Landmark bill targets money laundering
The mainland's top legislators are reviewing the country's first legislation to combat money laundering, a bill designed to crack down on rampant financial crimes involving officials.
Lawmaker Feng Shuping , of the National People's Congress, was quoted by Xinhua as saying that for the first time, a law had been drafted to target corruption, bribery, fraud and other illicit transfers of money.
'Money laundering has become a prominent problem in China, which not only damages the country's financial order, but also threatens economic security and social stability,' said Ms Feng, a vice-director of the NPC's Budget Affairs Commission.
She said the law would also help Beijing strengthen international co-operation and become a member of the world's anti-money-laundering body, the Financial Action Taskforce. China became a taskforce observer early last year.
Ms Feng said illicit cash flows were rampant because of loopholes in existing regulations and the increasing prevalence of smuggling, drug dealing and corruption.
The mainland's three anti-money-laundering regulations were issued by the central bank in 2003 and only deal with suspicious transactions in the banking sector.
Under legislation in draft form since March 2004, insurance, securities, legal, accounting firms, and real estate and auction companies will also be scrutinised.
