No allegations of money laundering imposes by US on HBL

ISLAMABAD: Parliamentary Secretary for Finance, Revenue, Economic Affairs, Statistics and Privatization Rana Muhammad Afzal Khan on Friday informed the National Assembly that no allegations of money laundering had been imposed by the US on Habib Bank Limited (HBL).

During questions hour, he said, that New York State Department had imposed the fine $225 million on HBL New York Branch due to non compliance of reporting procedure laid down by the administration.

He said that in continuation of SBP’s supervisory strategy, SBP engaged bank‘s board of directors and the senior management through various meeting in which HBL was advised to asses and monitor the risk associated especially with overseas operations of the bank.

However, he said that all the assets of the overseas Pakistani are safe.

He said that HBL was instructed to address and resolve issues in the areas of Risk Management, Compliance especially Anti Money Laundering-Combating the Financing of Terrorism.

Moreover, from March, 2016 HBL was also advised to submit to SBP monthly updates for compliance of the orders issued by US regulators as mentioned above, he added.

The secretary said, SBP engaged US regulators to have an insight into the supervisory concerns of US regulator.

Responding to another question he said that Finance Division has not allocated funds directly for small businesses and retailers during Current Financial Year 2017-18.

However, he said, Small Enterprises (SMEs) are playing very important role in the economic development of the country.

Keeping in view the importance, he said, Small and Medium Enterprises Development Authority (SMEDA) under Ministry of Industries and Production and State Bank of Pakistan have developed policies and schemes for development of SME sector in the country.