BP · VIDEOLECTURE

PMLA

Chapter notes, video classes, MCQ practice tests and quick-revision one-liners for VIDEO LECTURES OF ASHISH SIR (FOR ALL SCALES) — Bank Promotions.

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Q

What does PMLA stand for in the context of Indian banking law?

A

PMLA stands for Prevention of Money Laundering Act, enacted in 2002 and enforced from July 1, 2005, to prevent money laundering and confiscate proceeds of crime.

Q

What is the year of enactment of the Prevention of Money Laundering Act in India?

A

PMLA was enacted in 2002 and came into force in 2005.

Q

Which authority is the nodal agency for enforcement of PMLA in India?

A

The Enforcement Directorate (ED) under the Ministry of Finance is the nodal agency responsible for enforcement of PMLA in India.

Q

Which ministry administers the Prevention of Money Laundering Act?

A

The Ministry of Finance administers PMLA.

Q

What is the primary objective of the Prevention of Money Laundering Act, 2002?

A

The primary objective of PMLA is to prevent money laundering, attach and confiscate property derived from money laundering, and provide for matters connected therewith.

Q

What is the maximum punishment for money laundering under PMLA?

A

Maximum punishment is seven years imprisonment and fine.

Q

What is the term 'money laundering' as defined under PMLA?

A

Money laundering means projecting or claiming any proceeds of crime as untainted property, i.e., converting illegally obtained funds into apparently legitimate assets.

Q

What is the full form of STR in the context of PMLA compliance?

A

STR stands for Suspicious Transaction Report.

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