Identifier
Created
Classification
Origin
07ISLAMABAD4926
2007-11-20 01:55:00
UNCLASSIFIED//FOR OFFICIAL USE ONLY
Embassy Islamabad
Cable title:
TERRORIST FINANCE: PAKISTAN FOLLOW-UP TO ACTION REQUEST ON
how-toVZCZCXRO0573 RR RUEHLH RUEHPW DE RUEHIL #4926 3240155 ZNR UUUUU ZZH R 200155Z NOV 07 FM AMEMBASSY ISLAMABAD TO RUEHC/SECSTATE WASHDC 3319 INFO RUEATRS/DEPT OF TREASURY WASHDC RUEHNE/AMEMBASSY NEW DELHI 2271 RUEHBUL/AMEMBASSY KABUL 7787 RUEHLH/AMCONSUL LAHORE 4103 RUEHKP/AMCONSUL KARACHI 8107 RUEHPW/AMCONSUL PESHAWAR 2639
UNCLAS ISLAMABAD 004926
SIPDIS
SENSITIVE
SIPDIS
E.O. 12958: N/A
TAGS: EFIN ETTC KTFN KCRM PREL PTER PK
SUBJECT: TERRORIST FINANCE: PAKISTAN FOLLOW-UP TO ACTION REQUEST ON
ILLICIT CASH COURIERS
REF: STATE 152088
UNCLAS ISLAMABAD 004926
SIPDIS
SENSITIVE
SIPDIS
E.O. 12958: N/A
TAGS: EFIN ETTC KTFN KCRM PREL PTER PK
SUBJECT: TERRORIST FINANCE: PAKISTAN FOLLOW-UP TO ACTION REQUEST ON
ILLICIT CASH COURIERS
REF: STATE 152088
1. (U) The following is EMBASSY Islamabad's response to reftel
request for additional information on illicit cash couriers.
2. (SBU) Pakistan places statutory limits on the international
transportation of currency. The State Bank of Pakistan (SBP)
legally allows individuals to carry up to USD 10,000 in US dollars
or foreign currency equivalent. According to the Central Board of
Revenue, couriers caught carrying more than the maximum amount are
subject prosecution and prison terms of between three to five years.
3. (SBU) While it is technically illegal to bring more than USD
10,000 into Pakistan except through legal banking channels, there
are no reporting requirements upon entering or exiting the country.
There are joint SBP-Customs counters at international airports to
monitor the transportation of foreign currency. However,
enforcement is insufficient. Post contacts at the State Bank of
Pakistan report that charges are rarely filed for exceeding currency
importation limits and can recall only two cases in recent memory.
4. (SBU) In June 2004, the State Bank of Pakistan required all
informal money changers (or hawaladars) to register as authorized
foreign exchange dealers and meet minimum capital requirements. The
regulation has had limited success in consolidating the national
foreign exchange regime, subjecting it to more stringent regulation
and accounting standards. Despite the SBP's efforts, unlicensed
hawalas still operate illegally in parts of the country
(particularly Peshawar and Karachi). The informal and secretive
nature of the unlicensed hawalas makes it difficult for SBP
regulators to effectively combat their operations. Most illicit
funds are transacted through these unlicensed operators.
5. (SBU) The U.S. Department of Homeland Security conducted a cash
courier training seminar in May 2006 and plans to hold more training
sessions in the future.
PATTERSON
SIPDIS
SENSITIVE
SIPDIS
E.O. 12958: N/A
TAGS: EFIN ETTC KTFN KCRM PREL PTER PK
SUBJECT: TERRORIST FINANCE: PAKISTAN FOLLOW-UP TO ACTION REQUEST ON
ILLICIT CASH COURIERS
REF: STATE 152088
1. (U) The following is EMBASSY Islamabad's response to reftel
request for additional information on illicit cash couriers.
2. (SBU) Pakistan places statutory limits on the international
transportation of currency. The State Bank of Pakistan (SBP)
legally allows individuals to carry up to USD 10,000 in US dollars
or foreign currency equivalent. According to the Central Board of
Revenue, couriers caught carrying more than the maximum amount are
subject prosecution and prison terms of between three to five years.
3. (SBU) While it is technically illegal to bring more than USD
10,000 into Pakistan except through legal banking channels, there
are no reporting requirements upon entering or exiting the country.
There are joint SBP-Customs counters at international airports to
monitor the transportation of foreign currency. However,
enforcement is insufficient. Post contacts at the State Bank of
Pakistan report that charges are rarely filed for exceeding currency
importation limits and can recall only two cases in recent memory.
4. (SBU) In June 2004, the State Bank of Pakistan required all
informal money changers (or hawaladars) to register as authorized
foreign exchange dealers and meet minimum capital requirements. The
regulation has had limited success in consolidating the national
foreign exchange regime, subjecting it to more stringent regulation
and accounting standards. Despite the SBP's efforts, unlicensed
hawalas still operate illegally in parts of the country
(particularly Peshawar and Karachi). The informal and secretive
nature of the unlicensed hawalas makes it difficult for SBP
regulators to effectively combat their operations. Most illicit
funds are transacted through these unlicensed operators.
5. (SBU) The U.S. Department of Homeland Security conducted a cash
courier training seminar in May 2006 and plans to hold more training
sessions in the future.
PATTERSON