SRO 31(I)/2018 – Compliance of UNSC Resolution on AML

GOVERNMENT OF PAKISTAN
SECURITIES AND EXCHANGE COMMISSION OF PAKISTAN -.-.-.- Islamabad, the 12 th January, 2018 NOTIFICATION S.R.O. 31(I)/2018.- WHEREAS the United Nations Security Council (UNSC) sanctions committee, pursuant to the Resolution 1267 (1999) and other subsequent resolutions, concerning ISIL (Daésh)/ Al-Qaida and Taliban Sanctions Committees and their associated individuals, approves the addition, amendments and deletion in the consolidated list of individuals and entities subject to the sanctions covering assets freeze, travel ban and arms embargo set out in the Security Council resolutions adopted under
Chapter VII of the Charter of the United Nations;
AND WHEREAS the Government of Pakistan under the United Nations (Security Council) Act, 1948 gives effect to the decisions of the UNSC whenever the consolidated list maintained by the Sanctions Committee is updated. The Ministry of Foreign Affairs issues the Statutory Regulatory Orders (SROs) to give legal cover for implementing sanction measures under the UNSC resolutions. The consolidated lists available at the UN sanctions committee’s website, are regularly updated and can be accessed at following link; www.un.org/sc/committees/1267/aq_sanctions_list.shtml AND WHEREAS, the Government of Pakistan has already prescribed penalty upto Rs 10 million for non-compliance of sanctions regime being implemented through SROs under the UN (Security Council) Act, 1948; AND WHEREAS, for implementing sanction measures under United Nations Security Council Resolution 1373(2001), the Ministry of Interior issues Notifications of proscribed individuals /entities pursuant to the Anti-Terrorism Act, 1997. The consolidated list under UNSC Resolution 1373 available at the National Counter Terrorism Authority’s website, is regularly updated and can be accessed at following link; http://nacta.gov.pk/proscribed-organizations/ AND WHEREAS, Section 453 of the Companies Act, 2017 requires that every officer of a company shall endeavor to prevent the commission of any fraud, offences of money laundering including predicated offences as provided in the Anti-Money Laundering Act, 2010 (VII of 2010) with respect to affairs of the company and shall take adequate

measures for the purpose failing which punishment of imprisonment for a term which may extend to three years and with fine which may extend to one hundred million rupees shall be imposed; AND WHEREAS, the obligations/ prohibitions regarding proscribed entities and persons mentioned in the above list are applicable, on an ongoing basis, to proscribed/ designated entities and persons or to those who are known for their association with such entities and persons, whether under the proscribed/ designated name or with a different name. NOW THEREFORE, and in pursuance of the Section 453 of the Companies Act, 2017 read with section 510 thereof, the Securities and Exchange Commission of Pakistan hereby prohibits every officer of a Company from providing any assistance and funding including charity/ donation to the entities and individuals listed under the consolidated list (as mentioned above) and are advised to ensure compliance of the requirements in letter and spirit. No. SY/SECP/8/13