New Delhi: In a move to strengthen the fight against money laundering and terrorism financing, the Financial Intelligence Unit-India (FIU-IND) and the Insurance Regulatory and Development Authority of India (IRDAI) signed a Memorandum of Understanding (MoU) today, a PIB press release stated.
The agreement aims to enhance coordination and information exchange between the two agencies, ensuring effective implementation of the Prevention of Money Laundering Act (PMLA) and its associated rules.
The MoU, signed by Vivek Aggarwal, Director of FIU-IND, and Satyajit Tripathy, Member (Distribution) of IRDAI, outlines a framework for cooperation in several areas. These include sharing relevant intelligence and information from their respective databases, establishing procedures for reporting suspicious transactions to FIU-IND, and conducting training programs for insurance entities regulated by IRDAI. The agreement also includes the appointment of a nodal officer and an alternate nodal officer by each party to the MoU.
The agreement also emphasizes the importance of enhancing anti-money laundering and combating financing of terrorism (AML/CFT) capabilities within the insurance sector. Both agencies will collaborate to assess AML/CFT risks and vulnerabilities in the sector, identify red flags for suspicious transactions, and supervise the compliance of insurance entities with their obligations under PMLA and IRDAI guidelines.
The MoU underscores the commitment of both FIU-IND and IRDAI to international standards in combating financial crimes. The agreement includes provisions for quarterly meetings to review progress, discuss emerging trends in AML/CFT, and share information on cases where sanctions have been imposed.