GUIDELINES FOR COMBATING MONEY LAUNDERING AND TERRORIST FINANCING
FE Circular No. 03 of 2012 May 31, 2012
With the view to preserve the integrity and safety of the financial system, it has always been important to prevent the possible use of the Exchange Company Sector for money laundering and terrorist financing. To this end, since their inception, SBP has been issuing various instructions to Exchange Companies from time to time in the shape of its FE Circulars and Circular Letters duly followed up with individual interactions during its monitoring and enforcement activities.
In order to draw further attention on averting the risks posed by money laundering and financing of terrorism, please find attached the guidelines (at Annexure I) required to be followed in letter and spirit by the Exchange Companies. Further Exchange Companies shall review and submit their policy for combating money laundering and terrorist financing on annual basis, latest by September 30 of that financial year, duly approved by their Board of Directors.
It may be noted here that;
a) The Exchange Companies are responsible for implementing the guidelines throughout their network, including branches, franchises, payment booths etc.
b) The term ‘Exchange Companies’ referred in the guidelines means both, Full-fledged Exchange Companies and Exchange Companies of ‘B’ category, and the said guidelines are required to be implemented according to their respective permissible scope of business.