MIL-OSI Translation: Fighting money laundering more effectively through greater transparency – full register and more intensive information exchange


MIL OSI Translation. Region: Germany / Deutschland –

Source: Federal Ministry of Finance International / Financial Market

Today the federal government passed a draft law amending the Money Laundering Act (Transparency Financial Information Act): “We want to fight money laundering even more effectively. The transparency register is therefore being upgraded in order to further arm the existing arsenal in the fight against money laundering and terrorist financing. This should make it easier to see through the often deliberately complex company structures, to recognize straw men and to track down mailbox companies. This instrument is intended to protect German companies from coming into contact with dubious business partners and criminal machinations. Since money laundering does not stop at national borders, we are also facilitating and intensifying the exchange of data within the European family. “Finance Minister Olaf ScholzTransparency Register Becomes Full RegisterThe German transparency register has so far been designed as a catch-all register, ie an entry of companies already registered in the trade, cooperative or partnership register can be dispensed with if all necessary data on the beneficial owners can be determined from these registers. For those who inspect – namely those obliged under money laundering law within the meaning of Section 2 (1) of the Money Laundering Act (these include banks and financial service providers as well as many smaller companies such as goods dealers and real estate agents) – this means that the beneficial owner can sometimes only be determined by evaluating several complex register documents can. With the full register, the data on all beneficial owners will now be entered directly there and digitally accessible. This also creates greater legal certainty about the audit obligations in the area of ​​money laundering. Intensification of the European exchange of information The draft law also serves – as provided for by the EU Financial Information Directive – to further improve the national and international networking of the various actors in the area of ​​the prevention of money laundering and terrorist financing. For this purpose, existing mechanisms such as the German account retrieval procedure and the intensive information exchange channels between the law enforcement authorities and the Financial Intelligent Unit (FIU) are taken up and transferred to the European context. This includes, for example, the now specially regulated and simplified transfer of data from the account retrieval procedure or FIU information via the Federal Criminal Police Office to Europol.


EDITOR’S NOTE: This article is a translation. Apologies should the grammar and / or sentence structure not be perfect.

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