Financial Intelligence Unit

The Financial Intelligence Unit (FIU) has imposed a fine of Rs 54 lakh on the Union Bank of India for "failing" to report suspicious transaction reports and for not undertaking due diligence under the anti-money laundering law for certain accounts at one of its branches in Mumbai. The federal agency issued the penalty notice under section 13 of the Prevention of Money Laundering Act (PMLA) on October 1 as it observed that the charges against the lender were "substantiated" after it considered written and oral submissions made by the Bank. The investigation started, pursuant to an observation by the FIU, and a "comprehensive review" of the Bank's operations was undertaken, which uncovered certain "irregularities" related to KYC/AML (know your customer/anti-money laundering laundering) compliance. "An independent examination of specific current accounts maintained at Union Bank of India, Hill Road Branch, Mumbai, revealed that the accounts of an NBFC (non-banking financial company) an

World's largest cryptocurrency exchange violated India's anti-money laundering regulations, says Financial Intelligence Unit

FIU-India has lifted ban from Kucoin while proceedings on Binance's application are underway

The Financial Intelligence Unit has slapped a fine of more than Rs 1.66 crore on Axis Bank for "failing" to put in place a mechanism to detect and report suspicious transactions carried out at one of its branches by creating a "fraud" account in the name of counter-terrorist commando force NSG. The federal agency has issued an order on June 3 under Section 13 of the Prevention of Money Laundering Act (PMLA) that empowers its Director to impose a monetary penalty on a reporting entity (like Axis Bank) if the agency finds that its designated director on the board or any of its employees failed to comply with the obligations mandated under the said law. A query sent to Axis Bank did not elicit an immediate response. According to the summary order accessed by PTI, the case pertains to an instance where "an employee of Axis Bank was alleged to have been complicit in a large-scale fraud and corruption scandal, in collusion with others." The Financial Intelligence Unit (FIU) order said th

India to have 48 registered crypto entities after KuCoin, Binance register

Director bats for self-regulatory mechanism

India's Financial Intelligence Unit (FIU) has operationalised an advanced 2.0 version of its information technology system, armed with artificial intelligence and machine learning tools, to check money laundering and terrorist financing crimes in the country's economic channels. The upgrade of the technological backbone was required as the volume of data (suspicious transaction reports) flagged by banks and various other financial institutions to the FIU for analysis and further dissemination to investigative and intelligence organisations has been "increasing", a latest report for the 2022-23 fiscal said. The agency was set up in 2004 to "play a decisive role in India's fight against the menace of money laundering and terrorism financing" under the legal setup of the Prevention of Money Laundering Act (PMLA). The recently released report has been accessed by PTI which says that the Financial Intelligence Network (FINnet) 2.0 was envisaged as the country's regulatory environment has

A fresh set of 'alert indicators' have been issued by India's financial intelligence unit (FIU) for capital markets, insurance companies, online payment gateway intermediaries and crypto currency service providers for effective checking of suspicious transactions in their channels as part of the anti-money laundering and counter-terrorism financing regime. These new guidelines have been issued under the provisions of the Prevention of Money Laundering Act (PMLA) during the 2022-23 financial year and published in a recently released report that has been accessed by PTI. This is part of the anti-money laundering (AML) and combating the financing of terrorism (CFT) regime followed by the country as part of which financial institutions and intermediaries are mandated to share suspicious transaction reports (STRs) with the FIU which subsequently analyses them and shares them for action with various investigative and intelligence agencies. FIU proactively engages with the financial sector

After scrutiny of documents, FIU had issued a compliance Show Cause Notice to the bank for its violations of PML rules, including Know Your Customer

Financial Intelligence Unit-India (FIU-IND) has imposed a Rs 5.49 crore penalty on Paytm Payments Bank for violating anti-money laundering rules, the Finance Ministry said on Friday. FIU-IND initiated a review of Paytm Payments Bank on receipt of specific information from law enforcement agencies in respect of few entities and their network of businesses engaged in a number of illegal acts, including organising and facilitating online gambling. The money generated from these illegal operations, i.e. proceeds of crime were routed and channelled through bank accounts maintained by these entities with the Paytm Payments Bank Ltd, the ministry said. "The Financial Intelligence Unit-India (FIU-IND),... has imposed a monetary penalty of Rs 5.49 crore on Paytm Payments Bank Ltd with reference to the violations of its obligations under the PMLA (Prevention of Money Laundering Act)," the ministry said. The FIU passed its order imposing the penalty on February 15. The FIU action follows RBI

American online payments gateway service provider PayPal has registered its operations with the Financial Intelligence Unit of India, about six years after a protracted legal battle ensued between the two entities. Official sources told PTI that the company has completed the formal procedure of being designated as a reporting entity under the Prevention of Money Laundering Act (PMLA) recently and has submitted the requisite documents to the Financial Intelligence Unit (FIU). PayPal has also appointed a principal officer, as stipulated under the anti-money laundering law, for conducting official communication with the FIU while the appointment of a director, as envisaged under the same law, is in process, they said. "PayPal has registered as a reporting entity with the Financial Intelligence Unit-India, in compliance with the Reserve Bank of India's recent regulatory framework governing cross-border payment aggregators (PA-CB), which is applicable to the PA-CB industry," a PayPal ...

The Financial Intelligence Unit (FIU) under the finance ministry issued the show cause notices to VDA platforms like Binance, the largest cryptocurrency exchange, and Kucoin last month

This comes after the finance ministry's FIU last month issued show cause notices to nine offshore crypto exchanges for operating in India 'illegally'

They complain about delayed or no disclosure from investment managers

The exchange will also have information on the exchanges which are operating on the dark web

Mudrex has become the third crypto platform to be registered with the FIU after WazirX and CoinDCX

As per the Prevention of Money Laundering Act (PMLA), 2002, a reporting entity is required to conduct KYC verification of the customers and maintain their records

Cryptocurrency news: On Tuesday, the Centre issued a notification to bring VDAs under the ambit of anti-money laundering law in India

The penalty was issued by India's Financial Intelligence Unit (FIU)

The appellate tribunal for PML held that though banks had not reported the matter to the authorities