Pakistan set to contend being placed on terror 'grey list' at key FATF meeting

NACTA has undertaken and proposed many steps on the subject in the last few months

ISLAMABAD: Extensive work being undertaken by National Counter Terrorism Authority (NACTA) to check money laundering and terrorism financing will be key for Pakistan to avoid being put on the black list by Financial Action Task Force (FATF) when the body meets in June.

NACTA has undertaken and proposed many steps in this regard in the last few months.

The authority, in collaboration with stakeholders like Federal Board of Revenue (FBR), State Bank of Pakistan (SBP), Anti-Narcotics Force (ANF), Federal Investigation Agency (FIA) & Intelligence Agencies, has taken the lead role in regulating the movement of cash across land and other routes to effectively combat money laundering and terrorist financing.

Introduction of Money Declaration Forms for both in-bound and out-bound international passengers with the purpose to implement SBP's rules on currency limits of US$ 10,000/visit and US$ 60,000/annum (the permissible limit of money which can be taken out of Pakistan) has been a major step.

On the other hand, FIA’s centralised Integrated Border Management System's (IBMS) link is connected to the customs department for effective profiling of passengers and targeted search & seizure of contraband items and illegitimate currency.

Pakistan to go on FATF terror financing list in June

An online link has also been provided to NACTA, enabling NACTA to effectively monitor the travel related activities of the persons on Schedule IV of Anti Terrorism Act, 1997.

NACTS officials also informed that the volume of cash transfer through mobile phone/ branchless banking has reached approximately Rs600 billion. To monitor these transactions, NACTA, in consultation with National Database Registration Authority (Nadra) and SBP, has presented its recommendations to further tighten monitoring.

NACTA is working in collaboration with all the police departments and counter-terrorism departments (CTDs) of the country for effective implementation of FATF recommendations. Also, police set-ups in the provinces have been sensitised and educated about their obligation and role. The CTDs are been engaged continuously for improving the registration of cases of terror financing, timely conclusion of investigations and securing convictions from the courts.

To prevent misuse of NGOs, NPOs and charities for terrorist financing, NACTA has already submitted a draft law which is compatible with anti-money laundering/combating the financing of terrorism standards. The draft law has been circulated among all provinces for their feedback. After the input of the provinces, it will be submitted to the government for legislation.

NACTA has made available on its website a complete list of proscribed organisations so that no public donations can be made to such organisations. Similarly, list of credible and certified charities, NPOs or NGOs has also been made public on NACTA’s website so as to divest public donations to credible philanthropic organizations and block funding of dubious organisations.

NACTA is also devising an effective policy to regulate the activity of disposal, collection of hides on Eid-ul-Azha and provinces are being consulted to ensure smooth implementation.