FIU-IND and NHB Join Forces Against Money Laundering

The Financial Intelligence Unit and the National Housing Bank have signed a Memorandum of Understanding to enhance anti-money laundering and counter-terrorism financing efforts in India's housing finance sector, emphasizing compliance, training, and risk assessment.

The Financial Intelligence Unit (FIU-IND) and the National Housing Bank (NHB) have formalized a strategic partnership to bolster India's fight against money laundering and terrorism financing. The collaboration, encapsulated in a Memorandum of Understanding (MoU), was officially inked in New Delhi on Saturday, according to an announcement by the Ministry of Finance.

The MoU, signed by FIU-IND Director Vivek Aggarwal and NHB Managing Director Sanjay Shukla, establishes a framework for cooperation focused on anti-money laundering (AML) and counter-financing of terrorism (CFT) within the housing finance sector. As part of this agreement, both organizations will appoint nodal officers to oversee communication and ensure alignment on regulatory issues.

This pact aims to streamline the reporting processes for housing finance companies, enhancing their compliance with the Prevention of Money Laundering Act (PMLA) and related rules. Furthermore, the MoU emphasizes the importance of training and outreach programs to equip these entities with the necessary skills to detect and prevent financial crimes effectively. Regular assessments and quarterly reviews will ensure ongoing compliance and adaptation to emerging financial crime trends.

(With inputs from agencies.)