The Reserve Bank of Zimbabwe has suspended the licenses of two more Bureaux de Change for fueling the parallel forex market exchange rates.
On Thursday, the Reserve Bank of Zimbabwe issued an update on suspension of operating licenses of Cash Twenty Four (Pvt) Limited and Crediconnect (Pvt) Limited for allegedly participating in illicit foreign currency transactions. The Central Bank said both the entities carried out several off-book foreign currency purchases and sales, which they failed to declare in periodic regulatory returns.
In a statement, the Governor of RBZ, John Magudya, said after license suspension a disciplinary action had commenced against operators. “Both Cash Twenty Four and Crediconnect were referred to the Financial Intelligence Unit (FIU), which upon carrying out further investigations, has charged both for not adhering to money laundering requirements, inter alia, failure to record and report transactions as required by the law”, he further mentioned.
Cash-Twenty Four has been imposed an administrative fine of $2.5 million (ZW$2 500 000), while the case Crediconnect is still pending.