Commission Adopts New Anti-Money Laundering Risk Assessment Reports
The European Commission has adopted four reports concerning the monitoring and implementation of EU anti-money laundering and countering terrorism financing rules. The reports include: the 2019 Supranational Risk Assessment report; a Financial Intelligence Units assessment report; an assessment report of recent money laundering cases involving EU credit institutions; and a report on the interconnection of central bank account registries.
Notably, the updated 2019 Supranational Risk Assessment report categorises the risk oftax advisers and accountants’ services being used in money laundering as “significant”, and identifies that despite being well organised, there are weaknesses in the manner in which checks are carried out and risk is managed by the profession. The Assessment recommends the Commission carry out transposition checks concerning the AML Directives on Member States, and that Member States ensure obliged entities are compliant with the requirements of the Directives, as well as issue guidance concerning the topics of risk factors involving accountants and how to interpret and apply legal privilege.
The reports will inform further debate and action taken by the Commission, including concerning obligations for financial institutions and supervisory bodies.