MONEY LAUNDERING AND PROCEEDS OF CRIME (AMENDMENT) BILL, 2019

MONEY LAUNDERING AND PROCEEDS OF CRIME (AMENDMENT) BILL 2019

This Bill will amend the Money Laundering and Proceeds of Crime Act [Chapter 9:24]. The amendments were initially effected under the Presidential Powers (Temporary Measures) (Amendment of the Money Laundering and Proceeds of Crime Act) Regulations 2018, published in Statutory Instrument 246 of 2018, on the 9th of November, 2018, and according to the provisions of section 6 of the Presidential Powers (Temporary Measures) Act [Chapter 10:20] the regulations expired on the one hundredth and eighty-first day following the date of commencement of the regulations which was the 9th of May, 2019. As such, it is expedient to enact an Amendment Bill re-enacting the affected provisions (some proceedings were already commenced under the Regulations). The amendments will further strengthen the provisions in the law to combat corruption, money laundering and terrorist financing and ensure members of the law enforcement are effective in carrying out their mandate. In more detail, the individual clauses of the Bill provide as follows:

Clause 1

This clause sets out the Bill’s short title.

Clause 2

In order to combat money laundering, terrorist financing, tax evasion and corruption, it has become necessary to give powers to ZACC, ZIMRA and ZRP to elicit explanations from persons who exhibit great wealth without having any apparent lawful means of obtaining such wealth. Accordingly, a new Part will be inserted in the Money Laundering and Proceeds of Crime Act providing for unexplained wealth orders issued by the High Court at the instance of ZACC, ZIMRA or ZRP. These orders will require the addressee to explain his or her wealth and provide supporting documentation therefor.

(i)

ii

10

This Act may be cited as the Money Laundering and Proceeds of Crime (Amendment) Act, 2019.

2 New Chapter IIIA inserted in Cap. 9:24

The Money Laundering and Proceeds of Crime Act [Chapter 9:24] (No. 4 of 2013) is amended by the insertion of the following Chapter after Chapter III—

H.B. 4, 2019.]

Money Laundering and Proceeds of criMe aMendMent

BILL

To amend the Money Laundering and Proceeds of Crime Act [Chapter 9:24]; and to provide for matters connected therewith or incidental thereto.

ENACTED by the Parliament and President of Zimbabwe. 5 PARTI

1 Title

PreliM inary

Printed by the Government Printer, Harare

1

Money Laundering and Proceeds of criMe aMendMent

“CHAPTER IIIA

unexPlained W ealth orders

PART I

PreliMinaryProvisions

37A Interpretation in Chapter IIIA 5 (1) In this Chapter—

“enforcement authority” means—

1. (a)  the Zimbabwe Ant-Corruption Commission; or
2. (b)  the National Prosecuting Authority; or
3. (c)  the Commissioner-General of the Zimbabwe Republic 10 Police; or
4. (d)  the Zimbabwe Revenue Authority;

“enforcementorinvestigatoryproceedings”meansanyproceedings in relation to property taken under—

(a) this Chapter; or 15

(b) Chapter IV (“Conviction-based Confiscation and Benefit Recovery Orders and Investigative Powers Appurtenant Thereto”); or

(c) Chapter V (“Civil Forfeiture of Tainted andTerrorist Property”); 20

“hold”, in relation to a person holding property, means—

1. (a)  own or have a beneficial interest in the property; or
2. (b)  have effective control over the property; or
3. (c)  act as the trustee of a settlement in which the property
   is comprised; or 25
4. (d)  actuallyorpotentiallybenefit asabeneficiary inrelation to a settlement in which the property is comprised; or

(e)

where the property in question is currency or bearer negotiable instruments, engage in a course of dealing
with respect to the property— 30

1. (i)  whether personally or through one or more financial institutions or other agents; and
2. (ii)  whether on his or her own behalf or on behalf
   of another person who may be the owner of or beneficially interested in the property; and 35
3. (iii)  whether by means of a single transaction or two or more transactions;

within a period of a year or any lesser period wherein currency or instruments of an aggregate value of fifty thousand dollars or individual sums of more than ten 40 thousand dollars is or are exchanged, transferred or otherwise dealt with;

2

45

35 (c)