Interpretation of the Anti-Money Laundering Law of the People's Republic of China

Author: Jian An
Publisher:
Publish Date: 2006-11-01
Features: The legislative purpose of the "Anti-Money Laundering Law" is to prevent money laundering activities, maintain financial order, and curb money laundering crimes and related offenses. Therefore, the "Anti-Money Laundering Law" primarily focuses on preventing money laundering activities, while sanctions and against money laundering crimes are stipulated in the "Criminal Law." The term "anti-money laundering" referred to in this law is limited to the prevention of money laundering activities. The entities responsible for implementing prevention and monitoring measures include not only financial institutions and specific non-financial institutions that are required by regulations to fulfill anti-money laundering obligations but also relevant departments of the State Council. The objects of prevention and monitoring are "money laundering activities," which refer to activities that conceal or disguise the sources and nature of criminal proceeds as defined in Article 2 of this law through various means. The content of prevention and monitoring includes both the customer identification system, customer identification information and transaction record retention system, and large transaction and suspicious transaction reporting system established and implemented by financial institutions and specific non-financial institutions that have anti-money laundering obligations according to this law, as well as supervision, investigation, and international cooperation carried out by anti-money laundering administrative departments and other departments legally responsible for money laundering supervision.