KATHMANDU, Nov 21: The government has approved a new guideline requiring casinos to rigorously implement Targeted Financial Sanctions (TFS) against individuals and entities listed in the United Nations Consolidated List and Nepal’s Domestic Terrorist List.
The measure aims to curb terrorism financing and prevent the proliferation of weapons of mass destruction.
Issued by the Ministry of Culture, Tourism and Civil Aviation through the Department of Tourism, the Guideline on Targeted Financial Sanctions for Casinos makes it mandatory for casino operators to freeze assets and prohibit financial services to any designated individual or entity.
Govt to enforce stricter road safety laws to curb accidents to...
“The purpose of TFS is to deny designated persons the means to violate international peace and security, support terrorism, or finance the proliferation of weapons of mass destruction,” the guideline states.
The document also underscores Nepal’s obligations under UN Security Council Resolution 1373 (2001), which requires member states to establish a domestic terrorist list. Nepal’s list is prepared by the Ministry of Home Affairs (MoHA) and approved by the Cabinet. Casinos must screen customers, beneficial owners, directors, and associated parties against both the UN and domestic lists before conducting any transactions.
“Casinos are obliged to apply policies, procedures, and controls to implement TFS on those sanctioned and referred to in the UN List and the Domestic Terrorist List,” it states.
Casinos are required to subscribe to UN and MoHA notification systems, conduct daily screening of customer databases and transaction parties, and freeze all funds and assets of designated persons without delay and without prior notice. They must report freezing actions to the Department of Tourism within three days.
Sanctions apply to a broad range of financial assets and economic resources, including cash, deposits, securities, real estate, vehicles, jewellery, and intellectual property. Even partial ownership by a designated person triggers an immediate freeze; if ownership shares cannot be separated, the entire asset must be frozen.
The Department of Tourism will oversee compliance. Casinos that fail to adhere to the rules will face heavy penalties, including fines ranging from Rs 1 million to Rs 50 million, along with administrative actions such as warnings or license revocation.
Individuals whose assets are frozen may apply to the MoHA for exemptions to access funds for basic needs such as food, housing, health, education, and legal services. For those listed by the UN, exemptions require approval from the UN Security Council Sanctions Committee. Freezing measures may be revoked if a case is found to be a false positive or if the person or entity is delisted.
By targeting casinos—classified as Designated Non-Financial Businesses and Professionals—the government aims to close potential loopholes that could be exploited for terrorism financing. The endorsement of the guideline reinforces Nepal’s commitment to international security obligations and its domestic counterterrorism framework.
