New AML package

Antwort Law provides an overview of the European Union's new anti-money laundering (AML) and counter-terrorism financing package, which was approved by the European Parliament on 24 April 2024.

The new AML package includes six directives and two main regulations: the EU Single Rulebook Regulation and the AMLA Regulation, which replace previous directives and introduce more stringent requirements and procedures for financial institutions, as well as new entities such as cryptocurrency platforms, sports clubs and crowdfunding operators .

Key aspects of the new legislation:

1. Beneficial ownership: People with a legitimate interest, including journalists and civil society organizations, will have unrestricted access to beneficial ownership data held in EU national registries. This information will include data for a period of at least five years.
2. Due Diligence: Banks and other financial institutions must conduct in-depth due diligence on suspicious customers and notify regulators of any suspicious transactions.
3. Creation of AMLA: A new mega-regulator at the EU level, the Authority for Anti-Money Laundering and Countering the Financing of Terrorism (AMLA), will monitor compliance with AML policies and coordinate actions at the national level.
4. Expansion of obligated entities: obligated entities now include not only financial institutions, but also other organizations, including football clubs and crypto providers, which significantly expands the range of participants subject to AML control.
5. Cash Transaction Restrictions: A Europe-wide cash payment limit of €10,000 has been introduced, which aims to reduce opportunities for money laundering through large cash transactions.
6. Public audit: mandatory audits have been introduced for certain sectors of the economy, which increases the transparency of financial transactions.
7. AMLA Oversight: The new regulator will directly supervise the riskiest financial institutions and coordinate the implementation of targeted financial sanctions.

For businesses in the EU, including firms operating internationally, innovation means the need to review and possibly tighten internal rules and procedures in the field of AML and KYC. This is especially true for companies operating in the cryptocurrency sector and the sports industry, where transparency and reporting requirements are becoming even more stringent.

Antwort Law is ready to provide legal support to companies seeking to adapt to new conditions. We help our clients understand and implement necessary changes to their operational procedures, ensuring compliance with new AML regulation, conducting legal audits and advising on financial security and compliance issues.

You can learn more about how to adapt to new laws and minimize risks by contacting Antwort Law. We will help your business remain at the forefront of the fight against money laundering and terrorist financing, using our international experience and knowledge of European legislation.

Maryna Makarenko

CEO,
Antwort Law