South Korea’s financial regulator said on June 28 it will toughen a rule on cash transaction reporting next month, in line with a global move to step up anti-money laundering regulations.
Korean financial institutions are currently required to notify the state-run Financial Intelligence Unit, which aims to prevent money laundering and illegal fund flows, of each deposit, withdrawal and currency exchange involving more than 20 million won ($17,292).
They will be required to file with the FIU for each transaction involving currency of more than 10 million won, the Financial Services Commission said in a statement.
The FIU has provided such information to law enforcement authorities when there are suspicions about money laundering or illegal money transactions.
Fintech firms and private money lenders with assets of 50 billion won or more will also be required to comply with the rule on cash transaction reports, the commission said.
By Ram Garikipati and newswires (firstname.lastname@example.org)