What is the primary purpose of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act?

The primary purpose of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act is to detect and deter money laundering activities. This legislation aims to combat the misuse of the financial system for the purposes of laundering illicit funds and financing terrorism. It sets out requirements for identifying and reporting suspicious transactions, thereby strengthening the integrity of the financial system. The act ensures that financial institutions are equipped with the necessary tools and guidelines to recognize and respond to potential money laundering and terrorist financing risks, thus reinforcing the overall goal of maintaining a secure and lawful financial environment.

Options relating to the establishment of a financial regulatory body, legal protection for citizens, or regulation of cybersecurity measures do not directly align with the core objectives of the Act, which centers specifically on combating the financial crimes of money laundering and terrorist financing.