Pakistan’s Legislative Measures to fight the menace of Money Laundering with Special reference to FATF

Abstract

The study aims to outline Pakistan's progress to remove itself from the FATF's Grey List, such as the actions taken in terms of legislation, administration, and judicial activism to meet the FATF's action plan and Global general standards on this issue. It discusses money laundering with respect to Pakistan and the significant channels that are deeply rooted in it. It analyses the loopholes in the previous laws, flaws in prosecuting agencies, and administrative drawbacks that permeated this issue on Pakistani soil. It further discusses the functioning and mandate of a global watchdog, FATF, which aims to prevent money laundering and terror financing, and its efforts in Pakistan to culminate this global threat. However, the main emphasis is on the legislative measures taken by Pakistan to effectively fulfill the recommendations and prescribed action plan. It also expatiates Pakistan’s response, its commitment, follow-up of an implementation plan and FATF guidelines, amending and passing three-dozen statutes, and its administrative and judicial actions. Such actions are of great significance as it shows Pakistan’s dedicated efforts and commitment to curb this menace nationally and globally. Thus, the need for further actions is also incorporated, and the grey areas are highlighted where work and efforts are needed. The paper concludes with the further prospects of Pakistan after its removal from the “Grey List” after satisfactory compliance with an action plan by the watchdog, or there will always be a threat of being included in the aftermath of removal.