The ambit of the Prevention of Money Laundering Act (PMLA), 2002 is being widened, as after covering professional such as CAs, CWAs and CS, the government has now included directors of companies, partners of firms, trustees of express trusts as well as nominee shareholders as “reporting entities” under the Act.
Further, persons acting as formation agents of companies and LLPs and providing a registered office, business address or accommodation, correspondence or administrative address for a company or an LLP or a trust are also designated as reporting entities.
I believe that the objective of the latest notification is to to curb the menace of shell companies in the country.
Sharing my thoughts on this development, in this article published by Financial Express
#pmla #whitecollarcrime #forensics #shellcompanies
