On 10 January 2020 the Government brought into force the latest iteration of the Money Laundering and Terrorist Financing (Amendment) Regulations 2019.
This new 5th AML directive contains some relatively small but important changes to the AML rules.
The changes include:
- New wording which states that wherever possible, businesses must use electronic verification for their anti-money laundering checks rather than just looking at paper-based documents such as passports and driving licences.
- Update regarding e-money products - mainly that the limit for pre-paid cards is being lowered from 250 euros to 150 euros (and online transactions to 50 euros), and in any event, only permitted from a country that has suitable AML prevention in place.
- Virtual currencies – all crypto-currency exchanges are now under the same obligation to submit SAR’s (Suspicious Activity Reports) as more traditional industry organisations, and ownership of these crypto-currencies can no longer be anonymous.
- Beneficial ownership information will now be accessible to members of the public.
- High-risk countries will be subject to increased due diligence checks.
Failure to adhere to these new (and any existing) rules can now lead to businesses facing fines of a max of 5 million euros or 10% of annual turnover, or a complete block on trading.
The Geodesys AML solution satisfies the electronic verification stipulated in the latest directive and includes key features in the way it is carried out that also help your business meet various other directive requirements. Its incorporated dashboard also helps you stay on top of your firm’s risk approach and provides a one button audit of all AML transactions should you need a quick and easy summary for inspection.
For more information about AML or any of Geodesys products, contact your account manager or our customer services team on 0800 085 8050.