FINANCIAL CBK COURT STAYS FOR PUT SCRUTINISEIN LARGE EXHIBITS CASH TRANSACTIONS ROW WITH MPs

THE Central Bank of Kenya (CBK) has defended its decision not to publish regulations on the limitation of large cash transactions as MPs breathe fire over the bank’s controversial circulars.

What has infuriated legislators the most is the fact that CBK has chosen, without parMr Mwamba

liamentary approval, to rely on its circulars requiring the local object financial to the institutions application not to give receive more money time exceeding to the acSh1 cused million person without so as to the peruse customer through providing the documents. its source.

We Financial have heard institutions the aphave plication also by been defence barred and from we ausymphasise thorising with withdrawals them, above we don’t have any objections the Sh1 accused’s million without request explanato adjourn tion the for the matter intended for use him of the scrutinise cash. the exhibits,” state The submitted. requirement for the However, publication by magistrate CBK Governor Sandford Patrick Ngobola Njoroge in of regulations his ruling said governing no person large deposits has the and right to withdrawals check the are submitted in line with documents it is the court

Section 33 of the Banking has discretion to allow not. Act that became effective on Since October the 1, 2018. state has no objection, However, I will Dr Njoroge allow the notes application, that it is impractical the accused to impleperuse ment Section through 33 of the Banking documents,” Act in ruled a document Mr Ngobola. presented Previously, in Parliament, saying magistrate it will be Ngobola difficult after to check the illicit financial state closed its prosecution’s witnesses flows and like the money evidence laundering adduced, and terrorism it found financing. Mwamba He a further case faults to answer the law, and saying placed it attempts him to on override his deother fense. requirements on deposits and withdrawals that may be set by banks for their customers Wishimanga advises

in terms and conditions and conflicts with the Proceeds Mwiinga’s case

of Crime and Anti-Money Laundering Act.

“The law does not ensure the safety and soundness of bank transactions.

Hichilema The directives current processes that corwere concluded intended within to 90 strengthen days, Lusathe advised safety the and state soundness to finish of the bank to President Edgar Lungu,

transactions benefitting from corrupt practices.

experiences in other countries,” continuation of trial on Tuesday, taken a says long CBK. time to finish and in the Section next sitting. 33 of the Banking hear Act the requires matter CBK in two to develop days see regulations what would prescribing follow afconditions on deposits and withand drawals company within pleaded 30 days not from possession of property suspected to

the date of coming into force than K41 million and more

of Section 65 of the Finance Act. The law came into force on Lusaka is charged with his Mercy October Mwenda 31, 2018. aged 56 for reasonably “No suspected other persons to other be prothan the CBK Forfeiture can issue of Proceeds regulations of on Zambia. deposits and withdrawals. All representative existing guidelines of Hichikey or farm regulacharges. tions on deposits and withamong others, a house in

drawals by customers would NAPSA Housing Complex in

become null and void within 14 properties in Chililabombwe. Parliament days when of the he coming addressed into force the of application the Banking of National regulations,” Values the has put Banking in place Act states. systems - DAILY and are NATION, handled Kenya in a speedy and