Financial institutions, the banking industry, financial service providers, gaming businesses, and casinos.
3. Who are the local regulatory authorities in India, and which government authorities are responsible for the investigation and prosecuting money laundering criminal offenses?
The Financial Intelligence Unit of India (FIU-IND), Reserve Bank of India, Securities and Exchange Board of India (SEBI), Insurance Regulatory & Development Authority of India (IRDAI), Central Bureau of Investigation (CBI), Income Tax Department.
4. What is the status of India's FATF?
India is one of the member countries obliged to comply with FATF Standards. As a result of FATF evaluations, India is not included in the strategic AML Deficiencies List. The last Mutual Assessment Report of the FATF's anti-money laundering and counter-terrorism financing standards in India was conducted in 2010. According to this assessment of the FATF, India is Compliant for 4 of the recommendations and is also highly compliant for 25 of them.
5. Which global regulations India have to comply with?
As India is a member of FATF, it is obliged to comply with FATF standards as well as local regulations.
6. What are the AML obligations of the businesses in India?
Incumbents must implement Customer Due Diligence requirements at the client recruitment stage. These organizations should record customer information and keep it for a certain period of time as stated in the regulations. In addition, AML checks should be made, suspicious transactions of customers should be identified and reported to authorized units.
7. What are the local AML laws and regulations in India?
PMLA and the Prevention of Money-Laundering Rules, The Black Money (Undisclosed Foreign Income and Assets) and the imposition of Tax Act, 2015, Foreign Exchange Management Act, 1999, Benami Transactions Act, 1988 as amended by Benami Transactions Amendment Act, 2016, Narcotics, Drugs and Psychotropic Substances Act, 1985, SEBI’s Guidelines for Anti-Money Laundering Measures, 2006 and other KYC requirements, Fugitive Economic Offenders Act, 2018, etc.
8. What are the penalties for failure to comply with Anti-Money Laundering law in India?
Under the laws of AML in India, those involved in money laundering face up to 10 years in prison or fines.
9. What are the contact details of the relevant regulators in India?
Reserve Bank India
Sansad Marg New Delhi – 110001
10. Are violations of anti-money laundering obligations also subject to criminal sanctions in India?
Yes, obliged entities in India must fulfill their AML obligations. Administrative and fines are imposed on organizations that do not comply with AML compliance.
11. What can oblige institutions do to prevent money laundering and to comply with AML regulations in India?
Obliged entities in India must follow and comply with regulations to protect against money laundering crimes. Institutions in India can take Know Your Customer, Customer Due Diligence, Transaction Monitoring, Transaction Screening measures with Sanction Scanner. Sanction Scanner solutions are compliant with all regulations, so regulations can be easily complied with and risks can be minimized. You can .Contact Us or Request Demo about Sanction Scanner AML solutions.