- Advertisement -
Kathmandu, Nepal, December 12, 2022: The Nepal Rastra Bank (NRB), the central bank of Nepal, has launched inspection and supervision drive against suspicious transactions in banks and financial institutions (BFIs) through its newly formed Money Laundering Prevention Supervision Division (MLPSD).
The NRB has recently formed the MLPSD to inspect and supervise the suspicious transactions in all BFIs. The NRB has formed the MLPSD after the number of suspicious transactions went up by 81 percent in the fiscal year 2021/22, compared to the previous fiscal year.
Though the NRB has tightened the money laundering measures, suspicious transactions were in the raise in recent days. The NRB and the government have failed to check the money laundering measures though tough measures are adopted in the country.
According to the NRB, it has reported 2,380 cases of suspicious transactions during the review period, which is 81 percent up than the previous year. The NRB had recorded just 1,533 cases in the previous year.
As the suspicious transaction involves about fraud, terrorist financing, money laundering and other crimes, detail information of transactions that identify individuals, groups and organizations used to be sought from the BFIs. However, the information provided while making translation have become insufficient to check the suspicious transaction.
With the introduce of the MLPSD, the NRB has made a provision that not only the BFIs but also the cooperatives, insurance companies, money-changers, remitters, dealers, casinos, notary public, trust and company service providers, independent accountants and legal professionals have to report if any suspicious transaction was found.
Likewise, Office of the Company Registrar (OCR, Land Revenue Offices (LRO) and Department of Customs (DoC) and others are also put under the legally obliged government agencies to report the suspicious transactions.
