Definition of money laundering widened
October 31, 2006 | BY
clpstaff &clp articlesAs part of its increased efforts to combat financial crimes, China's top legislature, the Standing Committee of the National People's Congress, approved…
As part of its increased efforts to combat financial crimes, China's top legislature, the Standing Committee of the National People's Congress, approved the PRC Anti-money Laundering Law on November 1 2006, which will become effective on January 1 2007.
In order to strengthen the country's ability to combat money laundering, the definition of money laundering has been widened to include corruption and bribe taking, violating financial management and financial fraud. Before, the criminal law identified money laundering as being associated with drug trafficking, organized crime, terrorist crime and smuggling.
The anti-money laundering law, which is the first of its kind in China, will allow the People's Bank of China (PBOC) and its branch offices to monitor and investigate the flow of suspect money and allow them to impose administrative punishments on employees who allow the illegal transfer of money, according to China Daily.
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