Brussels, 18/06/2014 (Agence Europe) - On Wednesday 18 June, the member states reached agreement in principle on the legislative package (a directive and regulation) that steps up the fight against money laundering by including the recommendations from the OECD's Financial Action Task Force (FATF) in European legislation.
According to this political agreement in principle, exemption for certain gaming operators would be left up to member states to decide, following an appropriate risk assessment related to granting such an exemption. This exemption would, however, not include casinos or cross-border online gaming services. According to a Council press release, the other member states will need to be informed about any exemptions granted at a national level. Exemptions will also be decided by member states with regard to certain e-money services, which will also be on the basis of a risk assessment.
In February 2013, the European Commission proposed extending the scope of European rules on money laundering. The threshold was reduced (from €15,000 to €10,000) upon which a cash payment for acquisition of goods or provision of gaming services should be subject to specific monitoring.
The Council believes that the national authorities responsible and the investigative bodies involved in financial crime should have access to information on the storing of information regarding the beneficiaries and owners of trusts and foundations. A member state, if it so wishes, will also be able to grant access to this information to credit establishments.
In the context of sanctions, the minimum fine threshold has been set at €1 million. For offences involving banks or other financial undertakings, the minimum threshold now stands at €5 million.
In a press release, Commissioner for the Internal Market Michel Barnier said that he was delighted with the political agreement reached by the permanent representatives of the EU (Coreper) on Wednesday and stated that “Europe must lead by example by putting in place a framework which focuses on greater effectiveness and improved transparency in order to make it harder for criminals to abuse the financial system”. He welcomed the determination of Parliament and member states “to introduce new investigative tools” to tackle money laundering.
This agreement paves the way to launching inter-institutional negotiations with the European Parliament as soon as it is up and running again. In March, MEPs adopted their position on this legislative text (see EUROPE 11037). (MB)