§ 1Short Title and Commencement
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The Money Laundering Prevention Act, 2012 criminalises money laundering and establishes the legal framework for the prevention, detection, and prosecution of money laundering offences in Bangladesh. It applies to any person who engages in money laundering within or outside Bangladesh, and covers the proceeds of all predicate offences listed in the Act. Key mechanisms include the obligation of reporting entities such as banks, financial institutions, and insurance companies to maintain Know Your Customer procedures, report suspicious transactions, and report cash transactions above prescribed thresholds to the Bangladesh Financial Intelligence Unit. The Act also provides for the freezing, seizure, and forfeiture of proceeds of crime and regulates the investigation and prosecution of offences. It establishes the Bangladesh Financial Intelligence Unit at Bangladesh Bank as the central agency for receiving and analysing financial intelligence. Penalties include imprisonment up to 12 years and fines up to Tk. 10 lakh. The Act remains in force.
Full text · showing key sections
§ 2Definitions
Unless otherwise provided in the context or subject, in this Act—
(a) "Money laundering" means—
(1)sending or retaining money or assets outside the country in contravention of existing laws of the country; or
(2)preventing money or assets in which Bangladesh has an interest, which were eligible to be brought into Bangladesh, from being brought into Bangladesh; or
(3)not bringing actual receivables from abroad into the country or making excess payments against actual debts abroad;
(b) "Value transfer service provider" means a financial service where the service provider receives cash, cheques, or other financial instruments (electronic or otherwise) at one location and provides cash or financial instruments or otherwise equivalent value to the beneficiary at another location;
(c) "Proceeds of crime" means property derived or obtained, directly or indirectly, from the offence concerned, or any property under the custody or control of any person of such nature;
(d) "Seized" means any property temporarily brought under the control of the concerned authority or court by the appropriate authority under this Act, which shall be disposed of through a final decision on confiscation by the court;
(e) "Non-profit organization/institution (Non Profit Organisation)" means an institution incorporated under section 28 of the Companies Act, 1994 (Act No. 18 of 1994);
(f) "Financial instrument" means all documentary or electronic documents having financial value;
(g) "Financial institution" means the financial institution as defined in section 2(b) of the Financial Institutions Act, 1993 (Act No. 27 of 1993);
(h) "Court" means the court of the Special Judge;
(i) "Sequestration" means any property temporarily brought under the custody of the concerned authority or court under this Act, which shall be disposed of through a final decision by the court;
(j) "Customer" means any person or persons or entity or entities as may be defined from time to time by the [Bangladesh Financial Intelligence Unit];
(k) "Trust and company service provider" means any person or business institution which is not defined under any other law and which provides the following services to any third party—
1. forming or managing a company or other legal person;
2. acting as a director or secretary of a company or providing a registered office, business address, or administrative accommodation;
3. providing a registered office, business address, or administrative accommodation or acting as a trustee for an express trust or similar legal arrangement; or
4. acting as or arranging for another person to act as a nominee shareholder;
(l) "Suspicious transaction" means any transaction—
(b) "Value transfer service provider" means a financial service where the service provider receives cash, cheques, or other financial instruments (electronic or otherwise) at one location and provides cash or financial instruments or otherwise equivalent value to the beneficiary at another location;
(c) "Proceeds of crime" means property derived or obtained, directly or indirectly, from the offence concerned, or any property under the custody or control of any person of such nature;
(d) "Seized" means any property temporarily brought under the control of the concerned authority or court by the appropriate authority under this Act, which shall be disposed of through a final decision on confiscation by the court;
(e) "Non-profit organization/institution (Non Profit Organisation)" means an institution incorporated under section 28 of the Companies Act, 1994 (Act No. 18 of 1994);
(f) "Financial instrument" means all documentary or electronic documents having financial value;
(g) "Financial institution" means the financial institution as defined in section 2(b) of the Financial Institutions Act, 1993 (Act No. 27 of 1993);
(h) "Court" means the court of the Special Judge;
(i) "Sequestration" means any property temporarily brought under the custody of the concerned authority or court under this Act, which shall be disposed of through a final decision by the court;
(j) "Customer" means any person or persons or entity or entities as may be defined from time to time by the [Bangladesh Financial Intelligence Unit];
(k) "Trust and company service provider" means any person or business institution which is not defined under any other law and which provides the following services to any third party—
1. forming or managing a company or other legal person;
2. acting as a director or secretary of a company or providing a registered office, business address, or administrative accommodation;
3. providing a registered office, business address, or administrative accommodation or acting as a trustee for an express trust or similar legal arrangement; or
4. acting as or arranging for another person to act as a nominee shareholder;
(l) "Suspicious transaction" means any transaction—
(1)where there are reasonable grounds to suspect that the transaction involves proceeds of an offence;
(2)which is significantly different from the usual pattern of transactions of the customer concerned;
(3)which gives rise to a reasonable suspicion that the transaction may have been made in circumstances inconsistent with the business or professional activity of the customer; or
(4)which involves a significantly large amount of cash;
(m) "Prescribed" means prescribed by rules made under this Act;
(n) "Beneficial owner" means the natural person who ultimately owns or controls a customer or the natural person on whose behalf a transaction is being conducted, and includes any other natural person who exercises ultimate effective control over a legal person or arrangement;
(o) "Terrorist property" means property which—
(m) "Prescribed" means prescribed by rules made under this Act;
(n) "Beneficial owner" means the natural person who ultimately owns or controls a customer or the natural person on whose behalf a transaction is being conducted, and includes any other natural person who exercises ultimate effective control over a legal person or arrangement;
(o) "Terrorist property" means property which—
(1)has been used or is being used or in the circumstances known or reasonably suspected to the person is likely to be used in connection with any act of terrorism; or
(2)belongs to or is held by a person who commits or attempts to commit any act of terrorism; or
(3)represents any property which is being or has been used in connection with the commission or attempted commission of any act of terrorism;
(p) "Act of terrorism" means any act or threat of action—
(p) "Act of terrorism" means any act or threat of action—
(1)which involves serious violence against any person; or
(2)which endangers the life of any person; or
(3)which creates a serious risk to the health or safety of the public or any section of the public; or
(4)which involves serious damage to property; or
(5)which is designed to seriously interfere with or seriously disrupt an electronic system; or
(6)which involves the use of firearms or explosives or other inherently dangerous substances;
(q) "Laundering of money" includes any act referred to in section 4;
(r) "Proceeds of an offence" means any property derived or obtained directly or indirectly from any offence;
(s) "Property" means property of any description, whether real or personal, tangible or intangible, and includes money, currency, cheques, promissory notes, securities, negotiable instruments, and any other financial instruments;
(t) "Bangladesh Financial Intelligence Unit (BFIU)" means the Bangladesh Financial Intelligence Unit established under section 24;
(u) "Reporting entity" means—
(q) "Laundering of money" includes any act referred to in section 4;
(r) "Proceeds of an offence" means any property derived or obtained directly or indirectly from any offence;
(s) "Property" means property of any description, whether real or personal, tangible or intangible, and includes money, currency, cheques, promissory notes, securities, negotiable instruments, and any other financial instruments;
(t) "Bangladesh Financial Intelligence Unit (BFIU)" means the Bangladesh Financial Intelligence Unit established under section 24;
(u) "Reporting entity" means—
(1)banks, financial institutions, and non-bank financial institutions;
(2)money changers, money transfer agents, and payment service providers;
(3)insurance companies;
(4)stock exchanges and stock brokers;
(5)asset management companies;
(6)leasing companies;
(7)trust and company service providers;
(8)dealers in precious metals and precious stones;
(9)lawyers, notaries, and other independent legal professionals;
(10)accountants and auditors;
(11)real estate agents;
(12)dealers in high-value goods;
(13)any other entity or person as may be prescribed;
(v) "Regulatory authority" means any regulatory authority established under any law for the time being in force to regulate and supervise any reporting entity;
(w) "Terrorism" has the same meaning as assigned to it in the Anti-Terrorism Act, 2009 (Act No. 15 of 2009);
(x) "Prescribed authority" means such authority as may be prescribed by the Government;
(y) "Suspicious transaction report" means a report filed by a reporting entity with the Bangladesh Financial Intelligence Unit in respect of a suspicious transaction;
(z) "Currency transaction report" means a report filed by a reporting entity with the Bangladesh Financial Intelligence Unit in respect of a transaction involving a significant amount of cash;
(aa) "Financial intelligence unit" means the financial intelligence unit of any foreign country;
(bb) "International cooperation" means any cooperation between the Bangladesh Financial Intelligence Unit and any foreign financial intelligence unit or any other competent authority of a foreign country;
(cc) "Prescribed" means prescribed by rules made under this Act.
(v) "Regulatory authority" means any regulatory authority established under any law for the time being in force to regulate and supervise any reporting entity;
(w) "Terrorism" has the same meaning as assigned to it in the Anti-Terrorism Act, 2009 (Act No. 15 of 2009);
(x) "Prescribed authority" means such authority as may be prescribed by the Government;
(y) "Suspicious transaction report" means a report filed by a reporting entity with the Bangladesh Financial Intelligence Unit in respect of a suspicious transaction;
(z) "Currency transaction report" means a report filed by a reporting entity with the Bangladesh Financial Intelligence Unit in respect of a transaction involving a significant amount of cash;
(aa) "Financial intelligence unit" means the financial intelligence unit of any foreign country;
(bb) "International cooperation" means any cooperation between the Bangladesh Financial Intelligence Unit and any foreign financial intelligence unit or any other competent authority of a foreign country;
(cc) "Prescribed" means prescribed by rules made under this Act.
§ 3Primacy of the Act
[***] Notwithstanding anything contained in any other law for the time being in force, the provisions of this Act shall remain in effect.
§ 4Offence of Money Laundering and Punishment
(1)For the purposes of this Act, money laundering shall be deemed to be an offence.
(2)Any person who commits the offence of money laundering, or attempts to commit, abets, or conspires to commit the offence of money laundering, shall be punished with imprisonment for a term of not less than 4 (four) years and not exceeding 12 (twelve) years, and in addition to such punishment, shall be fined an amount equal to twice the value of the property involved in the offence or up to 10 (ten) lakh taka, whichever is higher:
Provided thatif the fine is not paid within the time stipulated by the court, the court may order imprisonment for the unpaid amount of the fine.
(3)The court may order confiscation to the State of the property of the convicted person which is directly or indirectly involved in money laundering or any connected offence.
(4)If a body corporate commits an offence under this Act or attempts to commit, abets, or conspires to commit such offence, action may be taken under section 27 and, subject to the provisions of sub-section (2), a fine equal to not less than twice the value of the property connected with the offence or 20 (twenty) lakh taka, whichever is higher, may be imposed and the registration of such institution may be cancelled:
Provided thatif the body corporate fails to pay the fine within the time stipulated by the court, the court may order imprisonment against the owner, chairman, or director of the body corporate, by whatever name called, in consideration of the unpaid amount of the fine.
(5)Being accused or convicted of a connected offence shall not be a prerequisite for being accused or punished for money laundering.
§ 5Punishment for Violation of Seizure or Sequestration Order
Any person who violates any seizure or sequestration order under this Act shall be punished with imprisonment for a term not exceeding 3 (three) years, or a fine equal to the value of the seized or sequestered property, or both.
§ 6Punishment for Disclosure of Information
(1)No person shall, with malafide intent, disclose to any person, institution, or media any information relating to an investigation or any other relevant information.
(2)Any information collected, received, acquired, or known by any person, institution, or agent employed or engaged under any authority conferred under this Act, during or after the term of such employment or engagement, shall not be used or disclosed for any purpose other than the purposes of this Act.
(3)Any person who violates the provisions of sub-sections (1) and (2) shall be punished with imprisonment for a term not exceeding 2 (two) years, or a fine not exceeding 50 (fifty) thousand taka, or both.
§ 7Punishment for Obstruction of Investigation or Failure to Cooperate
(1)Any person who, under this Act—
(a) obstructs an investigating officer in the course of investigation or refuses to cooperate; or
(b) refuses to submit a required report or provide information without reasonable cause;
—shall be deemed to have committed an offence under this Act.
(a) obstructs an investigating officer in the course of investigation or refuses to cooperate; or
(b) refuses to submit a required report or provide information without reasonable cause;
—shall be deemed to have committed an offence under this Act.
(2)Any person convicted of an offence under sub-section (1) shall be punished with imprisonment for a term not exceeding 1 (one) year, or a fine not exceeding 25 (twenty-five) thousand taka, or both.
§ 8Punishment for Providing False Information
(1)No person shall knowingly provide any false information regarding the source of money or the identity of oneself or the account holder, or about any beneficiary or nominee of an account.
(2)Any person who violates the provisions of sub-section (1) shall be punished with imprisonment for a term not exceeding 3 (three) years, or a fine not exceeding 50 (fifty) thousand taka, or both.
§ 9Investigation and Trial of Offences
(1)Notwithstanding anything contained in any other law for the time being in force, offences under this Act shall be investigated by a joint investigation team comprising officers from multiple investigative agencies, constituted by the Bangladesh Financial Intelligence Unit in consultation with the Government, as mentioned in section 2(t).
(2)Notwithstanding anything contained in any other law for the time being in force, offences under this Act shall be tried by a Special Judge appointed under section 3 of the Criminal Law (Amendment) Act, 1958 (Act XL of 1958).
(3)The investigating officer may also exercise powers conferred under other laws for the purpose of tracing and identifying the property of the accused person or institution, in addition to the powers under this Act.
(4)The investigating agency shall inform the Bangladesh Financial Intelligence Unit about the investigation or inquiry of offences committed under this Act.
§ 10Special Jurisdiction of the Special Judge
(1)The Special Judge may impose punishment prescribed for offences under this Act and, as the case may be, order further investigation, seizure of property, sequestration, confiscation, and such other orders as may be necessary.
(2)Where the Special Judge orders further investigation in any case filed under this Act, he shall fix a time limit for the investigating officer to submit the investigation report, which shall not exceed 6 (six) months.
§ 11Cognizance, Non-compoundability, and Non-bailability of Offences
Offences under this Act shall be cognizable, non-compoundable, and non-bailable.
§ 12Mandatory Sanction for Prosecution
(1)No court shall take cognizance of any offence under this Act for trial without the sanction of the [authority prescribed by the Government by rules], notwithstanding anything contained in the Code of Criminal Procedure or any other law for the time being in force.
(2)Before submitting the report to the court upon completion of investigation of any offence under this Act, the investigating officer shall obtain prior sanction of the [authority prescribed under sub-section (1)] and shall file a copy of the sanction letter along with the report in court.
§ 13Provision Regarding Bail
An accused person under this Act may be granted bail if—
(a) the complainant party is given an opportunity of hearing on the application for bail; and
(b) the court is not satisfied that there are reasonable grounds for believing that the accused is guilty of the charges brought against him; or
(c) he is a woman, child, or physically handicapped person, and the court is satisfied that granting bail will not obstruct the course of justice.
§ 14Seizure and Sequestration of Property
(1)Upon written application of the investigating agency, the court may order seizure or sequestration of property, proceeds of crime, or money laundering proceeds situated in Bangladesh or outside Bangladesh:
Provided thatif property, proceeds, money laundering proceeds, money, or assets connected with money laundering cannot be identified, money or assets of equivalent value from other money or assets of the accused person or institution may be seized or sequestered.
(2)In filing a written application in court for seizure or sequestration of any property under sub-section (1) [by any investigating agency], the following information shall be stated therein—
(a) full description of the property for seizure or sequestration;
(b) evidence and prima facie proof in support of the contention that the property is seizable for money laundering or any other offence;
(c) apprehension that the property may be transferred or disposed of before the disposal of the complaint if the court does not pass an order as prayed in the application.
(a) full description of the property for seizure or sequestration;
(b) evidence and prima facie proof in support of the contention that the property is seizable for money laundering or any other offence;
(c) apprehension that the property may be transferred or disposed of before the disposal of the complaint if the court does not pass an order as prayed in the application.
(3)Where any seizure or sequestration order is passed under sub-section (1), the court shall publish the matter along with the full description of the property in the official Gazette and not less than 2 (two) widely circulated national dailies [1 (one) in Bengali and 1 (one) in English] as a notice for public information.
(4)In any seizure or sequestration order under this section, the name of the accused person, father's and mother's name, husband's or wife's name, nationality, designation (if any), profession, Tax Identification Number (TIN), present and permanent addresses, and any other identification shall be stated as far as possible; however, minor discrepancies in such information shall not preclude the enforcement of the provisions of this Act.
(5)Subject to the provisions of sub-section (6), where the court passes an order for seizure or sequestration of any property of any person under this section, such property shall not be transferred or disposed of in any manner or way, nor shall any transaction related to such property be made, or such property be encumbered in any way, during the period the order remains in force, unless the court passes a different order.
(6)Where a court passes an order to seize or sequester a bank account of any person, the bank shall immediately freeze such account and shall not allow any transaction in the account from the date of receipt of the order until the order is revoked or varied by the court.
§ 15Return of Seized or Sequestered Property
(1)Where the court passes an order for seizure or sequestration of property under section 14, any person or institution other than the accused person or institution having any interest in the said property may apply to the court for its return within 30 (thirty) days from the date of publication of the seizure or sequestration order.
(2)In making an application under sub-section (1), the applicant shall state the following information in the application—
(a) the said property has no direct or indirect connection with money laundering or any connected offence;
(b) the applicant is not directly or indirectly involved in the alleged money laundering or any other connected offence;
(c) the applicant is not a nominee of the accused person or acting on behalf of the accused person;
(d) the accused person or institution has no right, interest, or ownership in the seized or sequestered property; and
(e) the applicant has right, interest, and ownership in the seized or sequestered property.
(a) the said property has no direct or indirect connection with money laundering or any connected offence;
(b) the applicant is not directly or indirectly involved in the alleged money laundering or any other connected offence;
(c) the applicant is not a nominee of the accused person or acting on behalf of the accused person;
(d) the accused person or institution has no right, interest, or ownership in the seized or sequestered property; and
(e) the applicant has right, interest, and ownership in the seized or sequestered property.
(3)Notwithstanding anything contained in sub-section (5) of section 14, where the court receives any application under this section for return of seized property, it shall give an opportunity of hearing to the applicant, the investigating agency, and the accused person or institution, and after hearing, upon review of necessary documents and if the State does not present any prima facie ground of direct or indirect connection of the property with money laundering or connected offence, and if the court is satisfied with the application filed under sub-section (1), it shall order the return of the property to the applicant by revoking the seizure or sequestration order, within the time specified in the order.
§ 16Appeal Against Seizure or Sequestration Order
(1)Any aggrieved person or institution may appeal to the High Court Division within 30 (thirty) days against any order passed by the court for seizure or sequestration of any property under this Act.
(2)Where any appeal is filed under sub-section (1), the appellate court shall give reasonable time to the parties for hearing and after hearing shall pass such order as it deems fit.
(3)Where any aggrieved person or institution appeals against a seizure or sequestration order passed by the court under section 14 in respect of any property, and the appellate court does not pass a different order, the said seizure or sequestration order shall remain in force until the disposal of the appeal.
§ 17Confiscation of Property
(1)Where any person or institution is convicted of the offence of money laundering under this Act, the court may order confiscation to the State of any property situated within or outside the country which is directly or indirectly connected with the offence.
(2)Notwithstanding anything contained in sub-section (1), where any investigation, inquiry, or trial is pending in connection with the offence of money laundering under this Act, the concerned court may, if necessary, order confiscation to the State of any property situated within or outside the country.
(3)Where a person convicted of the offence of money laundering under this Act remains a fugitive, or dies after the filing of the complaint, the court may also order confiscation to the State of the property connected with the offence of such person.
Explanation—A person shall be deemed to be a fugitive for the purposes of this section if, despite taking due steps, the person fails to surrender to the court within 6 (six) months from the date of issuance of the warrant of arrest or is not arrested within such time.
(4)Before passing an order for confiscation of any property under this section, or before filing a case or complaint, if any person or institution has purchased the property in good faith and for adequate consideration, and is able to satisfy the court that he or it did not know and had no reason to believe that the property was connected with money laundering and that he or it purchased the property in good faith, the court may, instead of ordering confiscation of the property, direct the convicted person or institution to deposit the sale proceeds in the national treasury within the time specified by the court.
(5)Where the court is unable to determine or confiscate property directly or indirectly connected with money laundering or connected offence, or where the property no longer exists due to any other use—
(a) the offence shall be deemed to be proved and the court shall determine the value of the property which would have been confiscated and shall order the convicted person to pay the said amount to the national treasury within the time specified by the court; and
(b) the convicted person may be further punished in accordance with the provisions of this Act.
(a) the offence shall be deemed to be proved and the court shall determine the value of the property which would have been confiscated and shall order the convicted person to pay the said amount to the national treasury within the time specified by the court; and
(b) the convicted person may be further punished in accordance with the provisions of this Act.
§ 18Return of Confiscated Property
(1)Where the court passes an order for confiscation of any property under section 17, any person or institution other than the convicted person or institution having any right, interest, or claim in the said property may apply to the court for its return within 30 (thirty) days from the date of last publication of the confiscation notice.
(2)Where any application is received under sub-section (1), the court shall give reasonable time to the complainant, the convicted person or institution, and the applicant for hearing, and after hearing, considering the following matters, may pass such order as it deems necessary—
(a) whether the applicant or the confiscated property or any part thereof had any connection with the offence;
(b) whether the applicant has a lawful right to the confiscated property;
(c) the time of commission of the offence and the time at which the confiscated property is claimed to have come into the ownership of the applicant; and
(d) any other information which the court considers relevant.
(a) whether the applicant or the confiscated property or any part thereof had any connection with the offence;
(b) whether the applicant has a lawful right to the confiscated property;
(c) the time of commission of the offence and the time at which the confiscated property is claimed to have come into the ownership of the applicant; and
(d) any other information which the court considers relevant.
§ 19Appeal Against Confiscation Order
(1)Any aggrieved party may appeal to the High Court Division within 30 (thirty) days against any order passed by the court for confiscation of any property under this Act.
(2)Where any appeal is filed under sub-section (1), the appellate court shall give reasonable opportunity of hearing to both parties and after hearing shall pass such order as it deems fit.
§ 20Disposal of Confiscated Property
(1)Where any property is confiscated under this Act, the Government may, with the permission of the court, sell the property by public auction or dispose of it in any other lawful and commercially profitable manner, except the property which is required to be destroyed under any other law.
(2)The money realized from the sale or disposal of the property under sub-section (1) shall be deposited in the national treasury.
§ 21Appointment of Manager or Supervisor for Seized, Sequestered, or Confiscated Property
Where any property is seized, sequestered, or confiscated under this Act, the court may, in its discretion, appoint any law enforcement agency as manager or supervisor of the said property on such conditions as it deems fit, for the purpose of complete or partial control, management, maintenance, or disposal of the property, upon application by the investigating agency or an officer authorized by it.
§ 22Appeal
Notwithstanding anything contained in any other law for the time being in force, any party aggrieved by any order, judgment, decree, or sentence passed by the court under this Act may appeal to the High Court Division within 30 (thirty) days from the date of such order, judgment, decree, or sentence.
§ 23Powers and Duties of the Bangladesh Financial Intelligence Unit
(1)For the purposes of this Act, the [Bangladesh Financial Intelligence Unit] shall have the following powers and duties, namely—
(a) to analyze or review and analyze or review information regarding cash transactions and suspicious transactions received from reporting entities [and information received through any other medium], and to collect any additional information from reporting entities [as required] for the purpose of such analysis or review and to preserve such [data], and to provide the said information to the concerned [investigating agency or] law enforcement agency for taking necessary action, as the case may be;
(b) notwithstanding anything contained in any other law, to collect necessary information or reports from reporting entities;
(c) where there are reasonable grounds to suspect that money or assets from any offence have been deposited in any account [or money from any account has been used or may be used in the commission of any offence], to direct the reporting entity not to carry out any transaction in the said account for a period not exceeding 30 (thirty) days:
(a) to analyze or review and analyze or review information regarding cash transactions and suspicious transactions received from reporting entities [and information received through any other medium], and to collect any additional information from reporting entities [as required] for the purpose of such analysis or review and to preserve such [data], and to provide the said information to the concerned [investigating agency or] law enforcement agency for taking necessary action, as the case may be;
(b) notwithstanding anything contained in any other law, to collect necessary information or reports from reporting entities;
(c) where there are reasonable grounds to suspect that money or assets from any offence have been deposited in any account [or money from any account has been used or may be used in the commission of any offence], to direct the reporting entity not to carry out any transaction in the said account for a period not exceeding 30 (thirty) days:
Provided thatif the need for obtaining correct information regarding the transactions of the said account arises, the reporting entity may be directed to suspend or freeze the transactions for a period of 30 (thirty) days, up to a maximum of 7 (seven) times;
(d) to issue necessary instructions to reporting entities from time to time for the purpose of preventing money laundering;
(e) to visit reporting entities if necessary;
(f) to arrange training for officers and employees of reporting entities [and any other institution or organization considered by the Bangladesh Financial Intelligence Unit] for the purpose of ensuring proper implementation of this Act, along with holding meetings, seminars, etc.;
(g) to perform any other necessary function for the purposes of this Act, including [supervision of the activities of reporting entities].
(2)Where any investigating agency requests any reporting entity to provide any information in the course of investigation of money laundering or suspicious transaction, such reporting entity shall, within the scope of existing law or if there are no provisions in the existing law, provide the information to the investigating agency, notwithstanding anything contained in any other law.
(3)The Bangladesh Financial Intelligence Unit may, on its own initiative or upon request, provide information relating to financing of money laundering and terrorism to any government agency for the purposes of this Act.
(4)Where any property situated in Bangladesh is required to be confiscated or returned under any order of a foreign court under a treaty or arrangement made under this Act, the court may, upon application by the Attorney General's Office, pass such order as it deems fit; similarly, the Attorney General's Office may request the State under such treaty or arrangement to implement the confiscation order of the court in Bangladesh or to bring back the said property.
(5)Notwithstanding anything contained in any other law, documents received from the appropriate authority of any foreign country under mutual legal assistance for the purposes of this Act shall be admissible as evidence in the concerned judicial court.
§ 24Bangladesh Financial Intelligence Unit
(1)For the purpose of properly executing the powers and functions conferred under this Act, there shall be a separate central body called the Bangladesh Financial Intelligence Unit (BFIU), which shall—
(a) have a separate seal and letterhead pad;
(b) have an independent office situated at the Bangladesh Bank;
(c) be provided with necessary office space, manpower, funds, administrative facilities, and other ancillary matters by the Bangladesh Bank for the execution of its functions;
(d) have a full-time head officer of the rank of Deputy Governor of the Bangladesh Bank, who shall be appointed by the Government on a contractual or other basis upon the recommendation of the selection committee formed under the Governor of the Bangladesh Bank;
(e) obtain prior approval of the Governor, Bangladesh Bank, on all administrative matters;
(f) take necessary measures, in consultation with the Government, for issuing necessary directives, formulating policies, and implementing them for the prevention of money laundering and terrorism financing;
(g) deploy such number of officers and employees in the BFIU as may be required on the request of the head officer, and if necessary, request the Government for posting or appointment of officers and employees from the Government or law enforcement agencies; and
(h) appoint contractual consultants on the request of the head officer.
(a) have a separate seal and letterhead pad;
(b) have an independent office situated at the Bangladesh Bank;
(c) be provided with necessary office space, manpower, funds, administrative facilities, and other ancillary matters by the Bangladesh Bank for the execution of its functions;
(d) have a full-time head officer of the rank of Deputy Governor of the Bangladesh Bank, who shall be appointed by the Government on a contractual or other basis upon the recommendation of the selection committee formed under the Governor of the Bangladesh Bank;
(e) obtain prior approval of the Governor, Bangladesh Bank, on all administrative matters;
(f) take necessary measures, in consultation with the Government, for issuing necessary directives, formulating policies, and implementing them for the prevention of money laundering and terrorism financing;
(g) deploy such number of officers and employees in the BFIU as may be required on the request of the head officer, and if necessary, request the Government for posting or appointment of officers and employees from the Government or law enforcement agencies; and
(h) appoint contractual consultants on the request of the head officer.
(2)For the purposes of this Act, government, semi-government, autonomous bodies, or any other concerned institution or organization shall provide information collected or preserved by them to the Bangladesh Financial Intelligence Unit on their own initiative or upon request.
(3)For the purposes of this Act, the Bangladesh Financial Intelligence Unit may provide information relating to money laundering and terrorism financing to any other government agency on its own initiative or upon request or as required.
(4)Notwithstanding anything contained in the provisions of this Act, the Government may, by rules made under this Act, delegate any of its powers under this Act to any officer or authority subordinate to it, subject to such conditions as may be specified in the rules.
§ 25Duties of Reporting Entities
(1)For the prevention of the offence of money laundering, reporting entities shall have the following [duties and responsibilities as prescribed by rules and other duties and responsibilities], namely—
(a) to maintain proper and complete information regarding the identity of the customer while managing the customer's account;
(b) where any customer's account is closed, to preserve the said [account and] transaction information for a period of not less than 5 (five) years from the date of closure;
(c) to provide the information preserved under clauses (a) and (b) to the [Bangladesh Financial Intelligence Unit] from time to time as required;
(d) where any suspicious transaction or attempted transaction as defined in section 2(y) is noticed, to immediately file a 'Suspicious Transaction Report' with the [Bangladesh Financial Intelligence Unit] on its own initiative.
(a) to maintain proper and complete information regarding the identity of the customer while managing the customer's account;
(b) where any customer's account is closed, to preserve the said [account and] transaction information for a period of not less than 5 (five) years from the date of closure;
(c) to provide the information preserved under clauses (a) and (b) to the [Bangladesh Financial Intelligence Unit] from time to time as required;
(d) where any suspicious transaction or attempted transaction as defined in section 2(y) is noticed, to immediately file a 'Suspicious Transaction Report' with the [Bangladesh Financial Intelligence Unit] on its own initiative.
(2)Where any reporting entity violates the provisions of sub-section (1), the [Bangladesh Financial Intelligence Unit or the regulatory authority of the reporting entity]—
(a) may impose a fine on the said entity ranging from not less than 50 (fifty) thousand taka to a maximum of 25 (twenty-five) lakh taka; and
(b) in addition to the fine imposed under clause (a), may cancel the permission or license of the business activities of the said entity or any branch, service center, booth, or agent thereof, or as the case may be, inform the registering or licensing authority for taking appropriate action against the said entity.
(a) may impose a fine on the said entity ranging from not less than 50 (fifty) thousand taka to a maximum of 25 (twenty-five) lakh taka; and
(b) in addition to the fine imposed under clause (a), may cancel the permission or license of the business activities of the said entity or any branch, service center, booth, or agent thereof, or as the case may be, inform the registering or licensing authority for taking appropriate action against the said entity.
(3)The amount of fine imposed under sub-section (2) shall be deposited in the national treasury.
(4)The regulatory authority of the reporting entity shall ensure compliance with sub-section (1) and duties and responsibilities prescribed by rules as part of their existing supervisory activities, and the responsibility for failure of the reporting entity to comply with sub-section (1) and duties and responsibilities prescribed by rules shall also rest on the regulatory authority.
(5)Where any reporting entity violates any provision of rules, in addition to the provisions of sub-section (1), the regulatory authority may take action under sub-section (2), and action taken in this manner shall be deemed to be taken for the purposes of the Bangladesh Financial Intelligence Unit.
§ 26Agreement with Foreign States
(1)For the purposes of this Act, the Government may enter into bilateral or multilateral agreements, conventions, or any other form of agreement recognized under international law with any foreign state.
(2)Where the Government enters into an agreement with any foreign state under this section, the Government, for the prevention of the offence of money laundering—
(a) may request the said foreign state or agency for necessary information; and
(b) shall provide information verified by the said foreign state and agency, unless it poses a threat to national security.
(a) may request the said foreign state or agency for necessary information; and
(b) shall provide information verified by the said foreign state and agency, unless it poses a threat to national security.
(3)For the purposes of this Act, the Bangladesh Financial Intelligence Unit (BFIU) may sign memoranda of understanding with foreign financial intelligence units or other concerned agencies, and under the signed memorandum of understanding, the BFIU—
(a) may request the said foreign financial intelligence unit or agency for necessary information; and
(b) shall provide information verified by the said foreign financial intelligence unit and agency, unless it poses a threat to national security.
(a) may request the said foreign financial intelligence unit or agency for necessary information; and
(b) shall provide information verified by the said foreign financial intelligence unit and agency, unless it poses a threat to national security.
(4)For the purposes of this Act, where any property situated in Bangladesh is required to be confiscated or returned under any order of a foreign court under an agreement, the court may, upon application by the Attorney General's Office, pass such order as it deems fit; similarly, the Attorney General's Office may request the State under such agreement or memorandum of understanding to implement the confiscation order of the court in Bangladesh or to bring back the said property.
(5)Notwithstanding anything contained in any other law, documents received from the appropriate authority of any foreign country under mutual legal assistance for the purposes of this Act shall be admissible as evidence in the concerned judicial court.
§ 27Corporate Criminal Liability
Where an offence under this Act is committed by an institution, every director, manager, secretary, or other officer or employee or representative of the institution having direct connection with the offence shall be deemed to have committed the offence, unless he is able to prove that the offence was committed without his knowledge or that he made all reasonable efforts to prevent the offence.
Explanation—In this section, "director" includes a member of any board of directors or management board of the institution, by whatever name called.
§ 28Good Faith Protection
No civil, criminal, administrative, or any other legal proceedings shall lie against the Government or any officer-employee of the Government, or [the Bangladesh Financial Intelligence Unit or any officer-employee thereof], or [any investigating agency or any officer-employee thereof], or any reporting entity or its board of directors or any officer-employee thereof, for any act done in good faith under this Act or under any rule, if any person is injured or likely to be injured as a result thereof.
§ 29Power to Make Rules
The Government may, by notification in the official Gazette, make rules for the purposes of this Act.
§ 30Publication of Authentic English Text of the Act
(1)After the enactment of this Act, the Government shall, as soon as practicable, publish an authentic English text translated from the Bengali text of this Act by notification in the official Gazette.
(2)In case of any discrepancy between the Bengali text and the English text, the Bengali text shall prevail.
§ 31Repeal and Savings
(1)The Money Laundering Prevention Act, 2009 (Act No. 8 of 2009) and the Money Laundering Prevention Ordinance, 2012 (Ordinance No. 2 of 2012), hereinafter referred to as the said Act and Ordinance, are hereby repealed.
(2)Notwithstanding such repeal, any action taken, case filed, or proceeding initiated under the said Act and Ordinance, if not completed, shall be completed as if taken or filed under this Act.
(3)Notwithstanding such repeal, where any offence has been committed, is under investigation, or is under trial under the Foreign Exchange Regulation Act, 1947 (Act No. VII of 1947) and the said Act and Ordinance, such offences shall be completed in accordance with the provisions of this Act as if taken or filed under this Act.
The Money Laundering Prevention Act, 2012 criminalises money laundering and establishes the legal framework for the prevention, detection, and prosecution of money laundering offences in Bangladesh. It applies to any person who engages in money laundering within or outside Bangladesh, and covers the proceeds of all predicate offences listed in the Act. Key mechanisms include the obligation of reporting entities such as banks, financial institutions, and insurance companies to maintain Know Your Customer procedures, report suspicious transactions, and report cash transactions above prescribed thresholds to the Bangladesh Financial Intelligence Unit. The Act also provides for the freezing, seizure, and forfeiture of proceeds of crime and regulates the investigation and prosecution of offences. It establishes the Bangladesh Financial Intelligence Unit at Bangladesh Bank as the central agency for receiving and analysing financial intelligence. Penalties include imprisonment up to 12 years and fines up to Tk. 10 lakh. The Act remains in force.