Sierra Leone Telegraph: May 18, 2020:
As Sierra Leone’s exchange rates against major global currencies continue to decline, the governor of the country’s central bank – Kelfala M. Kallon, has issued another stern warning to those who trade in foreign currency illegally.
In March of this year, Kallon gave an ultimatum to all street forex sellers to regulate their operations by registering with the bank.
Sierra Leone’s currency – Leonen has since its inception in 2018 lost over 20% of its value to the Dollar and the British pond, mainly due to the huge decline in mining export revenue and the country’s inability to produce much of what it eats locally .
Kelfala M. Kallon, who announced the new measures to combat illegal foreign exchange trading, said he does so in line with the powers conferred on the Bank of Sierra Leone – Section 48 (2). 3, of the Bank’s Law of 2019, to extend the measures, he announced on March 2, 2020. That’s what he announced last week:
“Anyone trapped in engaging in or attempting to engage in buying or selling foreign currency without being licensed by the Bank of Sierra Leone to act as a currency trader loses all foreign currencies held or held in their possession. control.
“For persons who engage or attempt to enter into foreign currency transactions with persons not licensed by the Bank of Sierra Leone to act as currency traders, the Bank of Sierra Leone loses all foreign currencies held or held by them. their control.
“That foreign currency held or controlled by anyone engaging in or attempting to conduct a foreign exchange transaction at a location other than the registered business address of a licensed currency trader shall be forfeited to Sierra Leone Bank.
“That violators of the above directives should be referred to the Financial Intelligence Unit to investigate whether they violated Sections 23 and 24 of the Anti-Money Laundering and Counterterrorism Financing Act, 2012.”
He reminds the public that anyone caught in violation of these regulations must be charged with section 26 (2). 5, of the Bank of Sierra Leone Act 2019 and is punishable by sentencing with a fine of Le100 million or imprisoned for at least three years or both.