Table of Contents
Which is the major regulations in India for anti money laundering?
India has criminalised money laundering under both the Prevention of Money Laundering Act, 2002 (PMLA), as amended in 2005 and 2009, and the Narcotic Drugs and Psychotropic Substances Act, 1985 (NDPS Act), as amended in 2001.
What is AML laws and regulations?
AML laws and regulations target criminal activities including market manipulation, trade in illegal goods, corruption of public funds, and tax evasion, as well as the methods used to conceal these crimes and the money derived from them.
Who controls AML in India?
The Enforcement Directorate in the Department of Revenue, Ministry of Finance, the Government of India is responsible for investigating the offences of money laundering under the PMLA.
How long is jail time for money laundering?
The government does not have to prove that the person actually handled the money or did anything specific to assist the money laundering offense. Money laundering is a serious crime under federal law. A violation of 18 U.S.C. §1956 can result in a sentence of up to 20 years in prison.
Who is a customer as per KYC policy?
For the purpose of KYC policy, a ‘Customer’ is defined as: a person or entity that maintains an account and/or has a business relationship with the bank; one on whose behalf the account is maintained (i.e. the beneficial owner).
Is money laundering a crime in India?
India has criminalised money laundering under both the Prevention of Money Laundering Act, 2002 (PMLA), as amended in 2005 and 2009, and the Narcotic Drugs and Psychotropic Substances Act, 1985 (NDPS Act), as amended in 2001.
What legislation is in place to prevent and combat money laundering?
The major pieces of legislation preceding the Prevention of Money Laundering Act, 2002 or the PMLA, inter alia, which directly or indirectly aim to curb and combat money laundering activities are noted and listed in the following manner:
Is India a signatory to the United Nations Convention on money laundering?
India is also a signatory to various United Nations Conventions which deal with anti money laundering and countering financing of terrorism.
What is the definition of money laundering?
The Bill expands the definition of offence under money laundering to include activities like concealment, acquisition, possession and use of proceeds of crime. The Prevention of Money Laundering Act, 2002 levies a fine up to Rupees five lakhs. The Bill proposes to remove this upper limit of fine.