Islamabad: The Financial Action Task Force (FATF) has decided to keep Pakistan’s status on its gray list of countries.
Due to its failure to comply with 6 of the 27 points in the action plan of the global terrorist financing and money laundering supervision agency, the country has consistently ranked among the top.
The Paris-based global regulatory agency to curb terrorist financing and money laundering activities held a virtual plenary meeting from October 21 to 23 and reviewed Pakistan’s progress in its 27-point action plan.
FATF Chairman Dr. Marcus Player said at the video conference that once the remaining six conditions are met, the “site visit” will be approved, and a FATF team will visit the country for the next review. He said that the new deadline for Pakistan to meet the remaining conditions is February 2021.
The FATF president went on to say that as long as Pakistan can be seen progressing and fulfilling the requirements, it will be given a chance. Two countries, Iceland and Mongolia, were also removed from the FATF’s “black list”.
The statement added that Pakistan needs to work in four areas to address its strategic shortcomings, including proving that law enforcement agencies are identifying and investigating the widest range of terrorist terrorist activities, and that terrorist investigations and prosecutions target designated individuals and Entities, and entities acting on behalf of designated persons or entities. “
Pakistan also needs to demonstrate that “TF prosecutions result in effective, proportionate and dissuasive sanctions,” it said. In other words steps that are seen as “cosmetic” without lasting impact will not do, said a person familiar with the matter.
Pakistan will also need to demonstrate the “effective implementation of targeted financial sanctions against all 1267 and 1373 designated terrorists and their representatives or terrorists’ representatives to prevent the raising and transfer of funds, including NPOs (non-profits) involved in identifying and freezing assets. Organize) (movable and immovable property), and prohibit access to funds and financial services.” Resolution, the above-mentioned person said.
Besides this, Pakistan needed to show “enforcement against TFS (targeted financial sanctions) violations, including in relation to NPOs, of administrative and criminal penalties and provincial and federal authorities cooperating on enforcement cases,” it said.