Treasury seeks green light on tougher money laundering law
National Treasury Principal Secretary Julius Muia.
What you need to know:
- Under the proposed law, assets seized from suspects linked to corruption and money laundering will be sold and the money invested in government bonds.
- Dozens of government officials and business people have appeared in court in recent months on charges relating to alleged theft of hundreds of millions of shillings from public coffers.
The State has invited public comments on a planned law that will bring casinos, land and luxury vehicle transactions under close scrutiny as it moves to close loopholes that criminals and corruption cartels use to launder illicit cash.
National Treasury Principal Secretary Julius Muia said Tuesday the proposed law will lay the groundwork for the first ever national strategy on combating money laundering.
“The National Treasury has finalised preparing the Proceeds of Crime and Anti-Money Laundering (Criminal Assets Recovery Fund) (Administration) Regulations, 2020,” said Dr Muia in a public notice posted on dailies.
“The National Treasury invites interested members of the public to submit any comments or inputs or memoranda they may have on the said regulations…by Friday 28th August.”
Under the proposed law, assets seized from suspects linked to corruption and money laundering — especially goods or property that depreciate or decay fast — will be sold and the money invested in government bonds if Parliament adopts proposals meant to allocate the properties for public good.
Dozens of government officials and business people have appeared in court in recent months on charges relating to alleged theft of hundreds of millions of shillings from public coffers.
The Ethics and Anti-Corruption Commission and the Assets Recovery Agency have in recent years recovered billions of shillings, largely in cash and land, from proceeds of corruption and money laundering. There is, however, no legal regime guiding the use of assets seized by the State agencies.
