Cabinet has approved the amended of Private Voluntary Organisations Act in order to combat money laundering and terrorism.
Speaking at a post cabinet briefing, Public Service, Labor and Social Welfare minister Sekai Nzenza said the amendment seeks to ensure PVOs are not used as conduits for money laundering and terrorist activities.
“Cabinet received a presentation from the Minister of Public Service, Labor and Social Welfare on the principles to amend the Private Voluntary Organisations Act [Charper 17:05] in order to be in compliant with the requirements of the Financial Action Task Force (TATF) on combating money laundering and financing terrorism by individuals and institutions.
“Cabinet approved the principles and directed the Minister to issue instructions for the drafting of the actual bill,” she said.
Minister Nzenza said key provisions of the provisions are that all information regarding beneficial ownership be disclosed among others.
“Key provisions include that at registration of PVO , all essential information regarding the beneficial ownership and interest in a PVO be disclosed.
“That where the beneficial ownership and interest is not disclosed, registration be declined,” she said.
She said if a PVO falsifies information their licence will be null and void.
“That it be a criminal offence to falsify information on the beneficial ownership and interest of the PVO and where such registration had been made earlier without disclose, it be be deemed null and void,” she said.