ISLAMABAD: Pakistan to introduce new laws to counter money laundering fromthe country.
The Securities and Exchange Commission of Pakistan (SECP) has proposed newamendments to its regulations to prevent money laundering.
The commission, in a press release on Wednesday, announced that the move isintended to prevent misuse of corporate entities for money laundering andidentify control structure and ownership of the companies.
They (amendments) have been made on the recommendations of the FinancialAction Task Force (FATF).
The release further says the new amendments will ‘strictly prohibit’ thetransfer and issuance of any equity and debt securities of bearer nature—one that can be exchanged without the need to keep records of thetransactions.
The SECP also said the period of retention record of dissolved companieswould be increased.
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The proposed amendments have been designed to address the deficienciespointed out by the country’s mutual evaluation report published by the AsiaPacific Group on Money Laundering in October 2019.
The laws for which the amendments have been proposed include Companies(Incorporation) Regulations, 2017, Companies (General Provisions and Forms)Regulations, 2018, Foreign Companies Regulations, 2018, and LimitedLiability Partnership Regulations, 2018.
The proposed amendments are available on SECP’s official websiteaml.dept@secp.gov.pk.
