The Reserve Bank of India (RBI) and Financial Intelligence Unit- India (FIU-IND) signed a Memorandum of Understanding (MoU) for enhanced coordination and information exchange. The RBI and FIU-IND MoU will facilitate coordinated efforts towards effective compliance with Prevention of Money Laundering Act and Rules framed thereunder.
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| RBI, FIU-IND sign MoU for Enhanced Coordination and Information Exchange |
RBI - FIU-IND sign MoU for enhanced coordination and information exchange
The Reserve Bank of India (RBI) and Financial Intelligence Unit- India (FIU-IND) signed a Memorandum of Understanding (MoU) for coordinated efforts in effective implementation of requirements of the Prevention of Money Laundering Act and Rules framed thereunder.
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According to the MoU, FIU-IND and RBI will cooperate with each other in the areas of mutual interest including the following:
- Each Party to the MoU will appoint a nodal officer and an alternate nodal officer to interact with the other party.
- Sharing of relevant intelligence and information, available in their respective databases.
- Laying down procedure and manner in which the regulated entities/ reporting entities report to FIU-IND under the PML Rules.
- Conducting outreach and training for regulated entities /reporting entities.
- Upgradation of Anti-Money Laundering/Combating Financing of Terrorism (AML/CFT) skills in the regulated entities / reporting entities regulated by RBI.
- Assessment of Money Laundering/Terror Financing (ML/TF) risks and vulnerabilities in the relevant financial sub-sectors.
- Identification of red flag indicators for Suspicious Transactions.
- Supervising and monitoring the compliance of reporting entities regulated by RBI with their obligations under PMLA, PML Rules and RBI instructions.
- Compliance with the relevant international standards.
- Conduct a quarterly meeting to discuss and share information on issues of mutual interest.
The MoU Signed By
The MoU was signed by Vivek Aggarwal, Director, FIU-IND and R.L.K. Rao, Executive Director, Department of Regulation, Reserve Bank of India.
About FIU-IND
Financial Intelligence Unit – India (FIU-IND) was established by the Government of India on 18 November 2004 as the central national agency responsible for receiving, processing, analysing and disseminating information relating to suspicious financial transactions.
FIU-IND is also responsible for coordinating and strengthening efforts of national and international intelligence, investigation and enforcement agencies in pursuing the global efforts against money laundering and financing of terrorism.
FIU-IND is an independent body reporting directly to the Economic Intelligence Council (EIC) headed by the Finance Minister.
Functions of FIU-IND
The main function of FIU-IND is to receive cash/suspicious transaction reports, analyse them and, as appropriate, disseminate valuable financial information to intelligence/enforcement agencies and regulatory authorities . The functions of FIU-IND are:
Collection of Information: Act as the central reception point for receiving Cash Transaction reports (CTRs),Non-Profit Organisation Transaction Report(NTRs), Cross Border Wire Transfer Reports (CBWTRs), Reports on Purchase or Sale of Immovable Property (IPRs) and Suspicious Transaction Reports (STRs) from various reporting entities.
Analysis of Information: Analyze received information in order to uncover patterns of transactions suggesting suspicion of money laundering and related crimes.
Sharing of Information: Share information with national intelligence/law enforcement agencies, national regulatory authorities and foreign Financial Intelligence Units.
Act as Central Repository: Establish and maintain national data base on the basis of reports received from reporting entities.
Coordination: Coordinate and strengthen collection and sharing of financial intelligence through an effective national, regional and global network to combat money laundering and related crimes.
Research and Analysis: Monitor and identify strategic key areas on money laundering trends, typologies and developments.
Organization Strength of FIU-IND
FIU-IND is a multi disciplinary body with a sanctioned strength of 75 personnel. These are being inducted from different organizations namely Central Board of Direct Taxes (CBDT), Central Board of Excise and Customs (CBEC), Reserve Bank of India (RBI), Securities Exchange Board of India (SEBI), Department of Legal Affairs and Intelligence agencies.
Reserve Bank of India (RBI)
The Reserve Bank of India was established on April 1, 1935 according to the provisions of the Reserve Bank of India Act, 1934. The headquarters of the Reserve Bank was initially established in Kolkata but was permanently moved to Mumbai in 1937.
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Initially the bank was privately owned, but since nationalization in 1949 it is fully owned by the Government of India.
Governor of RBI
The current Governor of the Reserve Bank of India is Sanjay Malhotra. He replaced Shaktikanta Das as the governor.
Deputy Governor of RBI
The 4 Deputy Governors are appointed in the Reserve Bank of India (RBI), who are as follows.
- M. Rajeshwar Rao
- T. Rabi Sankar
- Swaminathan J
- Dr Poonam Gupta
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Static Current Affairs related to RBI for upcoming exams
- Establishment: 1 April 1935
- Headquarters: Mumbai, Maharashtra
- Governor: Sanjay Malhotra
- Deputy Governor: Swaminathan J, M. Rajeshwar Rao, T. Rabi Sankar and Poonam Gupta
- Ownership: Ministry of Finance , Government of India
Static Current Affairs related to FIU-IND for upcoming exams
- Formation: November 18, 2004
- Headquarters: New Delhi
- Director: Vivek Aggarwal, IAS
- Minister responsible: Nirmala Sitharaman, Minister of Finance
- Employees: 75
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