22 Amendments of Daniel BUDA related to 2016/0208(COD)
Amendment 15 #
Proposal for a directive
Recital 1
Recital 1
(1) Directive (EU) 2015/849 of the European Parliament and the Council24 constitutes the main legal instrument in the prevention of the use of the Union's financial system for the purposes of money laundering and terrorist financing. That Directive, which is to be transposed by 26 June 2017, sets out an updated, transparent, efficient and comprehensive legal framework to address the collection of money or property for terrorist purposes by requiring Member States to identify, understand and, mitigate and prevent risks related to money laundering and terrorist financing. _________________ 24 Directive (EU) 2015/849 of the European Parliament and of the Council of 20 May 2015 on the prevention of the use of the financial system for the purposes of money laundering or terrorist financing, amending Regulation (EU) No 648/2012 of the European Parliament and of the Council, and repealing Directive 2005/60/EC of the European Parliament and of the Council and Commission Directive 2006/70/EC (OJ L 141, 5.6.2015, p. 73).
Amendment 16 #
Proposal for a directive
Recital 2
Recital 2
(2) Recent terrorist attacks have brought to light emerging new trends, in particular regarding the way terrorist groups finance and conduct their operations. Certain modern technology services are becoming more and more popular as alternative financial systems and remain outside the scope of Union legislation or benefit from exemptions that may no longer be justified. In order to keep pace with evolving trends, further measures to improve the existing preventive framework should be takenshould be taken to ensure increased transparency of financial transactions and of corporate entities under the preventive legal framework in place in the Union, with a view to improving the existing preventive framework and countering the financing of terrorism more effectively.
Amendment 17 #
Proposal for a directive
Recital 3
Recital 3
(3) While the aims of Directive (EU) 2015/849 should be pursued, any amendments to that Directive should be consistent with the Union's ongoing action in the field of countering terrorism and terrorism financing. The European Agenda on Security25 indicated, with due regard for the fundamental rights and principles recognised in the Charter of Fundamental Rights of the European Union, as well as the observance and application of the proportionality principle. The European Agenda on Security25 identified as a priority the upgrading of the EU legal framework to combat terrorism, indicating the need for measures to address terrorist financing in a more effective and comprehensive manner, highlighting that infiltration of financial markets allows terrorism financing. The European Council conclusions of 17-18 December 2015 also stressed the need to take rapidly further action against terrorist finance in all domains. _________________ 25 Communication from the Commission to the European Parliament, the Council, the European Economic and Social Committee and the Committee of the Regions "The European Agenda on Security", COM(2015) 185 final.
Amendment 20 #
Proposal for a directive
Recital 5
Recital 5
(5) Union measures must also accurately reflect developments and commitments undertaken at international level. UN Security Council Resolutions 2199 (2015) and 2253 (2015) urges States to prevent terrorist groups from gaining access to international financial institutions.
Amendment 22 #
Proposal for a directive
Recital 6
Recital 6
(6) Providers of exchange services between virtual currencies and fiat currencies (that is to say currencies declared to be legal tender) as well as custodian wallet providers for virtual currencies are under no obligation to identify suspicious activity. Terrorist groups are thus able to transfer money into the Union's financial system or within virtual currency networks by concealing transfers or by benefiting from a certain degree of anonymity on those platforms. It is therefore essential to extend the scope of Directive (EU) 2015/849 so as to include virtual currency exchange platforms and custodian wallet providers. Competent authorities should be able to monitor the use of virtual currencies. This would provide a balanced and proportional approach, safeguarding technical advancat the same time safeguarding both the innovative technical advances offered by such currencies and the high degree of transparency attained in the field of alternative finance and social entrepreneurship.
Amendment 25 #
Proposal for a directive
Recital 11
Recital 11
(11) General purpose prepaid cards, which are considered to have a social value, have legitimate uses and constitute an accessible instrument contributing to financial inclusion. However, anonymous prepaid cards are easy to use in financing terrorist attacks and logistics. It is therefore essential to deny terrorist this means of financing their operations, by further reducing the limits and maximum amounts under which obliged entities are allowed not to apply certain customer due diligence measures provided by Directive (EU) 2015/849. Thus, while having due regard to consumers' needs in using general purpose prepaid instruments for legitimate purposes and not preventing the use of such instruments for promoting social and financial inclusion, it is essential to lower the existing thresholds for general purpose anonymous prepaid cards and suppress the customer due diligence exemption for their online use.
Amendment 29 #
Proposal for a directive
Recital 14
Recital 14
(14) FIUs should be able to obtain from any obliged entity all the necessary information relating to their functions. Unfettered access to information is essential to ensure that flows of money can be properly traced and illicit networks and flows detected at an early stage. When FIUs need to obtain additional information from obliged entities based on a suspicion of money laundering, such suspicion may be triggered by a prior suspicious transaction report reported to the FIU, but also through other means such as FIU's own analysis, intelligence provided by competent authorities or information held by another FIU. FIUs should therefore be able to obtain informationthe financial, administrative and law enforcement information they require to undertake their functions properly from any obliged entity, even without a prior report being made by the individual obliged entity. A FIU should also be able to obtain such information on a request made by another Union FIU and to exchange the information with the requesting FIU.
Amendment 31 #
Proposal for a directive
Recital 16
Recital 16
(16) In order to respect privacy and protect personal data, such registries should store the minimum data necessary to the performance of AML investigations or the financing of terrorism. The concerned data subjects should be informed that their data are recorded and accessible by FIUs and should be given a contact point for exercising their rights of access and rectification. When transposing these provisions, Member States should set out maximum retention periods (supported by adequate reasoning as to their duration) for the registration of personal data in registries and provide for their destruction once the information is no longer needed for the stated purpose. Access to the registries and databases should be limited on a need to know basis.
Amendment 37 #
Proposal for a directive
Recital 21
Recital 21
(21) The specific factor determining the Member State responsible for the monitoring and registration of beneficial ownership information of trusts and similar legal arrangements should be clarified. In order to avoid that, due to differences in the legal systems of Member States, certain trusts are not monitored or registered anywhere in the Union, all trusts and similar legal arrangements should be registered where they are set up, administered or managed. In order to ensure the effective monitoring and registration of information on the beneficial ownership of trusts, cooperation among Member States is also necessary.
Amendment 38 #
Proposal for a directive
Recital 22
Recital 22
(22) Public access by way of compulsory disclosure of certain information on the beneficial ownership of companies provides additional guarantees to third parties wishing to do business with those companies. Certain Member States have taken steps or announced their intention to make information contained in registers of beneficial ownership available to the public. The fact that not all Member States would make information publicly available or differences in the information made available and its accessibility may lead to different levels of protection of third parties in the Union. In a well- functioning internal market, there is a need for coordination to avoid distortions and for greater transparency, which is key to maintaining public confidence in the financial system.
Amendment 41 #
Proposal for a directive
Recital 35
Recital 35
(35) In order to ensure legitimacy and proportionality, the beneficial ownership information in respect of any other trusts than those which consist of any property held by, or on behalf of, a person carrying on a business which consists of or includes the management of trusts, and acting as trustee of a trust in the course of that business with a view to gain profit should only be available to parties holding a legitimate interest. The legitimate interest with respect to money laundering, terrorist financing and the associated predicate offences should be justified by readily available means, such as statutes or mission statement of non-governmental organisations, or on the basis of demonstrated previous activities relevant to the fight against money laundering and terrorist financing or associated predicate offences, or a proven track record of surveys or actions in that field.
Amendment 53 #
Proposal for a directive
Article 1 – paragraph 1 – point 3 – point c
Article 1 – paragraph 1 – point 3 – point c
Directive (EU) 2015/849
Article 12 – paragraph 3
Article 12 – paragraph 3
(3) "3 Member States shall ensure that Union credit institutions and financial institutions acting as acquirers only accept payments carried out with prepaid cards issued in third countries where such cards meet requirements equivalent to those set out in points (a), (b), (c) of the first subparagraph of Article 13(1) and Article 14, or can be considered to meet the requirements in paragraphs 1 and 2 of this Article. As a precautionary measure, the sending of prepaid cards by post or courier outside the jurisdiction of the EU Member States must immediately be reported to, and recorded by, the competent persons.";
Amendment 57 #
Proposal for a directive
Article 1 – paragraph 1 – point 5
Article 1 – paragraph 1 – point 5
Directive (EU) 2015/849
Article 14 – paragraph 5
Article 14 – paragraph 5
(5) "5. Member States shall require that obliged entities apply the customer due diligence measures not only to all new customers but also at appropriate times to existing customers on a risk-sensitive basis, or when the relevant circumstances of a customer change, or when the obliged entity has a duty in the course of the relevant calendar year, to contact the customer for the purpose of reviewing any information related to the beneficial owner(s), in particular under Directive 2011/16/EU."; Member States shall request the obliged entity to contact the customer with a view to reviewing any information related to the beneficial owner(s) at the latest by ... [one year from the date of entry into force of this amending directive].
Amendment 59 #
"In the cases referred to in Articles 19 to 24, as well as in other cases of higher risk that are identified by Member States or obliged entities, Member States shall require obliged entities to apply enhanced customer due diligence measures to manage and mitigate those risks appropriately.";
Amendment 66 #
Proposal for a directive
Article 1 – paragraph 1 – point 9 – point b
Article 1 – paragraph 1 – point 9 – point b
Directive (EU) 2015/849
Article 30 – paragraph 6 – subparagraph 1
Article 30 – paragraph 6 – subparagraph 1
"6. The central register referred to in paragraph 3 shall ensure, with a view to guaranteeing efficiency, timely and unrestricted access by competent authorities and FIUs to all information held in the central register without any restriction and without alerting the entity concerned. It shall also allow timely and unrestricted access by obliged entities when taking customer due diligence measures in accordance with Chapter II.
Amendment 67 #
Proposal for a directive
Article 1 – paragraph 1 – point 9 – point b
Article 1 – paragraph 1 – point 9 – point b
Directive (EU) 2015/849
Article 30 – paragraph 6 – subparagraph 2
Article 30 – paragraph 6 – subparagraph 2
Competent authorities granted access to the central register referred to in paragraph 3 shall be those public authorities with designated responsibilities for combating money laundering or terrorist financing, including tax authorities, supervisory authorities and authorities that have the function of investigating or prosecuting money laundering, associated predicate offences and terrorist financing, tracing and seizing or freezing and confiscating criminal assets.";:
Amendment 70 #
Proposal for a directive
Article 1 – paragraph 1 – point 9 – point c
Article 1 – paragraph 1 – point 9 – point c
Directive (EU) 2015/849
Article 30 – paragraph 10 – subparagraph 3
Article 30 – paragraph 10 – subparagraph 3
Member States shall cooperate among themselves and with the Commission in order to implement the different types of access in accordance with paragraph 5 and taking into account the latest international standards applicable.";
Amendment 72 #
Proposal for a directive
Article 1 – paragraph 1 – point 10 – point a
Article 1 – paragraph 1 – point 10 – point a
Directive (EU) 2015/849
Article 31 – paragraph 1 – subparagraph 1
Article 31 – paragraph 1 – subparagraph 1
"1. Member States shall ensure that this Article applies to trusts and other types of legal instrument or legal arrangements having a structure or functions similar to trusts, such as, inter alia, fiducie, Treuhand or fideicomiso.
Amendment 75 #
Proposal for a directive
Article 1 – paragraph 1 – point 10 – point b
Article 1 – paragraph 1 – point 10 – point b
Directive (EU) 2015/849
Article 31 – paragraph 3 a
Article 31 – paragraph 3 a
(3a) "3a. The information referred to in paragraph 1 shall be held in athe central register set up byof the Member State where the trust is set up, administered or managed.";
Amendment 76 #
Proposal for a directive
Article 1 – paragraph 1 – point 10 – point c
Article 1 – paragraph 1 – point 10 – point c
Directive (EU) 2015/849
Article 31 – paragraph 4 – subparagraph 2
Article 31 – paragraph 4 – subparagraph 2
Competent authorities granted access to the central register referred to in paragraph 3a shall be those public authorities with designated responsibilities for combating money laundering or terrorist financing, including, tax authorities, supervisory authorities and authorities that have the function of investigating or prosecuting money laundering, associated predicate offences and terrorist financing and seizing or freezing and confiscating criminal assets.";
Amendment 81 #
Proposal for a directive
Article 1 – paragraph 1 – point 10 – point d
Article 1 – paragraph 1 – point 10 – point d
Directive (EU) 2015/849
Article 31 – paragraph 4 b
Article 31 – paragraph 4 b
(4b) Whenever entering into a new customer relationship with a trust or other type of legal instrument or legal arrangement subject to registration of beneficial ownership information pursuant to paragraph 3a, the obliged entities shall collect proof of registration whenever applicable.";
Amendment 92 #
Proposal for a directive
Article 1 – paragraph 1 – point 18
Article 1 – paragraph 1 – point 18
Directive (EU) 2015/849
Article 50a – paragraph 1 – introductory part
Article 50a – paragraph 1 – introductory part
Member States shall not prohibit or place unreasonable or unduly restrictive conditions on theensure the unrestricted exchange of information orand assistance between competent authorities. In particular Member States shall ensure that competent authorities do not refuse a request for assistance on the grounds that: To ensure clarity and fulfil the purpose of this article, a positive formulation is necessary, replacing ‘shall not prohibit’ with ‘ensure’ and ‘unduly restrictive’ with ‘unrestricted’.Or. ro