Financial Transactions Reporting (Amendment) Act 2026 · As enacted
17. Insertion of new PART IIa in the principal enactment
Official English translation. Where it differs from the Sinhala or Tamil text, the Act itself says which text prevails.
Official translationFrom Department of Government Printing, unchanged
The following new Part is hereby inserted immediately after section 14 of the principal enactment and shall have effect as PART IIa of that enactment: -
“PART IIa
FINANCIAL INTELLIGENCE UNIT
14a. (1) There shall be established a
Financial Intelligence Unit within the Central
Bank of Sri Lanka for the purposes of this Act which shall be called the Financial Intelligence
Establishment of the Financial
Intelligence
Unit.
Financial Transactions Reporting
Unit of Sri Lanka (in this Act referred to as the
“Financial Intelligence Unit”).
The
Financial
Intelligence
Unit designated by the Minister by Order published in Gazette Extraordinary No. 1437/24 of
March 23, 2006 and functioning on the day immediately preceding the date of commencement of this section shall, for all purposes, be deemed to have been established under subsection (1).
The Financial Intelligence Unit shall be an operationally independent and autonomous unit in the exercise, performance and discharge of its powers, duties and functions under this
Act or any other written law.
For the purpose of subsection (3),
“operationally independent and autonomous”
means –
having the authority and capacity to exercise, perform and discharge its powers, duties and functions freely, and take autonomous decisions to analyse, request, forward or disseminate specific information with regard to financial intelligence under this Act;
being able to make arrangements or engage independently with other domestic competent authorities or foreign counterparts on the exchange of information;
having distinct core functions from those of the Central Bank of Sri Lanka; and
being able to obtain and deploy the resources needed to carry out its functions, on an individual or routine basis, free from any undue influence or interference, which might compromise its operational independence as specified in paragraphs (a) to (c)
of this subsection.
14b.
Head and the staff of the Financial Intelligence Unit
Notwithstanding anything to the contrary in any other written law, the
Governing Board of the Central Bank shall appoint an officer who shall be a Staff Officer of Grade IV or above of the Central Bank as the Head of the Financial Intelligence Unit.
For the purpose of subsection (1), the term “Head of the Financial Intelligence Unit”
shall include an officer acting in the capacity of the Head of the Financial Intelligence Unit.
The officers and other employees of the Central Bank appointed by the Governing
Board to serve in the Financial Intelligence
Unit for the purposes of this Act, shall be considered as the staff of the Financial
Intelligence Unit.
14c.
Powers, duties and functions of the Head of the Financial Intelligence Unit
The powers, duties and functions conferred or imposed on, or assigned to the
Financial Intelligence Unit by or under this Act shall be exercised, performed and discharged by the Head of the Financial Intelligence Unit.
Financial Transactions Reporting
The Head of the Financial Intelligence
Unit may, subject to such terms and conditions as may be specified in writing, delegate to any officer of the staff of the
Financial Intelligence Unit any of the powers, duties or functions conferred or imposed on, or assigned to him by or under this Act, other than the following powers which shall be exercised only by the Head of the Financial
Intelligence Unit: -
to make rules applicable to
Institutions or in respect of any other matter specified by this Act;
to suspend a transaction or an account, based on a suspicious transaction report; and
to impose administrative sanctions under section 19.
An officer to whom any power, duty or function has been delegated under subsection (2), shall, in the exercise, performance or discharge of such power, duty or function, comply with such directions or conditions as the Head of the Financial Intelligence Unit may issue from time to time in writing to such officer.
An officer to whom any power, duty or function has been delegated under subsection (2), shall have the power to do all acts and things that are incidental to the power, duty or function that has been so delegated until such time such delegation is revoked by the Head of the Financial Intelligence Unit.
The Head of the Financial Intelligence
Unit may, notwithstanding such delegation under subsection (2), exercise, perform or discharge any power, duty or function so delegated.
14d. The Head and the staff of the
Financial Intelligence Unit shall be deemed to be public servants within the meaning and for the purposes of section 136 of the Code of Criminal Procedure Act, No. 15 of 1979, for the purpose of instituting proceedings in respect of offences under this Act.”.