Uganda’s Anti-Money Laundering (Amendment) Act 2017: Key Provisions

Reporting Suspicious Transactions

The Anti-Money Laundering (Amendment) Act 2017 requires accountable persons to report any suspicious transactions to the Authority within two working days. The following key points outline the requirements for reporting:

• Report submission: A report must be submitted to the Authority with relevant documents and information.
• Timely reporting: Reports must be made within two working days of identifying a suspicious transaction.

Confidentiality

The Act sets out specific guidelines for confidentiality, ensuring that sensitive client information is protected. Key points include:

• Professional secrecy: Advocates and accountants are bound by professional secrecy, which prohibits them from disclosing client information obtained in confidence.
• Sharing with authorities: However, they can share information with competent authorities to facilitate investigations into money laundering or terrorism financing.

Internal Communication

The Act permits internal communication among directors, employees, and lawyers for the purpose of investigation. This includes:

• Disclosure of suspicions: Disclosure of suspicions or reports among relevant parties is allowed for the purpose of investigation.
• Protection of identity: The identity of individuals involved in suspicious transactions must be protected unless necessary for investigations.

Cross-Border Currency Declarations

When leaving Uganda with cash or negotiable bearer instruments exceeding 1,500 currency points, one must declare this to the Uganda Revenue Authority. This is outlined in the following key points:

• Declaration requirements: Individuals must declare the amount of cash or negotiable bearer instruments they are carrying when leaving Uganda.
• Currency point threshold: The declaration requirement applies when the amount exceeds 1,500 currency points.

Seizure of Assets

In cases of suspected money laundering or terrorism financing, the Authority can seize assets for up to six months. This period may be extended by court order. Key points include:

• Asset seizure powers: The Authority has the power to seize assets in cases of suspected money laundering or terrorism financing.
• Seizure duration: Assets can be seized for up to six months, which may be extended by court order.

Operational Guidelines

The Authority will issue instructions in consultation with the Uganda Revenue Authority to implement these provisions effectively. Key points include:

• Instruction issuance: The Authority will issue instructions to ensure effective implementation of the anti-money laundering regulations.
• Consultation with URA: Instructions will be issued in consultation with the Uganda Revenue Authority.