Hawala, an informal money transfer system, is under investigation

Hawala, an informal money transfer system, is under investigation

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American law enforcement agencies are beginning a drive to investigate all informal money transfer businesses. One of the effects of this is that a lot of people, Pakistanis both here and in Pakistan, who send money to or within Pakistan have increased their remittances, fearing that the U.S. authorities will confiscate it. This is one of the reasons why Pakistani foreign reserves are at such high levels.

The American drive against informal money transfers is on two fronts. In Pakistan, American officials met with Shaukat Aziz, the minister of Finance. It was widely reported in the Pakistani press that the ministry is cooperating to shut down money transfer businesses in Pakistan. In New York, authorities are checking every betel leaf seller, cigarette seller, snooker parlor, any business which may also house money transfer services. Moreover, if anyone has sent money to or travelled to Afghanistan and/or Israel/Palestine, they will be investigated. This reporter knows of a case in which a naturalized American citizen is in danger of having his citizenship revoked for having sent money to Afghanistan and the West Bank.

2002-11-27

43

62

1

Urdu

Pakistan Post

briefs

Hawala, an informal money transfer system, is under investigation

Rehan Ansari

born-digital

article

yes

no

2002-11-27