Dhaka, Thursday September 2 2010        

http://www.thefinancialexpress-bd.com/more.php?news_id=110960&date=2010-09-02

The government will seek cooperation from the US government to update its anti-money laundering and terror financing acts, a top official in the Ministry of Finance (MoF) said.

The US Department of Justice will extend the cooperation in amending the existing anti-money laundering acts.

The officials of the Department of Justice will also fine-tune the Action Plan, already finalized by a The National Coordination Committee (NCC) on anti-money laundering, sources said.

The Asia-Pacific Group on Money Laundering (APG) will coordinate the issue between the governments of Bangladesh and the US.

"The US will extend their cooperation to finalise the amendments on Anti-money Laundering Act and Terror Financing Act in keeping with the global standard," a top MoF official said.

"We need technical assistance from the US Department of Justice."

Officials said, the APG, the affiliated organization of Financial Action Task Force (FATF), will coordinate between the two governments. A Working Group has been formed last week in the MoF to maintain close cooperation with NCC and the US Justice Department, sources said.

The FATF, an inter-governmental body formed to develop and promote national and international policies to combat money laundering and terrorist financing, in its report said Bangladesh is still non-compliant in at least 10 key areas in attaining international standard, an official said.

A recent Mutual Evaluation Report of APG on money laundering also expressed dissatisfaction over the poor level of legislation to curb money laundering crimes in the Bangladesh, he said further.

The international watchdog groups, including FATF, have asked the government to attain the international standard in combating financial crimes by October this year or at least submit the government's action plan to them before its plenary secession due in October this year to avert any negative campaigns by international groups against Bangladesh, a BB official said.

Currently, banks, financial institutions, insurance companies and money changers have to report to BB on any suspicious transaction.

Meanwhile, a recent meeting of NCC, which is headed by Finance Minister AMA Muhith, finalized an Action Plan to attain the global standard in addressing money laundering.

The major areas included in the Action Plan are bringing amendments in Anti Money Laundering Act 2009 and Terrorist Financing Act, 2009, including the issues of anti-money laundering and terrorist financing in the existing Extradition Act, enacting Mutual Legal Assistance Act and ratifying the UN Convention against Transnational Organised Crime (Palermo Convention) and ratifying the UN Security Council Resolutions 1267 and 1373.

The decision to take cooperation from the US Justice Department has been taken at least one week after finalizing the Action Plan, it is learnt.

However, it could not be known why the government has suddenly decided to seek assistance of the US for amending local acts.

A Department of Justice team will arrive in Dhaka shortly, sources said.