21 Amendments of Monika HOHLMEIER related to 2016/0208(COD)
Amendment 53 #
Proposal for a directive
Recital 2 a (new)
Recital 2 a (new)
(2a) The United Nations (UN), Interpol and Europol have been reporting for years on the increasing convergence between organised crime and terrorism. Given the increased convergence between organised crime and terrorism, fighting against organised crime networks should be part of any strategy in the fight against the financing of terrorism. Illicit trade in firearms, drugs, cigarettes and counterfeit goods, trade in human beings, racketeering and extortion have become very lucrative ways for terrorist groups to obtain funding, generating around 110 billion euros every year (without trade in counterfeit goods). The nexus between terrorism and organised crime and the links between criminal and terrorist groups constitute an increased security threat to the Union.
Amendment 54 #
Proposal for a directive
Recital 2 b (new)
Recital 2 b (new)
(2b) Also money laundering, illicit trade in goods, including but not limited to crude oil, narcotics, works of art, weapons and protected species, serious tax fraud and tax evasion of illegally acquired money are typically committed in respect of the financing of terrorist acts. Without prejudice to [the new anti- terrorism directive] Member States should take the necessary measures to criminalize these behaviours and to make sure that terrorists and terrorist organisations cannot benefit from profits resulting from those offenses.
Amendment 55 #
Proposal for a directive
Recital 5
Recital 5
(5) Union measures must also accurately reflect developments and commitments undertaken at international level. Therefore, UN Security Council Resolutions 21995 (20154) urges States toon links between terrorism and transnational organised crime, 2199 (2015) on preventing terrorist groups from gaining access to international financial institutions and 2253 (2015) expanding Sanctions Framework to Include Islamic State in Iraq and Levant have to be taken into account.
Amendment 58 #
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, issuers, administrators, intermediaries and distributors of virtual currencies, the administrators and providers of systems for online payments 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 provider, custodian wallet providers, issuers, administrators, intermediaries and distributors of virtual currencies, the administrators and providers of systems for online payments. Competent authorities should be able to monitor the use of virtual currencies. This would provide a balanced and proportional approach, safeguarding technical advances and the high degree of transparency attained in the field of alternative finance and social entrepreneurship.
Amendment 61 #
Proposal for a directive
Recital 7
Recital 7
(7) The credibility of virtual currencies will not rise if they are used for criminal purposes. In this context, anonymity will become more a hindrance than an asset for virtual currencies taking up and their potential benefits to spread. The inclusion of virtual exchange platforms and, custodian wallet providers will not entirely address the issue of anonymity attached to virtual currency transactions, as a large part of the virtual currency environ, issuers, administrators, intermediaries and distributors of virtual currencies, the administrators and providers of systems for online payments will remain anonymous because users can also transact without exchange platforms or custodian wallet providers. To combat the risks related to the anonymity,not entirely address the issue of anonymity attached to virtual currency transactions in itself. To combat the risks related to the anonymity, virtual currencies should not be anonymous and national Financial Intelligence Units (FIUs) should be able to associate virtual currency addresses to the identity of the owner of virtual currencies. In addition, the possibility to allow users to self-declare to designated authorities on a voluntary basis should be further assessed.
Amendment 62 #
Proposal for a directive
Recital 9
Recital 9
(9) WFATF Recommendations have to be taken into account. Therefore, when dealing with natural persons or legal entities established in high-risk third countries, Member States must require obliged entities to apply enhanced customer due diligence measures to manage and mitigate risks. Each Member State therefore determines at national level the type of enhanced due diligence measures to be taken towards high-risk third countries. Those different approaches between Member States create weak spots on the management of business relationships involving high risk third countries identified by the Commission. Those gaps can be exploited by terrorists to channel funds in and out the Union financial system. It is important to improve the effectiveness of the list of high-risk third countries established by the Commission by providing for a harmonised treatment of those countries at Union level. This harmonised approach should primarily focus on enhanced customer due diligence measures. Nevertheless, Member States and obliged entities should be allowed to apply additional mitigating measures in addition to enhanced customer due diligence measures, in accordance with international obligations. International organisations and standard setters with competence in the field of preventing money laundering and combating terrorist financing may call to apply appropriate counters measures to protect the international financial system from the on- going and substantial money laundering and terrorist financing risks emanating from countries. Member States should enact and apply additional mitigating measures regarding high risk third countries identified by the Commission by taking into account calls for countermeasures such as those expressed by the Financial Action Task Force (FATF).
Amendment 68 #
Proposal for a directive
Recital 10 a (new)
Recital 10 a (new)
(10a) The criminalisation of terrorist financing, the provision of material support and assistance by supplying goods in the Directive on Combatting Terrorism should be taken in parallel to due diligence, monitoring and reporting requirements applicable to private economic actors who are engaged in trading in designated goods, whose trading is considered to be vulnerable to terrorist financing or that come from an area of operations of terrorist groups. Due diligence, monitoring and reporting requirements on private economic actors engaged in the trading in vulnerable goods would have a preventative effect by materially impairing the trading activities of organised criminal groups and terrorist groups as a source of terrorist financing. Reporting duties to competent bodies of the Member States and a coordinated cooperation between authorities at national and EU-level are suitable to generate additional knowledge to help tracking and prosecuting organised crime and other commercial activities of terrorist organisations more effectively.
Amendment 73 #
Proposal for a directive
Recital 11
Recital 11
(11) General purpose prepaid cards have legitimate uses and constitute an 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 thiss, terrorist organizations, terrorism sponsors and other intermediaries and facilitators these 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 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 75 #
Proposal for a directive
Recital 13
Recital 13
(13) FIUs play an important role in identifying the financial operations of terrorist networks, especially across borders, and in detecting their financial backers. Due to a lack of prescriptive international standards, FIUs maintain significant differences as regards their functions, competences and powers. ThoseFinancial investigations may be fundamental in uncovering the facilitation of terrorist offences and the networks and schemes of terrorist organisations. Due to a lack of prescriptive international standards, FIUs maintain significant differences as regards their functions, competences and powers. Member States should endeavour to ensure a more efficient and coordinated approach to deal with financial investigations, including those related to the misuse of virtual currencies, into terrorism. The current differences should however not affect an FIU's activity, particularly its capacity to develop preventive analyses in support of all the authorities in charge of intelligence, investigative and judicial activities, and international cooperation. FIUs should have access to information and be able to exchange it without impediments, including through appropriate cooperation with law enforcement authorities. In all cases of suspected criminality and, in particular, in cases involving terrorism financing, information should flow directly and quickly without undue delays. It is therefore essential to further enhance FIUs' effectiveness and efficiency, by clarifying the powers of and cooperation between FIUs.
Amendment 78 #
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 information 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. When starting investigations which require additional information, FIUs should take a risk-based approach and as a priority concentrate as much as possible on those cases which constitute a substantial risk for being linked with terrorism or serious crime.
Amendment 81 #
Proposal for a directive
Recital 15
Recital 15
(15) Delayed access to information by FIUs and other competent authorities on the identity of holders of bank and payment accounts and safe deposit boxes, especially anonymous ones, hampers the detection of transfers of funds relating to terrorism. National data allowing the identification of bank and payments accounts and safe deposit boxes belonging to one person is fragmented and therefore not accessible to FIUs and other competent authorities in a timely manner. It is therefore essential to establish centralised automated mechanisms, such as a register or data retrieval system in all Member States as an efficient means to get timely access to information on the identity of holders of bank and payment accounts and safe deposit boxes, their proxy holders, and their beneficial owners.
Amendment 136 #
Proposal for a directive
Article 1 – paragraph 1 – point 1 a (new)
Article 1 – paragraph 1 – point 1 a (new)
Directive 2015/849/EU
Article 2 – paragraph 1 – point 3 – point h a (new)
Article 2 – paragraph 1 – point 3 – point h a (new)
(1a) In point (3) of Article 2(1), the following point is inserted: (ha) issuers, administrators, intermediaries and distributors of virtual currencies,
Amendment 139 #
Proposal for a directive
Article 1 – paragraph 1 – point 1 b (new)
Article 1 – paragraph 1 – point 1 b (new)
Directive 2015/849/EU
Article 2 – paragraph 1 – point 3 – point h b (new)
Article 2 – paragraph 1 – point 3 – point h b (new)
Amendment 171 #
Proposal for a directive
Article 1 – paragraph 1 – point 2 – point c
Article 1 – paragraph 1 – point 2 – point c
Directive 2015/849/EU
Article 3 – point 18
Article 3 – point 18
(18) '"virtual currencies'" means a digital representation of value that is neither issued by a central bank or a public authority, nor necessarily attached to a fiat currencattached to a legally established fiat currency, does not possess a legal status of currency or money, but is accepted by natural or legal persons, as a means of exchange, payment and possibly also for other purposes, and which can be transferred, stored or traded electronically. Virtual currencies cannot be anonymous;
Amendment 203 #
Proposal for a directive
Article 1 – paragraph 1 – point 2 a (new)
Article 1 – paragraph 1 – point 2 a (new)
Directive 2015/849/EU
Article 10 – paragraph 1
Article 10 – paragraph 1
(2a) In Article 10, paragraph 1 is replaced by the following: 1. Member States shall prohibit their credit institutions and financial institutions from keeping anonymous accounts or, anonymous passbooks or anonymous safe deposit boxes. Member States shall, in any event, require that the owners and beneficiaries of existing anonymous accounts or, anonymous passbooks or anonymous safe deposit boxes be subject to customer due diligence measures as soon as possible and in any event before such accounts or, passbooks or deposit boxes are used in any way.
Amendment 205 #
Proposal for a directive
Article 1 – paragraph 1 – point 2 b (new)
Article 1 – paragraph 1 – point 2 b (new)
Directive 2015/849/EU
Article 11 – point e a (new)
Article 11 – point e a (new)
(2b) In Article 11 the following point is inserted: (ea) when establishing a business relationship with a supplier or customer involving the trade of designated goods or in the case of a transaction with a supplier or customer being carried out outside an existing business relationship involving the trade of designated goods. The following goods whose trading is considered to be vulnerable to direct or indirect terrorist financing shall be deemed to be designated goods within the meaning of the first paragraph: (i) oil, oil products, modular refineries and related material, arms, nuclear material, precious metals and minerals such as gold, silver, copper and diamonds, (ii) machinery, electronics, tobacco products and pharmaceuticals, including the raw materials needed to manufacture, materials, packaging and containers bearing a designation of origin and certificates of authenticity, (iii) cultural artefacts and other items of archaeological, historical, cultural and religious importance, or rare scientific value, as well as ivory and protected species
Amendment 351 #
Proposal for a directive
Article 1 – paragraph 1 – point 11 – point a
Article 1 – paragraph 1 – point 11 – point a
Directive 2015/849/EU
Article 32 – paragraph 3 – subparagraph 1 – fourth sentence
Article 32 – paragraph 3 – subparagraph 1 – fourth sentence
It shall be able to request, obtain and use additional information from any obliged entity;
Amendment 352 #
Proposal for a directive
Article 1 – paragraph 1 – point 11 – point a a (new)
Article 1 – paragraph 1 – point 11 – point a a (new)
Directive 2015/849/EU
Article 32 – paragraph 4
Article 32 – paragraph 4
(aa) paragraph 4 is replaced by the following: 4. Members States shall ensure that their FIUs have timely and unrestricted access, directly or indirectly, in a timely manner, to the, at least, the following financial, administrative and law enforcement information that they require to fulfil their tasks properly.: (a) financial and administrative information – information for bank accounts – information on the identification of assets – information on legal and beneficial ownership – information on the identity of the person (ID, address, etc.) (b) law enforcement information – criminal police proceedings (ongoing criminal investigations); – criminal records; – mutual legal assistance records; – Schengen Information System, border crossings, border controls; FIUs shall be able to respond to requests for information by competent authorities in their respective Member States when such requests for information are motivated by concerns relating to money laundering, associated predicate offences or terrorist financing. The decision on conducting the analysis or dissemination of information shall remain with the FIU.
Amendment 356 #
Proposal for a directive
Article 1 – paragraph 1 – point 12
Article 1 – paragraph 1 – point 12
Directive 2015/849
Article 32 a – paragraph 1
Article 32 a – paragraph 1
1. Member States shall put in place automated centralised mechanisms, such as central registries or central electronic data retrieval systems, which allow the identification, in a timely manner, of any natural or legal persons holding or controlling payment accounts as defined in Directive 2007/64/EC and bank accounts and safe deposit boxes held by a credit institution within their territory. Member States shall notify the Commission of the characteristics of those national mechanisms.
Amendment 361 #
Proposal for a directive
Article 1 – paragraph 1 – point 12
Article 1 – paragraph 1 – point 12
Directive 2015/849/EU
Article 32 a – paragraph 3 – indent 3 a (new)
Article 32 a – paragraph 3 – indent 3 a (new)
– for the safe deposit boxes: the name of the renter and the duration of the lease
Amendment 388 #
Proposal for a directive
Article 1 – paragraph 1 – point 16
Article 1 – paragraph 1 – point 16
Directive 2015/849/EU
Article 47 – paragraph 1
Article 47 – paragraph 1
1. Member States shall ensure that providers of exchanging services between virtual currencies and fiat currencies, custodian wallet providers, currency exchange and cheque cashing offices, andissuers, administrators, intermediaries and distributors of virtual currencies, the administrators and providers of systems for online payments, trust or company service providers are licensed or registered, and that providers of gambling services are regulated.;