What constitutes a suspicious transaction under PMLA?
Updated
Suspicious transaction means a transaction referred to in clause (h) of sub-rule(1) of Rule 2 of Prevention of Money-Laundering (Maintenance of Records) Rules 2005, including an attempted transaction, whether or not made in cash, which to a person acting in good faith:
(a) gives rise to a reasonable ground of suspicion that it may involve proceeds of an offence specified in the Schedule to the Act, regardless of the value involved; or
(b) appears to be made in circumstances of unusual or unjustified complexity, or
(c) appears to have no economic rationale or bona fide purpose, or
(d) gives rise to a reasonable ground of suspicion that it may involve financing of the activities relating to terrorism;
Transaction involving financing of the activities relating to terrorism includes transaction involving funds suspected to be linked or related to, or to be used for terrorism, terrorist acts or by a terrorist, terrorist organisation or those who finance or are attempting to finance terrorism.
