PMLA

Definitions

Money-Laundering

Proceeds of crime

Payment System

WHOSOEVER-
----directly or indirectly attempt to indulge,or
knowingly assists,or
knowingly a party.or
actually involved
---in a process or activity connected with proceeds of crime including
its concealment, possession, acqusition, use
--- projecting or claiming it as untained property
---shall be gulity of offence of Money laundering

means any property

derived or obtained,
directly or indirectly, by any person relating to a scheduled offence or
the value of any such property.

Corporeal or incorporeal
movable or immovable
tangible or intangible
deeds & document( evidencing title)

Scheduled Offence

Part A of the schedule
Part B of schedule(amount>= 30 lakhs)
Part C of schedule

Sec 12: Obligation of Banking Companies, Financial Institutions and Intermediaries

Punishment

rigorous imprisonment
min 3yrs to max. 7 years
(for para 2 of part A max. 10 yrs)
with fine

Maintain a record of all transactions

Furnish to the Director within time prescribed, information relating to such transactions,

Verify the identity of its clients

identify the beneficial owner, if any, of its clients as prescribed;

Maintain record of documents evidencing identity of its clients and beneficial owners

Section 13: Powers of the Director

inquiry with regard to obligation of thr reporting entity.

direct to gets records audited

if RE or its employees failed to comply with obligation then
issue warning in writing
direct to send reports at such interval
monetary penalty 10000 to 1 lakh

shall forward copy of order as mentioned in sec 12

Appeal to Appelate tribunal

Appeal by agrrived person within 45 days of order

provide OOBH

Pass order -
confirm, modify or setting aside the order

send copy to parties in appeal and concerned AA

click to edit