On May 30, 2024, the European Union Council published a package of legislative proposals to strengthen the EU’s rules on anti-money laundering and countering the financing of terrorism (AML/CFT).
The EU AML Package consists of:
- • Sixth Anti-Money Laundering Directive:
- • Organizes national authorities to combat money laundering and terrorism financing.
- • Creates Centralized Bank Account Registers for single access point data
- • Harmonizes the format of bank statements for better tracing and confiscating crime proceeds.
- • EU “Single Rulebook” Regulation:
- • Harmonizes anti-money laundering rules across the EU.
- • Includes new entities like crypto-sector, luxury goods traders, football clubs, and agents.
- • Sets EUR 10,000 limit on cash payments
- • Imposes stricter due diligence standards and regulates disclosure of beneficial ownership.
- • Anti-Money Laundering Authority:
- • Based in Frankfurt, it will have supervisory powers over high-risk entities in the financial sector.
- • Establishes clear rules for cooperation between financial intelligence units (FIUs) and supervisors
- • Can impose sanctions for serious breaches of requirements.
The AML regulation will apply three years after the entry into force. Member states will have two years to transpose some parts of the AML directive and three years for others
