any activityConnected with proceeds of crimeConnected with proceeds of crimeProjecting it as untainted propertyProjecting it as untainted property
Against the country Against the country
Terrorism, conspiracy, etcTerrorism, conspiracy, etcRelating to DrugsRelating to Drugs
Possessing or dealing with Poppy Possessing or dealing with Poppy straw, opium, cannabisstraw, opium, cannabis
Under the Indian Penal Code Under the Indian Penal Code
Murder, Kidnapping, Extortion, Murder, Kidnapping, Extortion, counterfeit notes and securities, etccounterfeit notes and securities, etc
Impact of Money Laundering on Development
Prevention of Money Laundering – Global
Initiatives
The Vienna Convention Council of Europe Convention European Union Money
Laundering Directive The Financial Action Task Force
(FATF)
History of the FATF
FATF Recommendations
United Nations Global Programme Against Money Laundering
Attachment of property involved in money laundering
Adjudicating Authority
Adjudication
Vesting of Property in Central Government
Obligation of Banking Companies, Financial Institutions and Intermediaries
Summon, Searches and Seizures, etc.
Retention of Property
Retention of records
Presumption in Inter-connected Transactions
Appellate Tribunal
Special Courts
Offences Triable by Special Courts
Offences to be cognizable and Non-bailable
Power of Central Government to Issue Directions
Attachment, Seizure and Confiscation of Property, etc.
(KYC) Norms/ (AML) Measures/ (CFT) Guidelines – Anti Money Laundering Standards
The objective of KYC Norms/ AML Measures/ CFT Guidelines
Obligation of Banks
KYC Policy
For the purpose of KYC policy, a ‘Customer’ is defined as:
Introduction of New Technologies – Credit cards/debit cards/ smart cards/gift cards
Information to be preserved
Maintenance and Preservation of record
Reporting to Financial Intelligence Unit – India
Freezing of Assets under Section 51A of Unlawful Activities (Prevention) Act, 1967