BETA

12 Amendments of Paul TANG related to 2021/0239(COD)

Amendment 162 #
Proposal for a regulation
Recital 23 a (new)
(23a) The Union legislation does not currently include provisions that describe the systems and controls that financial institutions, payment service providers or crypto-asset service providers should have to have in place to comply with targeted financial sanctions obligations. Where the legislation provides for certain exemptions from customer due diligence measures or from the obligation to obtain information on the payer or the payee in the context of funds transfers, there may be an apparent conflict between risk- based exemptions and the absolute requirement to comply with applicable sanctions regimes, which is an obligation of result. According to the assessment conducted by the European Banking Authority, there are different interpretations across Member States on the obligations on payment service providers to screen the payer or the payee against sanctions lists, as each payment service provider is expected to screen only its customer in some Member States, whereas, in others, each payment service provider has to screen both the payer and the payee. This situation could create regulatory arbitrage and gaps which could weaken the Union targeted financial sanctions regime. It is therefore necessary to establish common standards on the measures that financial institutions, payment service providers or crypto-asset service providers should take to comply with their financial sanctions obligations and clarify how they should comply with their obligations under the Union targeted financial sanctions regime, in particular in situations where certain exemptions from customer due measures and from the obligation to obtain information on the payer or the payee or on the originator or the beneficiary in the context of transfers of funds or crypto-assets are applied, as well as in situations where it may not be possible to identity with sufficient certainty the customer or beneficial owner, in particular when a transaction or a transfer involves an unhosted wallet or an unregulated entity.
2022/07/04
Committee: ECONLIBE
Amendment 166 #
Proposal for a regulation
Recital 24 a (new)
(24a) Designations made by the United Nations Security Council which impose restrictive measures in response to a threat are not immediately enforceable by the Union. Those UN sanctions become eventually applicable in the Union not immediately, but following a due process leading to the adoption of Union measures imposing targeted financial sanctions against designated persons. During the period where the information on sanctioned persons becomes public, and the actual application of EU targeted financial sanctions, there is a risk of asset flight. For this reason, some Member States decided at national level that UN designations become immediately applicable until the adoption of similar measures by the Union while other Member States may rely on preventative measures. However, there are no common rules at Union level and fragmented measures at national level. Hence, it is necessary to ensure appropriate common mitigating measures when no appropriate measures are in place at national level in order to manage the money laundering and terrorist financing risks identified following a UN designation. UN designations are made following a threat to international peace that can emanate from terrorist activities, violation of human rights and other predicate offences. Obliged entities should consider the enhanced risks of money laundering and terrorist financing posed by persons designated by the UN pending the review of this information of the Union, or before the actual entering into force of Union targeted financial sanctions. During this period time, obliged entities should report to the competent FIU any business relationship or transaction with persons considering the suspicion of money laundering, terrorist financing or predicate offence emanating from the UN listing. The FIU should decide to suspend any transaction, withhold its consent, or suspend any account until the review of the information and the adoption, or not, of targeted financial sanctions by the Union. Such measure is without prejudice of the possibility of Member States to apply temporary measures which ensure a higher level of protection of the financial system of the Union such as temporary measures applying directly UN designations pending the adoption of measures by the Union.
2022/07/04
Committee: ECONLIBE
Amendment 219 #
Proposal for a regulation
Recital 65
(65) Detailed rules should be laid down to identify the beneficial owners of corporate and other legal entities and to harmonise definitions of beneficial ownership. While a specified percentage shareholding or ownership interest does not automatically determine the beneficial owners, it should be one factor among others to be taken into account. Member States should be able, however, to decide that a percentage lower than 25% may be an indication of ownership or control. Control through ownership interest of 25% plusat least one of the shares or voting rights or other ownership interest should be assessed on every level of ownership, meaning that this threshold should apply to every link in the ownership structure and that every link in the ownership structure and the combination of them should be properly examined.
2022/07/04
Committee: ECONLIBE
Amendment 346 #
Proposal for a regulation
Article 3 – paragraph 1 – point 3 – point g a (new)
(ga) undertakings acting as traders in the European Economic Area who accept crypto-assets as means of payment for goods and services whose estimated value is above EUR 1 000 or the equivalent in national currency.
2022/07/04
Committee: ECONLIBE
Amendment 484 #
Proposal for a regulation
Article 16 – paragraph 1 – point c a (new)
(ca) obtain and assess information on whether the customer or the beneficial owner is persons involved are subjected to targeted financial sanctions relating to terrorism and terrorism financing, proliferation financing and to other applicable Union targeted financial sanctions;
2022/07/05
Committee: ECONLIBE
Amendment 494 #
Proposal for a regulation
Article 16 – paragraph 3 a (new)
3a. AMLA shall issue guidelines on the measures to be applied by obliged entities for assessing whether the customer or the beneficial owner is subject to targeted financial sanction, including how to identify entities controlled by persons subject to targeted financial sanctions.
2022/07/05
Committee: ECONLIBE
Amendment 566 #
Proposal for a regulation
Article 21 a (new)
Article 21a Timing of the assessment whether the customer and the beneficial owner is subject to targeted financial sanctions 1. Credit and financial institutions and crypto-asset service providers shall assess whether the customer and the beneficial owner is subject to targeted financial sanctions when verifying the identity of the customer and the beneficial owner pursuant to Article 19. 2. In addition to the requirements set in Paragraph 1 and without prejudice to any other measures required by Union law relating to targeted financial sanctions, obliged entities shall assess on a regular basis whether any existing customer or beneficial owner is subject to targeted financial sanctions. 3. Without prejudice to any other measures required to comply with the obligation to apply targeted financial sanctions, credit and financial institutions and crypto-asset service providers shall screen the identity of their existing customers and beneficial owners each time when targeted financial sanctions are adopted by the Union. 4. In case an obliged entity identifies, in the course of its customer due diligence requirements, that a customer or beneficial owner is subject to targeted financial sanctions, it shall immediately notify the competent authority accordingly. 5. AMLA shall issue guidelines on the measures to be applied by obliged entities for assessing whether the customer or the beneficial owner is subject to targeted financial sanctions. Those guidelines shall include the following elements: a) risk-based procedures to be established by obliged entities in order to assess whether the customer or the beneficial owner is subject to targeted financial sanctions; b) the extent, timing and procedures for screening measures to be applied by credit and financial institutions and crypto-asset service providers with regard to existing customers or when entering into a new business relationship; c) the conditions to be fulfilled for identifying entities controlled by persons subject to targeted financial sanctions; d) the notification measures to competent authorities in case an obliged entity identifies a customer or a beneficial owner subject to targeted financial sanctions.
2022/07/05
Committee: ECONLIBE
Amendment 704 #
Proposal for a regulation
Article 36 a (new)
Article 36a Persons subject to restrictive measures by international organisations 1. Obliged entities shall report to the competent FIU any business relationship or transaction with persons subject to UN sanctions in the temporary period between the moment the UN designation is made publicly available and the moment targeted financial sanctions adopted by the Union become applicable. Obliged entities shall refrain from carrying out any transaction related to a person subject to UN sanctions until they have notified the competent FIU and have complied with any further specific instruction from the FIU. 2. When the competent FIU receives such a notification referred to in Paragraph 1, it shall decide to suspend any transaction, withhold its consent or suspend any account up to 10 calendar days or until the adoption of targeted financial sanctions by the Union. 3. This Article is without prejudice to the possibility of Member States to apply temporary measures which ensure a higher level of protection of the financial system of the Union such as temporary measures applying directly UN designations pending the adoption of EU targeted financial sanctions.
2022/07/05
Committee: ECONLIBE
Amendment 707 #
Proposal for a regulation
Article 37 a (new)
Article 37a Monitoring of transactions with regard to risks posed by targeted financial sanctions 1. Without prejudice to any other measures required by Union law relating to targeted financial sanctions, credit and financial institutions and crypto-asset service providers shall screen the information accompanying a transfer of funds or crypto-asset pursuant to [please insert reference – Regulation on information accompanying transfers of funds and certain crypto-assets (Recast)] in order to assess whether the payee or the payer of a funds transfer, or the originator or the beneficiary of a transfer of crypto-assets, are subject to targeted financial sanctions. By [2 years after the entry into force of this Regulation] AMLA shall develop draft regulatory technical standards and submit them to the Commission for adoption. Those draft regulatory technical standards shall specify: (a) which information shall be screened by the credit or financial institution of the payer as well as the relevant obligations of this institution; (b) which information shall be screened by the credit or financial institution of the payee as well the relevant obligations of this institution; (c) which information shall be screened by the crypto-asset service provider of the originator as well the relevant obligations of this provider; (d) which information shall be screened by the crypto-asset service provider of the beneficiary as well the relevant obligations of this provider. The Commission is empowered to supplement this Regulation by adopting the regulatory technical standards referred to in paragraphs 1 and 3 of this Article in accordance with Articles 38 to 41 of Regulation [please insert reference – proposal for establishment of an Anti- Money Laundering Authority - COM/2021/421 final].
2022/07/05
Committee: ECONLIBE
Amendment 745 #
Proposal for a regulation
Article 42 – paragraph 1 – introductory part
1. In case of corporate entitiesand other legal entities regardless of form or structure, the beneficial owner(s) as defined in Article 2(22) shall be the natural person(s) who owns, control(s), directly or indirectly, or benefits from, the corporate entity, either through an ownership interest or through control via other means.
2022/07/05
Committee: ECONLIBE
Amendment 752 #
Proposal for a regulation
Article 42 – paragraph 1 – subparagraph 1
For the purpose of this Article, ‘control through an ownership interest’ shall mean an ownership of 25% plus one of that least one shares or voting rights or other ownership interest in the corporate entity, including through bearer shareholdings or being party to a contract or financial instrument related to the shares, votes, assets or income of the corporate or legal entity, on every level of ownership.
2022/07/05
Committee: ECONLIBE
Amendment 941 #
Proposal for a regulation
Article 59 a (new)
Article 59a Transfers in crypto-assets without the involvement of a crypto-asset service provider 1. Persons trading in goods or providing services may accept or make a transfer in crypto-assets from a distributed ledger address not linked to a crypto-asset service provider only up to an amount equivalent to EUR 1 000, whether the transaction is carried out in a single operation or in several operations which appear to be linked, unless the customer or beneficial owner of the distributed ledger address can be identified. 2. The limit referred to in paragraph 1 shall not apply to: (a) transfers of crypto-assets between natural persons who are not acting in a professional function; (b) transfers of crypto-assets involving a crypto-asset service provider. 3. Member States shall ensure that appropriate measures, including sanctions, are taken against natural or legal persons acting in their professional capacity which are suspected of a breach of the limit set out in paragraph 1. 4. The overall level of the sanctions shall be calculated, in accordance with the relevant provisions of national law, in such way as to produce results proportionate to the seriousness of the infringement, thereby effectively discouraging further offences of the same kind.
2022/07/05
Committee: ECONLIBE