Money laundering law set to cover realty agents, jewellers

NEW DELHI: Real estate agents, gems and precious metals traders will soon come under the ambit of country's anti-money laundering law. The Union Cabinet on Tuesday approved changes to the Prevention of Money Laundering Act that seeks to make them reporting entities under the law to bring it on par with international standards.

"The Bill has been cleared and the government may introduce it in the current session of Parliament," said a government official.

India has promised to strengthen its anti-money laundering regime after it became a member of the the Financial Action Task Force, or FATF, a global body set up to spearhead fight against money laundering and terror financing .

The amendments to the PMLA will bring the law more closer to the international standards established by the FATF. The FATF had the law cover non-financial professionals and businesses, such as lawyers, commodity brokers real estate agents and jewellers and ensure they are effectively regulated.