This is the version of this Act as it was from 20 July 2018 to 30 December 2021. Read the latest available version.
Bank Use Promotion Act
Related documents
- Is amended by Finance Act, 2021
- Is amended by Money Laundering and Proceeds of Crime Amendment Act, 2018
Zimbabwe
Bank Use Promotion Act
Chapter 24:24
- Published in Government Gazette
- There are multiple commencements
- [This is the version of this document as it was from 20 July 2018 to 30 December 2021.]
- [Note: This version of the Act was revised and consolidated by the Law Development Commission of Zimbabwe. This version is up-to-date as at 31st December 2016.]
Provisions | Status |
---|---|
Part I (section 1–2); Part II (section 3–9); Part III (section 10–22); Part V (section 33–41); Part VI (section 41A–49) | commenced on 17 February 2004. |
Part IV (section 23–32) | commenced on 1 September 2004. |
- [Amended by Money Laundering and Proceeds of Crime Amendment Act, 2018 (Act 12 of 2018) on 20 July 2018]
Part I – Preliminary
1. Short title and commencement
2. Interpretation
In this Act⎯“account” means any facility or arrangement by which a financial institution does any one or more of the following⎯(a)accepts deposits of currency;(b)allows withdrawals of currency or transfers into or out of the account;(c)pays cheques or payment orders drawn on a financial institution, or collects cheques or payment orders on behalf of a person;(d)supplies a facility or arrangement for a safety deposit box;“cash” means any bank notes and coins of any currency that is currently, or from time to time, designated as legal tender in Zimbabwe, and includes, but is not limited to, the United States dollar, the South African Rand, the British pound, the Euro, the Botswana Pula, the Chinese Yuan, the Indian Rupee, the Japanese Yen, the Australian dollar and bond notes and coins issued in terms of the Reserve Bank of Zimbabwe Act [Chapter 22.15];[definition substituted by Act 1 of 2018]“cash dealer” means a person who does any one or more of the following⎯(a)carrying on the business of an insurer, an insurance intermediary, a securities dealer or stock broker, a futures broker, or an operator of a gaming house, casino or lottery;(b)issuing, selling or redeeming travellers’ cheques, money orders or similar instruments, dealing in bullion, or collecting, holding and delivering cash as part of a business that provides payroll services;(c)money-changing, that is, exchanging currency, money cheques, travellers cheques or other negotiable instruments;“cash detainable offence” means any one of the following offences in respect of which cash may be seized from a person in anticipation of prosecuting that person for the offence—(a)a contravention of a compliance order referred to in paragraph (b), (e) or (g) of subsection (1) or subsection (2) of section nineteen; or(b)a contravention of section twenty relating to a breach of section eleven or subsection (1) of section fourteen or section fifteen; or(c)a contravention of subsection (1) of section twenty; or(d)a contravention of subsection (1) of section twenty-two;“compliance order” means an order issued in terms of section nineteen or thirty, as the case may be;“currency” means the coin and banknotes of Zimbabwe or of a foreign country that has been designated as legal tender and is ordinarily used and accepted as a medium of exchange in the country of issue, and the terms “Zimbabwean currency” and “foreign currency” shall be construed accordingly;“defendant” means a person suspected of or charged with⎯(a)a serious offence; or(b)a cash detainable offence; or(c)an offence referred to in section thirty-two; whether or not he or she has been convicted of the offence;“designated institution” means any person designated in the First Schedule;“Detained Cash Trust Account” means the Detained Cash Trust Account referred to in subsection (1) of section thirty-seven;"Director" [definition of “Director” deleted and substituted by definition of "Director-General" by section 23(a)(i) of Act 12 of 2018]“Director-General ” means the Director-General of the Unit appointed in terms of section 6C of the Money Laundering and Proceeds of Crime Act [Chapter 9:24];[definition of “Director-General” substituted by section 23(a)(i) and (ii) of Act 12 of 2018]“disclosure order” means an order issued in terms of section eighteen or twenty-nine, as the case may be;“document” means any record of information, and includes anything that⎯(a)is written; or(b)contains marks, figures, symbols, or perforations that have meaning and can be interpreted by persons qualified to do so; or(c)has sounds, images or writings that can be produced, with or without the aid of anything else; or(d)is a map, plan, drawing, photograph or similar thing;“finance agent” means a person who discounts private sale agreements, that is, agreements under which goods are sold by another person who is not a registered operator as defined in the Value Added Tax Act [Chapter 23:12];“financial institution” has the meaning assigned to it in the Money Laundering and Proceeds of Crime Act [Chapter 9:24].[definition substituted by Act 8 of 2013]“fixed date” means the date fixed or specified in terms of subsection (2) of section one as the date of commencement of this Act or Part IV, as the case may be;“gift” includes any property or benefit transferred by a person to another person directly or indirectly⎯(a)after the commission of a serious offence by the first person; or(b)for a consideration the value of which is significantly less than the value of the consideration provided by the first person; or(c)to the extent of the difference between the market value of the property transferred and the consideration provided by the transferee;“identity document” means⎯(a)a document issued to a person in terms of subsection (1) or (2) of section 7 of the National Registration Act [Chapter 10:17], or a passport or drivers licence issued by or on behalf of the Government of Zimbabwe; or(b)any visitors entry certificate or other certificate or permit issued to a person in terms of the Immigration Act [Chapter 4:02], or in terms of any enactment relating to refugees; or(c)any passport, identity document or drivers licence issued by a foreign government;“interest”, in relation to cash, includes either or both of the following⎯(a)any beneficial interest whatsoever in the cash, whether present, future or contingent;(b)a right, power or privilege in connection with the cash;“inspector” means a person referred to in section five;“law enforcement agency” means the Police Force (including a member of the Police Constabulary as defined in section 2 of the Police Act [Chapter 11:10]) or an intelligence service maintained by the Government, or any agency assigned by an enactment to maintain and enforce the law;“Minister” means the Minister of Finance and Economic Development or any other Minister to whom the President may, from time to time, assign the administration of this Act;“moneylender” means a person licensed as a moneylender under the Moneylending and Rates of Interest Act [Chapter 14:14];“negotiable instrument” means any bill of exchange, letter of credit, cheque, draft or other document, whether negotiable or not, which has been drawn or issued either inside or outside Zimbabwe and is intended to enable any person to obtain, either directly or indirectly, any sum of money, whether in Zimbabwean or foreign currency;“parastatal” means any corporate body—(a)established by or in terms of any Act of Parliament for special purposes specified in that Act; or(b)wholly owned or controlled by the State;“proceedings” means any procedure conducted by or under the supervision of a judge or magistrate in relation to any alleged or proven offence, or cash held in connection with such offence, and includes an inquiry, investigation, or preliminary or final determination of facts;“property” means currency and all other real or personal property of every description, whether situated in Zimbabwe or elsewhere, tangible or intangible, and includes any interest in such property;“property of or in the possession or control of any person” includes any gift made by that person;“relevant financial business” means business referred to in the Second Schedule;“Reserve Bank” means the Reserve Bank of Zimbabwe referred to in section 4 of the Reserve Bank of Zimbabwe Act [Chapter 22:15];“serious offence” has the meaning assigned to it in the Money Laundering and Proceeds of Crime Act [Chapter 9:24];[definition substituted by Act 4 of 2013]“tainted property” has the meaning assigned to it in the Money Laundering and Proceeds of Crime Act [Chapter 9:24], and includes “terrorist property” as defined in that Act;[definition substituted by Act 4 of 2013]“trader” means a person referred to in paragraph (a) of section ten;“Unit” means the Financial Intelligence Unit established by section 6A of the Money Laundering and Proceeds of Crime Act [Chapter 9:24];[definition of “Unit” substituted by section 23(a)(ii) of Act 12 of 2018]“unit trust scheme” has the meaning given to that term in section 2 of the Collective Investment Schemes Act, 1997;“Zimbabwe Revenue Authority” means the Authority established in terms of section 3 of the Revenue Authority Act [Chapter 23:11].Part II – ***
[Part II repealed by section 23(b) of Act 12 of 2018]3. ***
[section 3 repealed by section 23(b) of Act 12 of 2018]4. ***
[section 4 repealed by section 23(b) of Act 12 of 2018]5. ***
[section 5 repealed by section 23(b) of Act 12 of 2018]6. ***
[section 6 repealed by section 23(b) of Act 12 of 2018]7. ***
[section 7 repealed by section 23(b) of Act 12 of 2018]8. ***
[section 8) repealed by section 23(b) of Act 12 of 2018]9. ***
[section 9 repealed by section 23(b) of Act 12 of 2018]Part III – Bank Use Promotion
10. Traders, parastatals and moneylenders to open and keep accounts with financial institutions
Every—10A. Designated payees to afford electronic payment facilities
11. Traders and parastatals to bank surplus cash in an account within a certain time
12. Traders and parastatals to settle certain trade debts otherwise than in cash
13. Records to be kept by traders and parastatals
Every trader and parastatal shall keep records clearly showing—14. Unlawful trading in cash
15. Maximum cash to be kept by moneylenders
16. Abolition, freezing and monitoring of charges by financial institutions for deposit, withdrawal or transfer of cash or other financial services
17. Financial institutions to offer deposit facilities on reasonable deposit requirement terms
18. Disclosure orders under Part III
19. Compliance orders under Part III
20. Repeated contraventions of sections 10, 10A, 11, 12, 13, 14, 15, 16 and 17
Where a trader, parastatal, financial institution, moneylender or other person, having initially obeyed or been convicted of contravening a compliance order, commits another contravention of section 10, 10A, 11, 12, 13, 14, 15, 16 and 17 (whether or not the contravention is of the same provision as the one in respect of which the compliance order was issued), it shall not be necessary to serve another compliance order upon that trader, parastatal, financial institution, moneylender or other person, and he or she shall be guilty of an offence and liable to the same penalty as that for a breach of a compliance order issuable in respect of that contravention.[section amended by Act 1 of 2018]21. Temporary restrictions on cash withdrawals from financial institutions
22. Unlawful hoarding of cash
Part IV – Suppression of money laundering
[Part IV repealed by Act 8 of 2013]23. ***
[section repealed by Act 8 of 2013]24. ***
[section repealed by Act 8 of 2013]25. ***
[section repealed by Act 8 of 2013]26. ***
[section repealed by Act 8 of 2013]27. ***
[section repealed by Act 8 of 2013]28. ***
[section repealed by Act 8 of 2013]29. ***
[section repealed by Act 8 of 2013]30. ***
[section repealed by Act 8 of 2013]31. ***
[section repealed by Act 8 of 2013]32. ***
[section repealed by Act 8 of 2013]Part V – Seizure of cash unlawfully held
Division A: Cash detainable offences
33. Powers of search, entry and seizure
34. Search warrants in relation to cash held in connection with cash detainable offences
35. Search in emergencies
A police officer or inspector may search a person for cash held in connection with a cash detainable offence or enter upon land or upon or into premises and search for such cash and may seize any such cash he or she finds in the course of the search if—36. Inspector to be accompanied by police officer
An inspector who intends to make any search, entry or seizure for the purposes of this Part shall—37. Verification of whether cash is detainable, and custody, return and forfeiture of seized cash
38. Proof of certain matters in prosecutions for cash detainable offences
In any criminal proceedings in connection with a cash detainable offence—(a)a copy of a receipt issued in respect of cash seized in terms of this Part, certified by or on behalf the police officer commanding the police district in which such cash was seized, or by or on behalf of the inspector who seized the cash; or(b)a copy of a receipt issued in relation to a deposit of cash in the Detained Cash Trust Account, accompanied by a document giving the name and address of the person from whom it was seized, both certified by or on behalf the police officer commanding the police district in which such cash was deposited, or by or on behalf of the inspector who seized the cash;shall be received in evidence before any court as prima facie proof of the fact that the cash was seized from the person named in the receipt or document and as proof of the amount of cash thus seized, and no court shall require that cash seized and detained in terms of this Part be exhibited as evidence for the purpose of such proceedings if such receipt or document is produced before it.Division B: Seizure and detention of cash or currency held in connection with offences other than cash detainable offences
39. Seizure and detention of cash that is the proceeds of crime or used in unlawful dealings in foreign currency
40. Seizure and detention of suspicious imports or exports of currency
41. Applicability of Cap.9:24 where tainted property consists of currency, other property or both
If a person suspected of committing a serious offence is in possession of tainted property—Part VI – General
41A. Freezing orders
42. Secrecy, immunity and protection of designated institutions
43. Confidentiality
44. Immunity where official powers or functions exercised in good faith
No suit, prosecution or other legal proceedings shall lie against the Government, the Reserve Bank, the Unit, an inspector or member of staff of the Unit or any police officer or other person in respect of anything done by or on behalf of that person, with due diligence and in good faith, in the exercise of any power or other performance of any function under this Act or any order made thereunder.45. Saving of privileges to legal profession
Nothing contained in this Act shall be construed as derogating from the common law privilege attaching to communication made between a legal practitioner and client for the purpose of giving or receiving legal advice or to communications made between a legal practitioner, client and their agents or employees for the dominant purpose of pending or contemplated proceedings.46. Costs of applications in chambers
A judge who determines any application in terms of section seven, eighteen, nineteen, twenty-nine, thirty or thirty-one shall make such order as to the costs of the application as he or she considers proper.47. Special jurisdiction of regional magistrates courts
Notwithstanding anything in the Magistrates Court Act [Chapter 7:10], regional magistrates shall have special jurisdiction to impose the punishment prescribed for any offence against the provisions of this Act.48. Regulations
49. Amnesty for breaches of sections 10 and 11
History of this document
31 December 2021
20 July 2018 this version
14 March 2018
Consolidation
Read this version
01 September 2004
Commenced
17 February 2004
Commenced