The Kenyan government has committed to monitoring the financial activities of high-ranking politicians and government officials, among them President Ruto, as part of a deal with the International Monetary Fund (IMF).
Business Daily reports that the Treasury assured IMF that from next year, the government will track the flow of cash of politically exposed persons(PEPs), including their bank accounts, to ascertain their known sources of income.
The move is aimed at preventing the country from being locked out of the global financial system for money laundering.
Consequently, the Financial Reporting Centre (FRC), Kenya’s anti-money laundering watchdog, is preparing amendments to the Proceeds of Crime and Anti-Money Laundering Act and Regulations.
The amended regulations will compel financial institutions to reveal sources of cash for top politicians, families and business associates.
The changes in the regulations follow a report by an international anti-money laundering team that revealed deficiencies in Kenya’s anti-money laundering law on reporting financial transactions done by politically exposed persons (PEPs) who include the president, ministers, MPs, parastatal CEOs, high-ranking judges, high-ranking military officers, and board members of top firms.
“To help prevent the laundering of illicit proceeds from corruption, the authorities plan by end-June 2023 to submit to the National Assembly, draft amendments to the Proceeds of Crime and Anti-Money Laundering Act and Regulations to address gaps in the AML/CFT legal framework, including requirements on politically exposed persons [PEPs], in line with FATF standards,” the IMF said in a report after approving a $447.39 million disbursement to Kenya on Monday.
“To this end, the authorities aim to prioritize ensuring compliance by banks with enhanced due diligence measures for higher risk customers, including PEPs, through AML/CFT risk-based supervision.”
The amendments to Kenya’s money laundering law will also require financial institutions to conduct enhanced scrutiny of their entire business relationship with a PEP and make a suspicious transaction report to the FRC if higher risks are identified.
They would need to monitor…
They would need to monitor their mattresses as well as other dugouts holes hiding looted cash! We all know it’s a club of thieves that protects itself by pretending to be fighting the same thieves!!!
Another USA capture of…
Another USA capture of Kenyan affairs. Mtalilia choo once you allow uncle Sam to enter his head in affairs judiciary can handle .Uncle sam is the proverbial camel that asked to be let to rest its head in a house later entered its whole body!. Don’t take me wrong,am not advocating corruption. No!..but even in USA,politicians bank there wealth in dubious offshore accounts.
European Parliament received…
European Parliament received bribes from Qatar & Morocco.
Now that you have let us…
Now that you have let us know what you will do, let us also know what you do with the culprits, once caught. Nothing serious has been happening after such kind of criminals against public coffers, etc. have been caught nowadays in Kenya. Shame, shame, shame!