FAISALABAD, (APP): Terrorist Financing and Money Laundering heinous crimes: SBP JD
Joint Director, State Bank of Pakistan (SBP) Tanzeel Mehmood Malik on Thursday said that offshore companies were not illegal but money laundering and terrorist financing was a serious crime.
Banks would have to play their pro-active role in discouraging the illegal movement of finances from one to another country, he said addressing a seminar organized by the Bankers Club about offshore companies, anti-money laundering and combating financing of terrorism here.
Akmal Javed Khokhar Deputy Chief Manager SBP presided over the function in which officers of 32 banks participated.
Assistant Chief Manager Faheem Maqsood introduced the topic and told that there was no proper legislation to address the crime of money laundering before mid-1980s.
However, Financial Action Task Force was created by G7 countries in 1989 to take steps against money laundering. “Its scope was further enhanced in 2001 by including combating of terrorist financing,” he added.
He said that SBP had already taken stringent measures to discourage money laundering which could also be used to finance terrorism.
He also explained in detail the basic concept of money laundering and terrorist financing and said that offshore companies were not illegal.
Quoting the example, he told Pakistan had also formed an offshore company to purchase aircraft for its national flag carrier.
Fauzia Aslam Acting Chief Manager SBP Faisalabad said that the bank staff should have a clear perception of legal and illegal movement of finances.
She said that State Bank of Pakistan had made elaborate arrangements to identify and cease any account found involved in money-laundering.
Later, she also distributed certificates among the participants of the seminar.