Notification to bring Virtual Asset or Virtual Digital Assets related activities under the PMLA 2002.

The Ministry of Finance, India, has recently issued a notification amending the Prevention of Money Laundering Act, 2002. The notification aims to subject the virtual asset, also known as “virtual digital asset”, related activities to anti money laundering compliance. Now, if any individual or company in India conducts activities involving virtual assets in the course of their business, then such business activities are required to comply with compliance requirements as prescribed under PMLA or rules made thereunder, such as applying Customer Due Diligence, appointing an AML Principal Officer, identification and reporting of Suspicious Transactions to FIU-IND, etc.