PARIS, France: The Financial Action Task Force (FATF) concluded its third plenary under the Singaporean presidency, showcasing progress in combating corruption, proposing a revised non-profit standard for public consultation, and addressing challenges in implementing the FATF standard on virtual assets.
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FBR’s efforts help Pakistan exit FATF grey list
ISLAMABAD: The Federal Board of Revenue (FBR) has said that its efforts in preventing tax crimes helped Pakistan to exit grey list of Financial Action Task Force (FATF).
Like many other governmental organizations, FBR has played a key role in completing the FATF action plans relating to DNFBPs, cash smuggling, investigating tax crimes for money laundering and confiscating the proceeds of tax frauds.
In 34 items of the FATF action plans, FBR has directly dealt with at least 8 actions and spearheaded the process of their implementation.
In order to ensure compliance with regard to DNFBPs, FBR has issued AML/CFT regulations, conducted extensive outreach programs to educate about DNFBPs, established a dedicated IT-based DNFBP Management System, launched customized mobile App for registrations and screening purposes, carried out a large number of onsite inspections and imposed a wide range of penalties for non-compliance.
READ MORE: FATF removes Pakistan from grey list
Similarly, in the area of cash smuggling, FBR Customs has fortified cross-border controls and implemented a comprehensive mechanism to combat cash smuggling by all means possible.
Likewise, FBR has also undertaken a large number of money laundering investigations against the tax crimes and made significant confiscations in this regard.
FBR also dedicated one of its senior officers, Mohammad Iqbal, who has made significant contributions to completing the FATF action plans while on deputation for 3 years in NACTA and later supervised the tasks related to DNFBPs.
Asim Ahmad, Chairman FBR/ Secretary Revenue Division, has felicitated all the government organizations and their key personnel including the concerned officers of Inland Revenue Service and Pakistan Customs who have worked tirelessly for the exit from the FATF grey list.
The Chairman FBR reiterated FBR’s unflinching resolve and an unwavering commitment to continue implementing the anti-money laundering and combating financing terror regime in the areas supervised by FBR.
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Pakistan to stay on FATF grey list till onsite visit
BERLIN: Pakistan will stay on the grey list despite making compliance to all the action plans set by the Financial Action Task Force (FATF). An onsite visit to Pakistan is required to verify the implementation of the country, a statement issued on Friday by the watchdog said.
However, Pakistan has not been officially removed from the FATF’s grey list.
READ MORE: FATF retains Pakistan in grey list; admits progress
The watchdog said that FATF will “monitor the COVID-19 situation and conduct an on-site visit at the earliest possible date”.
The FATF officials will hold a press briefing shortly on the outcomes of the four-day plenary session of the watchdog that reviewed Pakistan’s action plans.
READ MORE: Pakistan urges FATF to take action against Indian plot
A government official had earlier said in a conversation with the BBC that matters will take seven to eight months to settle even after Pakistan has made its way out of the watch list as the FATF team will visit Pakistan for an inspection.
READ MORE: Pakistan likely to exit from FATF’s grey list
Pakistan had launched a massive diplomatic effort to get off the FATF grey list. Minister of State for Foreign Affairs Hina Rabbani Khar, who is also the chair of Pakistan’s National FATF Coordination Committee, is leading the Pakistan delegation at the plenary meeting that started on June 14, 2022.
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FATF retains Pakistan in grey list; admits progress
The Financial Action Task Force (FATF) on Thursday kept Pakistan in the grey list or increased monitoring list with an acknowledgment of completing almost all the action plans.
Pakistan has been on the grey list for deficiencies in its counter-terror financing and anti-money laundering regimes since June 2018.
Announcing the decision, FATF President Dr Marcus Pleyer said that Pakistan had to complete two concurrent action plans with a total of 34 items. “It has now addressed or largely addressed 30 of the items,” he said.
“Its most recent action plan from June this year, which largely focused on money laundering deficiencies, was issued after the FATF’s regional partner — the Asia Pacific Group — identified a number of serious issues.
“Overall, Pakistan is making good progress on this new action plan. Four out of the seven items are now addressed or largely addressed.”
He said that this included showing that financial supervisors are conducting on-site and off-site checking on non-financial sector businesses and enacting legislative amendments to improve international cooperation.
Commenting on the action plan devised in 2018 which focused on terror financing, the FATF president said that Pakistan was still assessed to have largely addressed 26 out of 27 items.
“Pakistan has taken a number of important steps but needs to further demonstrate that investigations and prosecutions are being pursued against the senior leadership of UN designated terror groups,” he said.
All these changes are about helping authorities stop corruption, preventing terrorism and organized criminals from benefitting from their crimes, he said, thanking the government for their “continued strong commitment” to the process.
Responding to a question about whether Pakistan would be blacklisted for its failure to act against those on the UN terrorism list, Dr Pleyer said that the country had completed 30 items out of 34 on two action plans.
“This shows the clear commitment of the Pakistani government so there is no discussion on blacklisting Pakistan and the FATF urges the country to address the remaining four items,” he said, adding that the government was cooperating with the financial watchdog.
Pakistan will remain on enhanced follow-up, and will continue to report back to the APG on progress to strengthen its implementation of AML/CFT measures. Pakistan’s fourth progress report is due 1 February 2022.
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FBR apprises realtors about FATF requirements
ISLAMABAD: Dr. Muhammad Ashfaq Ahmed, chairman of the Federal Board of Revenue (FBR) has apprised the real estate agents about the requirement of the Financial Action Task Force (FATF).
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Pakistan urges FATF to take action against Indian plot
ISLAMABAD – Pakistan has formally requested the Financial Action Task Force (FATF) to take immediate action against what it alleges to be India’s concerted efforts to politicize the international watchdog and influence decisions to place Pakistan on the grey list.
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FATF retains Pakistan in grey list
ISLAMABAD: The Finance Action Task Force (FATF) on Friday kept Pakistan in ‘grey list’ despite the country has made significant progress of addressing 26 action plan out of 27.
FATF President Dr Marcus Pleyer in a press conference announced that Pakistan will continue to remain on the increased monitoring list, also known as the grey list.
Admitting the performance of the country FATF President Dr Marcus Pleyer said: “Pakistan has made significant progress and it has largely addressed 26 out of 27 measures.”
Pleyer, however, added that the action plan on financial terrorism still needed to be addressed.
“In 2019, the regional partner of FATF identified problems in Pakistan’s anti-money laundering measures. But since then it has improved. There remains risk of money laundering and subsequently FATF had discussions with Pakistan.
“I want to thank the Pakistan government for their continued commitment to address the concerns and make the necessary changes they were asked to effect,” Pleyer said.
The FATF president said all action plan items needed to be addressed and goals fulfilled for countries to exit the grey list.
“All countries are equal. This is also our expectation from the Pakistan government.”
In its last presser following a plenary, on Feb 25, FATF President Dr Marcus Pleyer had said Pakistan remained under increased monitoring, adding, “while Islamabad has made significant progress, there remained some serious deficiencies in mechanisms to plug terrorism financing”.
Pakistan has been on the FATF’s grey list for deficiencies in its counter-terror financing and anti-money laundering regimes since June 2018.
Until the last assessment, Pakistan was found deficient in acting against organisations allegedly linked to the terror groups listed by the UN Security Council, prosecuting and convicting banned individuals and tackling smuggling of narcotics and precious stones.
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Pakistan likely to exit from FATF’s grey list
KARACHI: The plenary meeting of Financial Action Task Force (FATF) is scheduled to start from June 21, 2021. The meeting may decide to give green signal to Pakistan for white list or maintain its status in the grey list.
The virtual plenary meeting of the FATF will continue till June 25, 2021. It is hoped the watchdog would give clear Pakistan from its strict monitoring list as the country had done immense progress in meeting the required actions.
The Asia Pacific Group on Money Laundering (APG) – an arm of FATF- in its mutual evaluation of Pakistan released in May 2021 welcomed the efforts of the country in meeting most of the actions set by the FATF.
“Overall, Pakistan has made notable progress in addressing the technical compliance deficiencies identified in its MER and has been re-rated on 22 Recommendations.
“Recommendations 14, 19, 20, 21 and 27 have been re-rated to compliant, and recommendations R.1, 6, 7, 8, 12, 17, 22, 23, 24, 25, 30, 31, 32, 35 and 40 to largely compliant.
“Recommendation 28 has been re-rated to partially compliant. Insufficient progress has been made to re-rate Recommendation 38. Compliance with Recommendation 37 has been downgraded to non-compliant,” the report said.
Pakistan government is hopeful that the FATF would delist the country from grey list.
“Pakistan has achieved compliant rating in 31 out of 40 FATF recommendations (MER technical compliance). This is the parallel scrutiny being undertaken at FATF besides our current action plan. Upgrade of 20 criteria in less than 2 years is unprecedented in FATF history for any country,” Hammad Azhar, a federal minister, said in his tweet on June 04, 2021.
The FATF put Pakistan in grey list in the year 2018.
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Pakistan complies with 31 requirement of FATF
KARACHI: Asia Pacific Group (APG) on Money Laundering has published results of Pakistan’s second Mutual Evaluation follow-up Report on 2 June 2021.
As per the report, Pakistan has achieved compliant/largely compliant rating in 31 out of 40 Recommendations of Financial Action Task Force (FATF) in Technical Compliance.
These results prove the sincerity along with resolve of the Government in complying with FATF requirements.
These results are also a manifestation of the irreversibility and sustainability of the complete process in bringing Pakistan at par with Global AML/CFT standards.
These results are manifestation of a whole of government approach adopted to achieve the same.
An upgrade of 21 Recommendations within this short period of time remains unprecedented in FATF history.
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FATF keeps ‘grey’ status for Pakistan despite significant progress
ISLAMABAD: Financial Action Task Force (FATF) on Thursday kept Pakistan in its grey list despite acknowledging significant progress made by the country.
“As all action plan deadlines have expired, the FATF strongly urges Pakistan to swiftly complete its full action plan before June 2021,” a statement of the FATF said.
The FATF takes note of the significant progress made on the entire action plan. “To date, Pakistan has made progress across all action plan items and has now largely addressed 24 of the 27 action items,” according to the note.
Since June 2018, when Pakistan made a high-level political commitment to work with the FATF and APG to strengthen its AML/CFT regime and to address its strategic counter-terrorist financing-related deficiencies, Pakistan’s continued political commitment has led to significant progress across a comprehensive CFT action plan, including by: demonstrating that law enforcement agencies are identifying and investigating the widest range of TF activity, demonstrating enforcement against TFS violations, and working to prevent the raising and moving of funds including by controlling facilities and services owned or controlled by designated persons and entities.
Pakistan should continue to work on implementing the three remaining items in its action plan to address its strategically important deficiencies, namely by:
(1) demonstrating that TF investigations and prosecutions target persons and entities acting on behalf or at the direction of the designated persons or entities;
(2) demonstrating that TF prosecutions result in effective, proportionate and dissuasive sanctions; and
(3) demonstrating effective implementation of targeted financial sanctions against all 1267 and 1373 designated terrorists, specifically those acting for or on their behalf.