Transcript AML 4 - Central Bank of Ireland

Anti-Money Laundering Directive/Wire Transfer Regulation
Overview
Commission proposals for a
Directive and a Regulation
Directive &
Regulation
General Approach agreed
February 2013
June 2014
Latest news
The Greek Presidency secured a Council General Approach on the AML legislative
package (including the 4th AML Directive and the new Fund Transfer Regulation) at the
COREPER meeting on 18 June 2014.
The Italian Presidency now has a negotiating mandate to begin trilogues with the
European Parliament on this legislative package (expected start date – Q4, 2014).
On 11 March 2014, the European Parliament in plenary session adopted the 4th AntiMoney Laundering Directive and the accompanying Regulation on information
accompanying transfers of funds. The Parliament adopted the text at first reading,
even though the Council had not finalised its position yet, in order to consolidate the
work done in the current Parliamentary term, and to prevent the next European
Parliament from altering the positions’ of the rapporteurs. Having been re-elected,
Krišjānis Karins (LV, EPP) is expected to continue as Rapporteur on this file for the
duration of the 2014-2019 European Parliament term.
On 5 February 2013, the European Commission adopted two
proposals for legislation to update the EU’s existing Third Anti-Money
Laundering (AML) Directive and Fund Transfers Regulation. The
Directive relates to the prevention of the use of the financial system
for the purpose of money laundering and terrorist financing and a
Regulation on information accompanying transfers of funds to secure
“due traceability” of these transfers. The proposed Directive;
• Provides a clear mechanism for identification of beneficial
owners.
• Improves clarity and transparency of the rules on customer due
diligence
• Expands the provisions dealing with politically exposed persons,
• Extends its scope to address new threats and vulnerabilities e.g.
coverage of the gambling sector (the former Directive covered
only casinos) and by including an explicit reference to tax crimes.
• Goes beyond the FATF requirements in bringing within its scope
all persons dealing in goods or providing services for cash
payment of €7,500 or more, however the Directive provides for
minimum harmonisation and Member States may decide to go
below this threshold.
• Strengthens the cooperation between the different national
Financial Intelligence Units (FIUs) whose tasks are to receive,
analyse and disseminate to competent authorities reports about
suspicions of money laundering or terrorist financing.
In a recently published Opinion on virtual currencies, the European
Banking Authority has recommended that EU legislators consider
declaring market participants at the direct interface between
conventional and virtual currencies, such as virtual currency
exchanges, to become ‘obliged entities’ under the EU Anti Money
Laundering Directive and thus subject to its anti-money laundering
and counter terrorist financing requirements