Consider the following:
1. Temples & Mosques
3. Non Profit organizations and registered societies
4. Educational Institutions
Which among the above come under the purview of Prevention of Money Laundering Act?
As per the recent change in the Prevention of Money Laundering Act (PMLA) 2002, any company registered under section 25 of the Indian Companies Act, 1956, and/or as a trust or society under the Societies Act, 1860, or any similar state legislation, will be brought under the purview of PMLA. This brings in the Charitable trusts, whether temples, churches or mosques, non-government organizations (NGOs), educational institutions or societies, if registered as non-profit organizations (NPOs). They will not only have to disclose the source of their funds, but also be scrutinized for large monetary transactions. Reason: The majority of industrialists and even some top politicians were using NGOs to launder their black money back into the country. The amendment would prove an effective tool in the hands of authorities and would take the veil off the racket.
This question is a part of GKToday's Integrated IAS General Studies Module