Moneychangers asked to submit anti-terror financing, money laundering data


State Bank of Pakistan (SBP) has directed all exchange companies to meticulously follow requirements of Anti-Money Laundering (AML) and Countering Financing of Terrorism (CFT) regime. Central bank asked money exchangers to ensure submission of Suspicious Transaction Reports (STRs) and Currency Transaction Reports (CTRs) manually or electronically as per Section 7 of AML Act, 2010, directly to Financial Monitoring Unit (FMU). Furthermore, in case any exchange firm is found to be in violation of above legal requirements, a simultaneous regulatory action shall be initiated against the concerned company and officials involved as per rules, which may result, among others, in suspension and/or cancellation of licenses of the concerned company, says an SBP circular issued by State Bank. The circular reminded all the exchange companies that being “financial institutions” under AML Act they were required to submit STRs and CTRs as per Section 7 to FMU. Standard templates for STRs and CTRs are part of AML Regulations 2008, issued under AML Ordinance 2007 and protected under AML Act, 2010.