New money laundering law [Archives:2003/09/Business & Economy]

BY YEMEN TIMES STAFF
The government of Yemen has begun taking legal steps against money laundering. This move falls within the government’s efforts for fighting terrorism and its origins in compatibility with efforts exerted against financial and administrative corruption.
Although the Central Bank of Yemen confirms that the country is free from any phenomena of money laundering, the government has prepared a precautionary draft law in cooperation with a specialized committee set inside the bank.
The law, expected to be passed by the parliament, explains money laundering r hiding the actual source of revenues gained from illegitimate activities or hiding their real source.
The Yemeni government has made up its mind to implement the law with the aim of providing practical protection for investment process against businesses that are unparalleled to competition and to prevent speculation with value of the national currency.
The law identifies the illegitimate properties as all revenues connected to one of the following crimes:
-crimes stipulated in the law on combating kidnapping and highway robberies,
-stealing or embezzlement of public properties or laying hand on them by trickery means or bribery,
-seizing private properties punishable according to the criminal law,
-money forgery,
-legally punishable smuggling ,
-illegal trading with weapons,
-growing, manufacturing or dealing with drugs.
The law considers a money launderer anyone who helped or encouraged or began or hid information on perpetrating any of the mentioned acts.
Also, all the acts that lead to confound the state and broaden the scope of corruption are deemed among the causes leading to incriminate their perpetrator. The government has warned, in its remarks to parliament, against worldwide spread of money laundering particularly with the development of communication technology and electronic transfers.
The law has defined in one of its articles duties of financial institutions and made it incumbent on them to open accounts to be certain of names of persons and documents concerning accounts and also to inform competent authorities on any operation suspected to be of money laundering.
The law stipulated the formation of a committee on money laundering, the setting up of which should be under a decree by the prime minister proposed by the Central Bank.
The committee should comprise representatives from the ministries of justice, finance, interior and foreign affairs. The committee is responsible for preparing regulations for action against money laundering and to be referred to the prime minister to be endorsed.
The committee would also facilitate the exchange of information and coordination with parties represented in the committee as well as holding symposiums and workshops on the issue of money laundering.
The law also allowed receiving and handing over the criminals in accordance with international valid laws and agreements which Yemen has approved. The law permits the committee to carry out the exchange of information and measures with the concerned sides in foreign countries regarding this subject.
The law named the punishments pertaining to this issue with issuing a sentence of an imprisonment not exceeding five years and confiscating properties in question on whoever committed or took part of hid information on the crime of money laundering.
Convicted persons would have properties confiscated and licenses abolished as well as suspending his activities.

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