The National Assembly today decided the legislative committee should study the possibility to add fronting as a new clause in the Penal Code of Bhutan.
The economic affairs ministry recommended the additional clause while presenting the report on fronting.
Economic affairs minister, Lekey Dorji said the laws do not say anything about fronting and that even the Penal Code of Bhutan 2004 is silent on fronting.
“Fronting is a word coined in Bhutan to mean unlicensed person in front to operate a business licensed to another person,”said Lyonpo Lekey Dorji.
“One of the findings of the committee was that the current penalty for engaging in Fronting is a mere cancellation of the license and immediate closure of the business since Fronting is not categorized as a criminal offense.”
Panbang MP, Dorji Wangdi said not just trade but fronting of services should also be included. He also pointed out that the Anti-Corruption Commission considers fronting as criminal case whereas it is a civil case under Office of the Attorney General.
Education Minister, Norbu Wangchuk said all the services also comes under trade.
The last session of the National Assembly had resolved to amend the relevant laws to define Fronting as a criminal offence in which the Ministry of Economic Affairs was mandated to carry out a study.
