Summary The amendments would help further strengthening SECP's AML/CFT regime
ISLAMABAD (Dunya News) – The Securities and Exchange Commission of Pakistan (SECP) has proposed certain amendments in the Anti Money Laundering (AML) and Countering Financing of Terrorism (CFT) Regulations, 2018.
The amendments that are in line with the Financial Action Task Force (FATF) recommendations and international best practices have been placed on SECP s website for public consultation.
The amendments would help further strengthening SECP s AML/CFT regime, said a press release issued by the Commission on Wednesday.
The proposed amendments elaborate on the Risk Based Approach requiring regulated persons (RPs) including; securities brokers, futures brokers, insurers, Takaful operators, non-banking finance companies (NBFCs) and Modarabas to conduct risk assessment that is aligned with Pakistan s latest National Risk Assessment and ensure implementation of Targeted Financial Sanctions.
The minimum information required for the purpose of KYC/CDD has been listed to make documentation requirements simple and clearer.
Moreover, the draft amendments provide more clarity on verification for Beneficial Ownership, close associates and family members of politically exposed persons.
The RPs are encouraged to use technological solutions for screening and monitoring of transactions as per best practices. The SECP has tried to address the regulated sector s feedback regarding gaps in the implementation of AML/CFT Framework.
