Money Laundering Prevention Act 2064

Chapter-6 Provisions on Investigation and Inquiry

Section 16: Function, Duties and Powers of the Investigation Officer
1) The functions, powers and duties of the investigation officer, subject to the general direction and control of the head of the investigating office, shall be as follows:
(a) To order any government agency, regulator, reporting entity and related person to provide documents, records, statements, notices and information related to the offence of money laundering and terrorist financing,
(b) To conduct a search of any government entity, regulator, reporting entity, person and any other place at which any document, write-up, material, facts, information, or instruments that may constitute evidence of an offence of money laundering and terrorist financing is reasonably believed to be located, and to seize such document, write- up, material, facts, information, or instruments or property or instrumentality related with the offence, provided that a written receipt in a prescribed form is given to the concerned person or official for all items seized in the course of the search,
(c) To arrest a person and detain a person, as per prevailing laws, if the investigation officer has reasonable grounds to believe that such person accused of or suspected of involving in money laundering or terrorist financing may abscond or destroy or hide evidence or likely to obstruct or create adverse influence in the investigation process,
(d) To require any person with information or reasonably believed to have information related to the offence of money laundering or terrorist financing to provide information, statement or supplementary statement,
(e) If the person, while giving a statement or supplementary statement under Sub-section (d), is found it necessary to provide additional information, he can be released on the investigation officer‘s own undertaking by taking a written commitment or asking for bail and in case of inability to provide bail, detain with the consent of the court,
(f) To trace, identify and evaluate the properties and instrumentality fully and effectively in order to freeze or seize such property or instrumentality pursuant to section 18,
(g) To write to the Financial Information Unit if there is reasonable ground to believe that foreign Financial Intelligence Unit may have any information,
(h) To carry out the other functions as prescribed.
2) The head of the investigating office can impose a fine of up to five lakh rupees on the basis of the report of the investigating officer if the person does not follow the order given during the investigation of the crime related to the cleaning of property and financial investment in terrorist activities.
3) Notwithstanding anything contained in sub-section (2), if any person is found not to have complied with the order issued pursuant to section 18 to withhold property or means with a view to assist him in committing offences relating to the laundering of property and the financing of terrorist acts, such person shall not be barred from being investigated and prosecuted for offences relating to the laundering of property and the financing of terrorist acts.