Constitutional, Legislative Affairs Committee of Egypt’s Parliament approves amendments to Anti-Money Laundering Law

CAIRO – 16 May 2022: The Constitutional and Legislative Affairs Committee of the Egyptian House of Representatives, finally approved, on Sunday, a government-drafted bill calling for amending the Anti-Money Laundering Law promulgated by Law No. 80 of 2002.

 

The committee will prepare a report on the draft law, which was approved by the government on April 20, 2022, to be presented to the parliament members in the plenary session.

 

As per the new amendments, an independent unit for combating money laundering and terrorist financing shall be established in the Central Bank of Egypt (CBE).

 

The unit shall have a board of trustees headed by a judicial expert whose experience is no less than 15 years in the Court of Cassation or one of the Courts of Appeal. It shall also include the Attorney General or his representative, the Deputy Governor of the Central Bank, the Vice Chairman of the Financial Supervisory Authority, the Chairman of the Council of Ministers Advisers, a representative of the Federation of Egyptian Banks and nominated by the Federation, an expert in economic affairs to be chosen by the Prime Minister, and the Executive Director of the Anti-Money Laundering Unit.

 

A sufficient number of experts from members of the judiciary and specialists in areas related to the application of the provisions of this law will be attached to the unit, and provide the necessary qualified and trained workers.

 

The unit shall have an executive director, who shall be appointed by the chairman of the Board of Trustees and specify his terms and duties.

 

According to the new amendments, financial institutions, non-financial professionals and businesses, and any other natural or legal person shall implement the mechanisms that would be issued by the Unit, in the implementation of international agreements, treaties and covenants related to the financing of terrorism and the financing of the proliferation of weapons of mass destruction.

 

Anyone who violates the provisions of the above-mentioned term shall be punished by imprisonment for a period not exceeding one year or a fine between 100,000 EGP and 300,000 EGP.

 

In cases of money laundering and related offenses and terrorism financing offenses, law enforcement and investigative authorities shall conduct parallel financial investigations by themselves or with the assistance of competent authorities to determine the source of these funds or assets.