Cabinet Approves publication of the Criminal Justice (Money Laundering and Terrorist Financing) (Amendment) Bill 2020September 2020
On Aug. 10, the Cabinet approved a bill to transpose the European Union’s Fifth Anti-Money Laundering Directive (AMLD5) into national law, thereby strengthening existing legislation in Ireland.
Approval from the Cabinet gives Ireland’s Minister for Justice and Equality, Helen McEntee, the go-ahead to publish the new bill.
AMLD5 first came into force on July 9, 2018, and gave EU member states until January 2020 to incorporate the directive into their respective national laws.
In July, the European Court of Justice had fined Ireland 2 million euros for its delay in bringing the country’s AML and CFT rules into line with the rest of the EU.
The Bill includes provisions to:
- improve the safeguards for financial transactions to and from high-risk third countries and sets
- new limits on the use of anonymous pre-paid cards;
- bring a number of new ‘designated bodies’ under the existing legislation, this includes virtual currency providers and associated online ‘wallet providers’ for virtual currencies as well as dealers and intermediaries in the art trade;
- prevents credit and financial institutions from creating anonymous safe-deposit boxes;
- enhances the customer due diligence (CDD) requirements of the existing legislation;
- sanctions for credit and financial institutions that do not screen for EU financial sanctions;
- provides for Ministerial guidance which will clarify domestic “prominent public functions” for Politically Exposed Persons
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By Judy de Castro