To curb terror funding, capital markets regulator SEBI on Friday changed its anti-money laundering guidelines. Under this, now a partner holding 10 percent stake in a company will be considered as the beneficial owner. Earlier this limit was 15 percent.
SEBI took this step after the government amended the Prevention of Money Laundering (Maintenance of Records) Rules or PMLA rules in September. According to the new instructions of the Securities and Exchange Board of India (SEBI), the beneficial owner in a partnership firm will be one who owns more than 10 per cent of the capital or profits or acquires such ownership through any other means.
The regulator has given this arrangement under the amended instructions on anti-money laundering standards and combating the financing of terrorism. The Principal Officer will be responsible for providing information to the Financial Intelligence Unit?whether registered intermediaries are reporting suspicious transactions.