Warning over money laundering activities

 PEOPLE and organisations engaged in money laundering activities have been warned to stop or face the law, Bank of PNG Governor Loi Bakani says. 

Bakani made the comment following establishment of a committee to deal with money laundering matters in PNG.

PNG Anti-Money laundering and Counter Terrorist Financing National Coordinating Committee was set up by National Executive Council in 2012. 

Its role is to coordinate all actions towards detecting and deterring money laundering and terrorism financing in PNG.

Bakani said penalties for non-compliance of the laws included imprisonment of up to five years and K500,000 fine. 

He said an assessment was done by World Bank on how measures in place are fighting counter terrorism and money laundering.

“It was found that we are deficient in a lot of key areas and that is why Government made the decision to form this committee and to take leadership over,” Bakani said. He said money handlers have to have in place those anti-money laundering measures within them in terms of their operations.

“If they dont comply, they will be held accountable for it.”  

Department of Justice and Attorney-General deputy secretary Nichodemus Mosoro said money laundering is money obtained from illegal activities.