A law, clamping down on money laundering was passed in Parliament on Wednesday without opposition. A law, clamping down on money laundering was passed in Parliament on Wednesday without opposition. The Act will make it illegal to disguise sources of financing, changing the form or moving funds to a place where it is less likely to attract attention.
The Prevention of Money Laundering Act and a separate piece of legislation on Financial Transactions Reporting will give the state powers to nab persons who bring in money obtained through illegal activities.
Illegal activities cover terrorism, illicit arms sales, insider trading, bribery, computer frauds and other types of organised crime.
A Financial Intelligence Unit is to be set up to implement the Act, which is also supported by laws to crack down on terrorist financing, passed earlier.
A senior government official said the FIU is likely to be set up within the Central Bank, a practice followed by several other countries.
The series of laws flow from a UN convention aimed at suppressing financing of terrorism.