FATF (Financial Action Task Force) has said that India is facing threat from active terrorist organizations linked to ISIL and Al Qaeda in and around Jammu and Kashmir.
The steps taken by India on terror financing and anti-money laundering have been considered effective by FATF.
However, the organization has pointed out the need for further improvement in some things. According to FATF, India still needs to make further improvements in the system of punishment in cases related to terror financing and anti-money laundering.
Internal sources are responsible for money laundering
At the same time, the main source of money used in money laundering is also internal. FATF says that illegal activities going on in the country are the main reason for money laundering.
Meanwhile, the non-profit sector also needs to be protected from terrorist activities, so that the organizations of this sector cannot be exploited for terror financing.
The report further says, ‘Law enforcement agencies regularly use financial intelligence and other important information related to money laundering. Through this, potential criminals of money laundering and terror financing are estimated. Agencies attach a large number of properties / accounts of the accused at the very beginning of the investigation, due to which in many cases the criminals are not able to escape with the money.’
According to the report, ‘The process of conviction in money laundering cases has been affected many times due to constitutional challenges (resolved in 2022). Many cases remain pending and the court has more cases than its capacity. However, now the cases of conviction are increasing, along with the pending cases are also decreasing.’
