The two secretaries of state favored tough measures in the PMLA, arguing that money laundering poses a serious threat to the country’s integrity and sovereignty while arguing that the amendments to the law were evolutionary.
The organization said Sinha in his December 1999 speech “set the tone for the coming years in the fight against money laundering”. As P Chidambaram said, in his address to the Rajya Sabha in December 2012, he explained the need for amendment(s) to the law. His son Karti Chidambaram has challenged the constitutional validity of several provisions of the law, which were upheld by the Supreme Court on Wednesday. Chidambaram and his son are facing CBI and ED investigations for alleged “money laundering”.
“Money laundering, i.e., the purge of proceeds of crimes such as extortion, treason, drug trafficking, arms smuggling, etc., is a serious threat to the integrity and sovereignty of a country and its financial systems. This is a threat to the state,” Sinha said in his speech in the House of Representatives as Foreign Minister in 1999: The nation and its economy have been recognized all over the world.” “The point I make is that we have picked up some heinous crimes, as I said at the beginning, which are of a very serious nature, and are passing this money laundering legislation so that the proceeds from those crimes and property are dealt with. acquired as a result under this Act.”
Chidambaram said in a speech to Rajya Sabha on behalf of FM in December 2012 that money laundering is a “technically defined” crime. “This is not how we understand money laundering in a colloquial sense. It is a technically defined crime… It is more than turning black money into white money or white money into black. At first, the thought was unless the person was convicted of an original crime, no You can convict him of money laundering. But that thinking has evolved now. The FATF has now come to the view that if the predicate offense generated certain proceeds and dealt with those proceeds, you may be convicted of money laundering. What we are trying to do is make This law is in line with the laws recommended by the FATF, and all countries are obligated to bring their laws along the same lines… All I do is try to say that this is an evolutionary process.”
The Supreme Committee also referred to a speech given by Finance Minister Nirmala Sitharaman in her discussion on the Finance Act 2019, where she made it clear that it would be wrong to say that the crime of money laundering is an “immediate one-time crime”.