Nodal officer and Registration Process under Money Laundering

As notified by FIU, every dealer of precious metals and precious stone, need to appoint a nodal officer under anti money laundering act.

Does every one need to appoint a Nodal officer?

Yes, if your business turnover is more than Rs. 500 Crores during the immediate previous year. In such case, dealer needs to appoint personal Nodal officer, who will serve link between him and government.

If turnover of business is less than Rs. 500 crores during the immediate previous year. In such case, then nodal officer should be appointed by industry council and association and would serve a link between the dealers, whose turnover is less than Rs. 500 Crores, for sharing the information.

Who can be the Nodal officer?

The dealer or industry council can appoint any person. But such person should have required knowledge of organization. Even Managing director or partner can be the officer.

What is the time limit for registering?

As notification is effective from July 3, 2023 itself. The enrollment by dealers should be done immediately.

What is the process of registering?

As we already know that, the officer will be acting as a bridge between FIU and dealer. For information sharing the dealer needs to register on the “fingate 2.0” portal.

Step 1: Dealers or Association can register on fingate portal by providing the basic information on FinGate 2.0. The dealers/associations’ representatives has to provide details of the entity and primary users such as PAN, GSTIN, passport etc).

Documents required for individual dealers:

Letter from dealer for nomination of primary user;
Self-certified copy of registration details of entity;
Self-certified copy of KYC details of primary user;

Documents required for Association/Council:

Letter from Association/Council for nomination of primary user;
Self-certified copy of registration details of Association/Council;
Self-certified copy of KYC details of primary user nominated;

Step 2: Also, dealers or Association/Council need to give a self-declaration in the prescribed form.

Step 3: A unique FUID registration ID will be issued to registered dealers for identification purpose.

For user guide and videos Click here.

How to access FINGate application and purpose:

Post successful registration, all reporting entities will be able to download the mobile application. The said application will be used for outreach programs conducted for dealers awareness/training, notifications and sharing the guidelines.

The dealers or Association/Council needs to use the FINGate application for reporting the all-suspicious transactions, cash transactions report and other relevant reports. The reporting person need to use the prescribed format only.

Disclaimer:

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