Identification of exposed sectors at national level
1. Where a Member State identifies that, in addition to obliged entities, entities in other sectors are exposed to money laundering and terrorist financing risks, it may decide to apply all or part of Regulation (EU) 2024/1624 to those additional entities.
2. For the purposes of paragraph 1, Member States shall notify the Commission of their intention to apply all or part of Regulation (EU) 2024/1624 to entities in other sectors. Such notification shall be accompanied by:
(a)
a justification of the money laundering and terrorist financing risks underpinning such intention;
(b)
an assessment of the impact that such application will have on the provision of services within the internal market;
(c)
the requirements of Regulation (EU) 2024/1624 that the Member State intends to apply to those entities;
(d)
the text of the draft national measures, as well as any update thereof where the Member State has significantly altered the scope, content or implementation of those notified measures.
3. Member States shall postpone the adoption of national measures for 6 months from the date of the notification referred to in paragraph 2.
The postponement referred to in the first subparagraph of this paragraph shall not apply in cases where the national measure aims at addressing a serious and present threat of money laundering or terrorist financing. In that case, the notification referred to in paragraph 2 shall be accompanied by a justification as to why the Member State will not postpone its adoption.
4. Before the end of the period referred to in paragraph 3, the Commission, having consulted the Authority for Anti-Money Laundering and Countering the Financing of Terrorism established by Regulation (EU) 2024/1620 (AMLA), shall issue a detailed opinion regarding whether the measure envisaged:
(a)
is adequate to address the risks identified, in particular as regards whether the risks identified by the Member State concern the internal market;
(b)
may create obstacles to the free movement of services or capital or to the freedom of establishment of service providers within the internal market which are not proportionate to the money laundering and terrorist financing risks the measure aims to mitigate.
The detailed opinion referred to in the first subparagraph shall also indicate whether the Commission intends to propose action at Union level.
5. Where the Commission does not consider it appropriate to propose action at Union level, the Member State concerned shall, within 2 months of receiving the detailed opinion referred to in paragraph 4, report to the Commission on the action it proposes in relation thereto. The Commission shall comment on the action proposed by the Member State.
6. Where the Commission indicates its intention to propose action at Union level in accordance with paragraph 4, second subparagraph, the Member State concerned shall abstain from adopting the national measures referred to in paragraph 2, point (d), unless those national measures aim at addressing a serious and present threat of money laundering or terrorist financing.
7. Where, on 9 July 2024, Member States have already applied national provisions transposing Directive (EU) 2015/849 to other sectors than obliged entities, they may apply all or part of Regulation (EU) 2024/1624 to those sectors.
By 10 January 2028, Member States shall notify the Commission of the sectors identified at national level pursuant to the first subparagraph of this paragraph to which the requirements of Regulation (EU) 2024/1624 apply, accompanied by a justification of the exposure of those sectors to money laundering and terrorist financing risks. Within 6 months of such notification, the Commission having consulted AMLA, shall issue a detailed opinion pursuant to paragraph 4. Where the Commission does not consider it appropriate to propose action at Union level, paragraph 5 shall apply.
8. By 10 July 2028 and every year thereafter, the Commission shall publish a consolidated list of the sectors to which Member States have decided to apply all or part of Regulation (EU) 2024/1624 in the Official Journal of the European Union.
Requirements relating to certain service providers
1. Member States shall ensure that currency exchange and cheque cashing offices, and trust or company service providers, are either licensed or registered.
2. Member States shall ensure that all providers of gambling services are regulated.
3. Member States shall ensure that obliged entities other than those referred to in paragraphs 1 and 2 are subject to minimum registration requirements which enable supervisors to identify them.
The first subparagraph shall not apply where the obliged entities other than those referred to in paragraphs 1 and 2 are subject to licensing or registration requirements under other Union legal acts, or to national rules regulating access to the profession or subjecting it to licensing or registration requirements which enable supervisors to identify them.
Requirements relating to the granting of residence rights in exchange for investment
1. Member States whose national law enables the granting of residence rights in exchange for any kind of investment, such as capital transfers, purchase or renting of property, investment in government bonds, investment in corporate entities, donation or endowment of an activity contributing to the public good and contributions to the state budget, shall put in place at least the following measures to mitigate the associated risks of money laundering, its predicate offences or terrorist financing:
(a)
a risk management process, including the identification, classification and mitigation of risks under the coordination of a designated authority;
(b)
measures providing for the mitigation of risks of money laundering, its predicate offences or terrorist financing associated with applicants for the granting of residence rights in exchange for investment including:
(i)
checks on the profile of the applicant by the designated authority, including obtaining information on the source of funds and source of wealth of the applicant;
(ii)
verification of information on applicants against information held by competent authorities as referred to in Article 2(1), point (44)(a) and (c), of Regulation (EU) 2024/1624 subject to the respect of the applicable national criminal procedural law and against lists of individuals and entities subject to Union restrictive measures;
(iii)
periodic reviews of medium and high-risk applicants.
2. Member States shall ensure monitoring of implementation of the risk management process as referred to in paragraph 1, point (a), including by assessing it on an annual basis.
3. Member States shall adopt and implement the measures referred to in paragraph 1 of this Article in a manner consistent with the risks identified under the risk assessment carried out pursuant to Article 8.
4. Member States shall publish an annual report on the risks of money laundering, its predicate offences or terrorist financing associated with the granting of residence rights in exchange for investment. Those reports shall be made public and shall include the information on:
(a)
the number of received applications and of countries of origin of the applicants;
(b)
the number of residence permits granted or rejected, and the reasons for such rejections;
(c)
any evolution detected in the risks of money laundering, its predicate offences and terrorist financing associated with the granting of residence rights in exchange for investment.
5. By 10 July 2028, Member States shall notify the Commission of the measures adopted under paragraph 1 of this Article. That notification shall include an explanation of those measures based on the relevant risk assessment carried out by Member States pursuant to Article 8.
6. The Commission shall publish in the Official Journal of the European Union the measures notified by Member States pursuant to paragraph 5.
7. By 10 July 2030, the Commission shall publish a report assessing the measures notified pursuant to paragraph 5 in mitigating the risks of money laundering, its predicate offences and terrorist financing and, where necessary, issue recommendations.
Checks on the senior management and beneficial owners of certain obliged entities
1. Member States shall require supervisors to verify that the members of the senior management in the obliged entities referred to in Article 4(1) and (2) as well as financial mixed activity holding companies, and the beneficial owners of such entities are of good repute, and act with honesty and integrity. Senior management of such entities shall also possess the knowledge and expertise necessary to carry out their functions.
2. With respect to the obliged entities referred to in Article 3, points (3)(a), (b), (d), (e), (f) and (h) to (o), of Regulation (EU) 2024/1624, Member States shall ensure that supervisors take the necessary measures to prevent persons convicted of money laundering, its relevant predicate offences or terrorist financing or their associates from being professionally accredited, from holding a senior management function in or from being the beneficial owners of those obliged entities.
3. Member States shall ensure that supervisors verify, on a risk-sensitive basis, whether the requirements of paragraphs 1 and 2 continue to be met. In particular, they shall verify whether the senior management of obliged entities referred to in paragraph 1 is of good repute, acts with honesty and integrity and possesses knowledge and expertise necessary to carry out its functions in cases where there are reasonable grounds to suspect that money laundering or terrorist financing is being or has been committed or attempted, or there is increased risk thereof in an obliged entity.
4. Member States shall ensure that supervisors have the power to request the removal of any person convicted of money laundering, its relevant predicate offences or terrorist financing, from the senior management of obliged entities as referred to in paragraphs 1 and 2. Member States shall ensure that supervisors have the power to remove or impose a temporary ban on members of the senior management of the obliged entities referred to in paragraph 1 that are not deemed to be of good repute, act with honesty and integrity or possess the knowledge and expertise necessary to carry out their functions.
5. Member States shall ensure that supervisors have the power to disassociate persons convicted of money laundering, its relevant predicate offences or terrorist financing, who are beneficial owners of obliged entities as referred to in paragraphs 1 and 2, from obliged entities, including by granting supervisors the power to request the divestment of the holding by those beneficial owners in obliged entities.
6. For the purposes of this Article, Member States shall ensure that, in accordance with national law, supervisors or any other authority competent at national level for assessing the requirements applicable to persons referred to in paragraphs 1 and 2 of this Article, check the central AML/CFT database under Article 11 of Regulation (EU) 2024/1620 and whether a relevant conviction exists in the criminal record of the person concerned. Any exchange of information for those purposes shall be carried out in accordance with Framework Decision 2009/315/JHA and Decision 2009/316/JHA as implemented in national law.
7. Member States shall ensure that decisions taken by supervisors pursuant to this Article are subject to effective remedial procedures, including judicial remedy.
8. By 10 July 2029, AMLA shall issue guidelines on:
(a)
the criteria to assess good repute, honesty and integrity as referred to in paragraph 1;
(b)
the criteria to assess knowledge and expertise as referred to in paragraph 1;
(c)
the consistent application by supervisors of the power entrusted to them under this Article.
When drawing up the guidelines referred to in the first subparagraph, AMLA shall take into account the specificities of each sector in which the obliged entities operate.
9. Member States shall apply this Article in relation to the obliged entities referred to in Article 3, points 3(n) and (o) of Regulation (EU) 2024/1624 from 10 July 2029.
Source: EUR-Lex (Publications Office of the EU), © European Union, reuse permitted under Commission Decision 2011/833/EU.
