China’s central bank rolled out amended rules on Friday that will require financial institutions to flag large-volume and suspicious transactions – a bid by the government to identify money laundering. Daily RMB transactions of 50,000 yuan ($7,190) or above, plus foreign-currency transactions with a value of $10,000 or more, will be flagged as large-sum transactions, according to the rule issued by People’s Bank of China. Transactions subject to scrutiny include cash deposits, cash withdrawals, settlements or sale of foreign exchange in cash, exchange of notes, cash remittances, and payments via a cash instrument. The new rule will take effect on July 1. According to Caixin, in a previous rule put in place in March 2007, cash transactions of 200,000 yuan or more and foreign currency transactions with a value of $10,000 or above were required to be flagged as “large volume.”
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