NEC puts piracy under AML Act with jail and Rs25m fine
The National Executive Committee made maritime piracy a money-laundering predicate offence, extended AML powers to PVARA, and lifted the bank cash reporting threshold to Rs3 million.
The NEC made maritime piracy a predicate offence under the anti-money laundering law, with a fine of up to Rs25 million and property forfeiture also cited.
Official descriptions of the jail term differ: up to 10 years in one account of the decision, and up to seven years under Section 28 of the Maritime Zones Act as stated by the Finance Ministry.
PVARA was added to Schedule IV of the AML Act so it can sanction reporting entities that breach AML duties.
Banks must now report daily cash deposits above Rs3 million to the Financial Monitoring Unit, up from Rs2 million.
Extending AML powers to provincial anti-corruption bodies was cleared in principle, pending SOPs meant to limit misuse.