Two Laws On Money-Laundering To Be Rushed: Thailand

[webfact]

Two laws on laundering to be rushed

The Nation

BANGKOK: -- The Pheu Thai Party will rush through two laws to boost efficiency in fighting money-laundering after Thailand was blacklisted by an intergovernmental organisation.

Pheu Thai spokesman Prompong Nopparit said yesterday that one bill concerns terrorism financing and the other money-laundering. The bills had lapsed during the previous government.

Pheu Thai MPs would meet tomorrow to endorse the two draft bills before they are sent to the Cabinet for approval, he said.

The move would help restore the confidence of the international community in Thailand, he said, adding that the government was not ignoring the issue.

Last week, the Paris-based Financial Action Task Force (FATF) issued a statement claiming Thailand was one of 15 countries that had begun taking steps to combat terrorist financing and money-laundering but had yet to make sufficient progress in addressing the deficiencies in their regulations.

The FATF identified Thailand as uncooperative in the global efforts to combat money-laundering and terrorism financing.

Abhisit Vejjajiva, Democrat Party leader and opposition leader, said the government and Parliament would have to accelerate passage of laws and directives to stamp out money-laundering and terrorism financing. The new laws must upgrade Thai standards to the international level, he said.

Thailand would be removed from the FATF list if the government hurried to enact the legislation.

"During the past few years, I saw restrictions on the process and the organisation admitted that the government aimed to address the issue. The organisation also talked about the delay to the implementation of the operating plan," he said.

The FATF announced the blacklisting of Thailand only days after bombs went off in Bangkok and explosive devices linked to terrorism were discovered.

Abhisit said the government would also have to speedily address the reports about terrorism in Thailand.

The FATF would like to see Thailand take action against money-laundering that was related to terrorism, he said.

-- The Nation 2012-02-20

[Jayman]

Even before hearing the details of these new laws I'm already not liking it. It seems that policy makers take any chance they can to limit the freedom of the masses. Guess we need to see how this will effect the honest folks out there that regularly bring money into the country.

[chiang mai]

I agree, we need details of this, chances are the moves will be draconian.

[scorecard]

Even before hearing the details of these new laws I'm already not liking it. It seems that policy makers take any chance they can to limit the freedom of the masses. Guess we need to see how this will effect the honest folks out there that regularly bring money into the country.

A different concern . Will we see legislation which looks great, designed to impress the international folks, but in fact with few regulations, strongly lacking in local monitoring capability and process (e.g. political appointee as the head of the agency who cannot even spell money laundering), selective mnitoring, and severly lacking in resources? I hope not.

[endure]

As long as they promise not to lose any of my socks I don't see what the problem is.

[Reasonableman]

No starch in the jox, thanks.

As long as they promise not to lose any of my socks I don't see what the problem is.

[Pib]

Why does something major have to happen to get the Thai govt to move forward on known problems? The previous govt didn't really do anything to slow down money laundering (a bill lapsed during the Abhisit govt...lots of talk but no real action) and now the current PTP govt is rushing a bill on money laundering. Seems it takes being blacklisted, being flooded, being bombed, etc., to get any Thai govt to move forward.

[cloudhopper]

Just another law that they can point to but enforce selectively like the rest.

[ludditeman]

My guess is that any new laws will be about making it harder for Americans to obtain Thai bank accounts.

More about tax than terrorism IMHO.

[hyperdimension]

Hopefully we will know exactly who funded the riots of 2009 and 2010 soon.

[Time Traveller]

As long as they promise not to lose any of my socks I don't see what the problem is.

More restrictions on ordinary people is the main problem. Thai governments are traditionally not proactive but very reactive and usually introduce measures that almost always cause other problems. About 5 years ago the government introduced capital controls on money coming into the country. The result was the stock market collapsed 15% overnight and international investor confidence destroyed. Legislation is not the answer since they already have AML laws. The problem is as always enforcement. Does anyone really expect that new laws will prevent ministers and officials from being discovered with tens of millions of baht in cash stashed at their homes?

[pimay11]

Hopefully we will know exactly who funded the riots of 2009 and 2010 soon.

The chances of that are about as good as finding out how many planets in the solar system are inhabited or finding fur on a fish. I think most of us have a pretty good idea who funded the riots but proving it is another matter.

[smedly]

not sure this is primarily aimed at foreigners although the nature of the news item (the worst I've seen written) would lend you to believe it did, in a country where government officials are found to have have millions of baht stashed under the bed, oh and that article is appauling, every paragraph just says the same thing repeatedly with a few words shuffled around and actually in the end says nothing

[Orac]

Why does something major have to happen to get the Thai govt to move forward on known problems? The previous govt didn't really do anything to slow down money laundering (a bill lapsed during the Abhisit govt...lots of talk but no real action) and now the current PTP govt is rushing a bill on money laundering. Seems it takes being blacklisted, being flooded, being bombed, etc., to get any Thai govt to move forward.

Controls on money laundering will almost certainly effect money from corruption which is endemic at all levels in Thailand whichever side of the political divide you sit on.

[sparebox2]

No need to rush.

The Thaksin's still have not completed their washings.

[scorecard]

As long as they promise not to lose any of my socks I don't see what the problem is.

More restrictions on ordinary people is the main problem. Thai governments are traditionally not proactive but very reactive and usually introduce measures that almost always cause other problems. About 5 years ago the government introduced capital controls on money coming into the country. The result was the stock market collapsed 15% overnight and international investor confidence destroyed. Legislation is not the answer since they already have AML laws. The problem is as always enforcement. Does anyone really expect that new laws will prevent ministers and officials from being discovered with tens of millions of baht in cash stashed at their homes?

Agree, and there would be little doubt that that ministers / officials concerned have numerous methods of transferring the funds, hiding the funds, etc., and no matter how your change the laws and regulations they will just invent, find, develop a way around it.

[lovetotravel]

My guess is that any new laws will be about making it harder for Americans to obtain Thai bank accounts.

More about tax than terrorism IMHO.

It's an international organization, not American. Amazing how it gets related to America so quickly.

Nowhere in the article is taxation even mentioned?

[ludditeman]

My guess is that any new laws will be about making it harder for Americans to obtain Thai bank accounts.

More about tax than terrorism IMHO.

It's an international organization, not American. Amazing how it gets related to America so quickly.

Nowhere in the article is taxation even mentioned?

Anti-money laundering laws have always been about America controlling money, for whatever reason.

Yes it is an international organisation, but controlled by America.

Whenever they talk about tightening up the rules, the result is always me having more problems using my money when abroad.

I can't imagine it affects, big crime or terrorists in any way.

As for corruption in Thailand, can't imagine anyone worldwide gives a stuff.

Edited February 20, 2012 by ludditeman

[rotary]

A agree with the other poster......just another way to try to scam some kind of tax or service charge for sure. In the end the money laundry guys go around the law and the average Joe gets stuck.

[BigJohnnyBKK]

Controls on money laundering will almost certainly effect money from corruption which is endemic at all levels in Thailand whichever side of the political divide you sit on.

Only effective controls would have that effect. You can rest assured any such laws as enforced in practice won't even slow such important and routine activities down, since the people writing the laws are the ones who don't want to be further inconvenienced.

Actually, note the fact that government ministers have been "caught" (by burglers) with billions of baht stacked up in their personal homes is some indication that it takes a while for even them to process large amounts, so there must be some oversight somewhere in the system already.

[wuffe]

As long as they promise not to lose any of my socks I don't see what the problem is.

+1.

Had full 3 pairs just two days ago. Now its 1 pair, 2 odds and 2 missing