FATF could blacklist Pak if it fails to curb terror financing, money laundering till Oct meet
The Financial Action Task Force (FATF) has given an ultimatum to Pakistan stating it curb terror financing and money laundering failing which it has a real chance of being blacklisted. Till then Pakistan will stay on the grey list.
In a statement after the plenary meeting in Orlando, Florida, the FATF raised concerns that Pak not only failed to complete its action plan items with January deadlines, it also failed to complete its action plan items due May 2019. The FATF has condemned Pakistan twice for its failure to demonstrate a proper understanding of Pakistan’s transnational terror financing risk. Pakistan has not moved on 25 out of 27 action plans identified for it in October 2018.
In October, when the plenary meet will be held in Paris, Pakistan will need the backing of about 15 nations to bail it out of the grey list. At the moment, Pakistan is relying on the hope that China would take over the presidency of FATA and help it jump off the grey zone. Pakistan’s anti-terror laws are not yet in conformity with FATF guidelines.
Till now Pakistan has seized 800 properties including schools, hospitals and other charitable institutions, of JUD, FIF and JeM and arrested some of their leaders and recently moved the students of JUD and FIF schools to government schools. FATF has questioned Pakistan on the funding of these terror group-run schools. The provincial govern has also taken over the running the properties and asked about the source of funds for these bodies. Islamabad had earlier declared that it takes Rs 180 crore a year to run these institutions. Also, the FATA is upset with Pakistan as it has not yet taken any action against terrorist assets and ammunitions and has asked for an elaborate action on it.