Binational Chamber of Commerce Bulgaria Israel - A new Law on Money Laundering, proposed by the Council of Ministers, is passed at first reading by the Parliament

A new Law on Money Laundering, proposed by the Council of Ministers, is passed at first reading by the Parliament

Written by Bccbi
Friday, 20 October 2017 10:59
font size decrease font size increase font size
Print
Email

The Parliament adopted at first reading a new Law on the Measures against Money Laundering, proposed by the Council of Ministers. The law aims to achieve compliance with a EU directive on preventing the use of the financial system for money laundering and funding terrorism.

The new law, which will replace the existing one, aims at strengthening the prevention of money laundering and funding terrorism, the fight against corruption, more effective risk assessment, and enhanced capacity of the competent national institutions for analysis and information exchange. This was mentioned in the report of the Committee on Internal Security and Public Order. The law provides for two types of inspections: a complex one and a simplified one, which depend on the potential risk assessment.

The Council of Ministers has legislated the setting up of an inter-institutional working group, which will prepare and update a National Risk Assessment. The law introduces stricter sanctions for non-compliance as well as improved control functions of the supervisory authorities. Major changes are also planned in the rules for determining the source of funds to achieve better efficiency, administrative economy and flexibility in view of the type of transaction or operation, the client risk profile, etc. The Chair of the State Agency on National Security will control the implementation of the law.

Rate this item