Pact signed to prevent money laundering

KATHMANDU, DEC 07 -

The Financial Information Unit (FIU) of Nepal Rastra Bank that collects information about suspicious financial transactions has signed a memorandum of understanding (MoU) with FIU of India to prevent money laundering by sharing information. The two sides signed the MoU two weeks ago, according to Nepal’s FIU. Dharma Raj Sapkota, chief of the FIU, and Prabin Kumar Tiwari of Indian FIU signed the pact.

“This MoU will help control money laundering and terrorist financing activities through sharing of information and helping building each other’s capacity to do so,” said the FIU in a press release. “It will also help Nepal to get membership of Egmont Group, an informal organisation comprising more than 100 foreign FIUs.” Nepal has signed similar MoUs with seven other countries.

The FIU, established on April 21, 2008, is Nepal’s national agency responsible for receiving, processing, analyzing and disseminating financial information and intelligence on suspected money laundering and terrorist financing activities. It forwards the information to the Anti-Money Laundering Department for legal action. (PR)

Source: Kantipur