Assets (Money) Laundering Prevention Act, 2008

Added by the Asset (Money) Laundering Prevention and Business Environment Promotion Related Some Acts Amendment Act, 2080.(e1) "Proliferation Financing" means the investment of assets or funds for the act of developing, manufacturing, producing, purchasing or selling, distributing, using, possessing, acquiring ownership, transferring, storing, stockpiling, transporting or managing, exporting or importing, or causing to do so, of any nuclear, chemical, biological (bacteriological) or toxic weapons, contrary to the prevailing law.

(f) "Politically Exposed Person" means a domestic politically exposed person, a foreign politically exposed person or a senior official of an international organization, and the said term shall also include a person of the class specified by the Government of Nepal by publishing a notice in the Nepal Gazette on the recommendation of the Coordination Committee.

(g) "Correspondent Banking" means an arrangement under which one financial institution provides banking services to its customer through another financial institution.

(h) "Proceeds of Crime" means any kind of property obtained or acquired directly or indirectly from money laundering related offenses or predicate offenses, and the said term shall also include other property or financial benefit accrued from such property, or property or benefit transferred or converted partially or fully in any manner.

(i) "Instrumentalities Related to Offense" means instrument, property or any other tool used or sought to be used in any manner partially or fully to commit money laundering related offenses or predicate offenses.

(j) "Transaction" means an agreement made for purchasing, selling, distributing, transferring, investing, possessing or using property or conducting any other economic or commercial activity, or any of the following acts:

(1) establishing a business relationship,

(2) opening an account,

(3) depositing or collecting funds, making payments, payment orders, exchange or transfer of funds, through electronic or any other means, through any kind of currency or instrument,

(4) using any kind of safe deposit (locker),

(5) establishing a fiduciary relationship,

(6) making or receiving payment in full or in part based on any legal or contractual obligation,

(7) making or receiving payment based on a game involving winning or losing on the basis of lottery, bet or chance,

(8) establishing or registering a legal person or legal arrangement,

(9) performing any other act specified by the Government of Nepal by publishing a notice in the Nepal Gazette.

(k) "Legal Arrangement" means an express trust or other legal arrangements of a similar nature.

(l) "Legal Person" means a company, corporation, cooperative organization or any other organized entity, and the said term shall also include a private firm, partnership or non-governmental organization.

(m) "Fund" means any kind of property, financial asset, economic resource or means, tangible or intangible, movable or immovable, physical or non-physical added by the Asset (Money) Laundering Prevention and Business Environment Promotion Related Some Acts Amendment Act, 2080. or natural, electronic or digital, obtained in any manner or accrued therefrom, and the said term shall also include legal documents, instruments, certificates or any instrument evidencing title or interest over such property or instrument or resource, whether electronically or in any other form:

(1) Bank loans,
(2) Traveler's cheques,
(3) Bank cheques,
(4) Money orders,
(5) Shares,
(6) Securities,
(7) Bonds,
(8) Drafts,
(9) Letters of credit,
(10) Any other economic or financial resource.

(n) "Designated Non-Financial Business or Profession" means a professional or business person engaged in any of the following business activities:

(1) Casino or internet casino business operator,

(2) Real estate purchase or sale business operator,

Added by the Asset (Money) Laundering Prevention and Business Environment Promotion Related Some Acts Amendment Act, 2080.(2a) Vehicle sales business operator or business operator providing loans for purchasing such vehicles,

(3) Business operator dealing in specified precious metals or goods,

(4) Notary public, auditor, accountant or other business person performing similar nature of work, when performing, preparing for, or engaging in the following acts on behalf of their client or party:

(a) Real estate purchase or sale,
(b) Management of client's money, securities or other assets,
(c) Management of bank, savings or securities related activities,
(d) Management of contributions and investments made during the establishment or operation of a legal person,
(e) Creation, establishment, registration, amended by the Asset (Money) Laundering Prevention and Business Environment Promotion Related Some Acts Amendment Act, 2080. accounting, revenue, financial or business advice or operation, management of a legal person or legal arrangement,

Added by the Asset (Money) Laundering Prevention and Business Environment Promotion Related Some Acts Amendment Act, 2080.(e1) Auditing for the purpose of Section 7dha., or

(f) Purchase or sale of any business organization.

(5) Company or trust service provider who professionally provides the following services when performing, preparing for, or engaging in the following acts on behalf of their client or party:

(a) Acting as an agent for the establishment, registration or management of a legal person or legal arrangement,
(b) Acting as a partner, director, secretary or similar officer of a legal person or arranging for another person to do so,
(c) Providing a registered office, address or place professionally to a legal person or legal arrangement or undertaking correspondence for the same,
(d) Acting as a trustee of a legal arrangement or other legal arrangements of a similar nature or nominating a trustee or arranging for another person to do so, or
(e) Acting as a shareholder on behalf of any person pursuant to the prevailing law or performing or causing to perform acts through any other person.

(6) Other professionals or business operators specified by the Government of Nepal by publishing a notice in the Nepal Gazette.

(o) "Prescribed" or "as prescribed" means prescribed or as prescribed in the rules made under this Act.

(p) "Bearer Negotiable Instrument" means a monetary instrument including traveler's cheque, cheque, promissory note or money order, and other negotiable instruments, whether in complete or incomplete form, which is in bearer form, in a fictitious name, can be used by the bearer without anyone's authority, or payment can be received by whosoever receives it.