Legal Notice 464 of 2014 has amended the Prevention of Money Laundering and Funding of Terrorism Regulations ("PMLFTR").
The new amendments further clarify the provisions of the PMLFTR, extend the scope of the regulations and introduce new powers for the Financial Intelligence Analysis Unit ("FIAU").
The main changes to the PMLFTR are as follows:
The definition of "Case 2" has been extended to include a transaction that involves property that may have been derived from, or constitutes the proceeds of, criminal activity.
The definition of "Funding of Terrorism" has been amended to include Article 328B of the Criminal Code relating to terrorist groups. The definition now includes any person who promotes, constitutes, organises, directs, finances, supplies information or materials to terrorist groups.
The business of an electronic money institution and natural persons who are enrolled as intermediaries and act on behalf of another intermediary have been removed from the definition of "relevant financial business".
The penalties for contraventions under the PMLFTR have been streamlined to a minimum of EUR 1,000 and a maximum of EUR 46,500.
The FIAU now has the power to require subject persons to terminate a business relationship within a stipulated period of time where the FIAU knows or suspects that money laundering or funding of terrorism is taking place.
The FIAU now also has the power to request periodcal reporting from subject persons and may establish the format in which the information is to be provided.
For more information on such amendments, please feel free to contact us.