The European Parliament Adopted Tougher Rules on Money Laundering

On 20th May 2015 the European Parliament adopted new tougher rules on monеy laundering, which will help fight tax crime and terrorist financing in the EU.

The fourth anti-money laundering directive (AMLD) will oblige EU member states to keep central registers of information on the ultimate “beneficial” owners of corporate and other legal entities, as well as trusts. The AMLD sets out specific reporting obligations for banks, auditors, lawyers, etc. on suspicious transactions made by their clients.

Central registers will be accessible to the authorities and their financial intelligence units, obliged entities and also to the public. Аccess to a register shall be granted in case legitimate interest in suspected money laundering and terrorist financing is demonstrated.

Central register information on trusts will be accessible only to the authorities and obliged entities.

The AMLD clarifies the rules on “politically-exposed persons”, i.e. people at a higher than usual risk of corruption due to the political positions they hold.

MEPs also approved a “transfers of funds” regulation, which aims to improve the traceability of payers and payees and their assets.

Member states will have two years to transpose the AMLD into their national laws.