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    Question

    What is the punishment for the offence of money

    laundering under Section 4 of PMLA?
    A Imprisonment up to 1 year or fine B. Correct Answer Incorrect Answer
    B Imprisonment of 6 months to 3 years Correct Answer Incorrect Answer
    C Rigorous imprisonment of not less than 3 years and up to 7 years (extendable to 10 years in certain cases) and fine Correct Answer Incorrect Answer
    D Fine only Correct Answer Incorrect Answer
    E Warning and release Correct Answer Incorrect Answer

    Solution

    Explanation: Section 4 of the PMLA provides for punishment for money laundering. It prescribes rigorous imprisonment for a term which shall not be less than 3 years but may extend to 7 years. However, if the predicate offence is under the Narcotic Drugs and Psychotropic Substances Act, the maximum punishment may extend to 10 years. Fine is also imposed in addition to imprisonment.

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