Topics Covered: Various Security forces and agencies and their mandate.
Pakistan risks FATF blacklisting:
Pakistan might be pushed into the Financial Action Task Force’s (FATF) ‘black list’ next month as it continues to finance and tolerate terrorist organisations.
- According to a report, terrorist organisations, such as Jamaar-ud-Dawa (JuD) and Jaish-e-Muhammed (JeM), continue to operate with impunity in Pakistan.
What is FATF Blacklist?
It is a list of countries that the intra-governmental organisation considers non-cooperative in the global effort to combat money laundering and the financing of terrorism.
- In October, the FATF decided that Pakistan will continue to be on its greylist and asked it to continue to work on implementing an action plan to address its strategic deficiencies.
- Pakistan is on the FATF’s grey list since June 2018 and the government was given a final warning in February 2020 to complete the 27 action points by June in the same year.
- The FATF extended the June deadline to September due to the spread of coronavirus that disrupted the FATF plenary meetings.
- The Financial Action Task Force (FATF) is an inter-governmental body established in 1989 on the initiative of the G7.
- It is a “policy-making body” which works to generate the necessary political will to bring about national legislative and regulatory reforms in various areas.
- The FATF Secretariat is housed at the OECD headquarters in Paris.
Roles and functions:
- Initially it was established to examine and develop measures to combat money laundering.
- In October 2001, the FATF expanded its mandate to incorporate efforts to combat terrorist financing, in addition to money laundering.
- In April 2012, it added efforts to counter the financing of proliferation of weapons of mass destruction.
- G7 vs G8 vs G20.
- Black vs Grey list.
- Are FATF’s decisions binding on member countries?
- Who heads the FATF?
- Where is its secretariat?
What is the mandate and objectives of the Financial Action Task Force? Discuss.
Sources: Economic Times.