New EU rules to thwart money laundering and terrorist financing

Money Laundering EU 2018

Michel Barnier showing a document at “The fight against Money Laundering and Terrorist Financing: new framework, future challenges” Conference. © European Union , 2013   /  Source: EC – Audiovisual Service   /   Photo: Jennifer Jacquemart.

This article is brought to you in association with the European Parliament.

MEPs approved new measures to combat terrorist financing, by preventing money laundering and tightening cash flow checks, on Wednesday.

The two laws will make it harder for terrorists and criminals to finance their activities, by closing the loopholes in the current money laundering rules and by making it easier for the authorities to detect and stop suspicious financial flows.

The new rules to prevent money laundering introduce:

  • EU-wide definitions of money laundering-related crimes,
  • EU-wide minimum penalties, such as a minimum of four years of imprisonment for money laundering maximum sentences, and
  • new additional sanctions, such as barring those convicted of money laundering from running for public office, holding a position of public servant and excluding them from access to public funding.

The new rules on the criminalisation of money laundering were approved by 634 votes to 46, and 24 abstentions.

The new rules on cash flows:

  • extend the definition of cash to include gold and anonymous prepaid electronic cash cards,
  • enable authorities to register information about cash movements below the current €10,000 threshold and to temporarily seize cash if they suspect criminal activity, and
  • require disclosure of unaccompanied cash sent by cargo or post.

The new rules on cash flows were approved by 625 votes to 39, and 34 abstentions.

Quotes

Rapporteur Ignazio Corrao (EFDD, IT) said: “The new rules on criminalisation of money laundering hit criminals where it hurts them most: money. The rules prevent criminals from financing their activities – legal or illegal – with the proceeds of illicit actions. Money laundering is a dangerous crime and its harmful consequences are often underestimated. This directive adds a new important tool to fight against this crime. ”

Rapporteur Juan Fernando López Aguilar (S&D, ES) said: “To properly fight economic fraud, money laundering and terrorism financing, the EU must reinforce its controls over cash entering or leaving its territory. We have incorporated the best practices at international level to new rules and solved some deficiencies and shortcomings of the current legal framework.”

Rapporteur Mady Delvaux (S&D, LU) said: “Cash is difficult to trace and easy to transfer, therefore criminals frequently use it. With this regulation, we are strengthening the tools to combat money laundering and terrorist financing through better and faster exchange of information between authorities, as well as by adopting a more complete definition of cash.”

Next steps

The new measures have already been agreed upon by the Parliament and Council negotiators, but still require the formal approval of the Council.

Member states will have 24 months from the date of entry into force of the criminalisation of money laundering directive to bring the new rules into force. The rules on cash controls will apply 30 months from the date into force of the regulation.

the sting Milestones

Featured Stings

Can we feed everyone without unleashing disaster? Read on

These campaigners want to give a quarter of the UK back to nature

How to build a more resilient and inclusive global system

Stopping antimicrobial resistance would cost just USD 2 per person a year

This is what you need to know about the Iran nuclear deal

A brief history of cryptography and why it matters

Global South cooperation ‘vital’ to climate change fight, development, Guterres tells historic Buenos Aires summit

On Youth Participation: Are we active citizens?

MWC 2016 LIVE: Verizon boasts momentum for IoT platform

In 1975 NASA envisioned future life in space would look like this

Human rights ‘core to sustainable development’: deputy UN chief

Alarming number of women mistreated during childbirth, new UN health agency figures show

Service and Sacrifice: Ugandan ‘Blue Helmets’ support UN efforts to bring peace to Somalia

Withdrawal Agreement: Commission sends letter of formal notice to the United Kingdom for breach of its obligations under the Protocol on Ireland and Northern Ireland

More women and girls needed in the sciences to solve world’s biggest challenges

This is how we can empower 8 billion minds by 2030

MEPs call on EU Commission to step up action against dangerous chemicals

It’s down to cities to limit global warming to 1.5°C by 2030

4 key steps to support cross-border payments and digital trade growth

A Brussels antithesis reveals where the EU is heading

Balancing The Broken See-Saw of Gender Power Dynamics as a Medical Student

IMF: When high yield goes boom

VP McGuinness on women’s rights: “Not an option, but a duty”

Blockchain will make sure green pledges aren’t just greenwash: a new initiative by young leaders at the World Economic Forum

Why countries are desperate to defy the odds and access Mars

Egypt: The road to hell paved with western advices for democracy

Rohingya emergency one year on: UN says thousands of lives saved, but challenges remain

5 ways CEOs can renew their businesses for the digital age

MWC 2016 LIVE: Stripe gives payments leg-up to startups in emerging markets

Tackling pollution and climate change in Europe will improve health and well-being, especially for the most vulnerable

UN experts voice ‘deep concern’ over Iran’s ‘consistent pattern’ of denying life-saving medical treatment to detainees

3 lessons from running an AI-powered start-up in Africa

How studying genetics and lifestyle can shape a healthier MENA region

Fighting crime: faster EU-wide exchange of non-EU nationals’ criminal records

China Unlimited: an exclusive interview with the former Ambassador of Hungary to China

Financial abuse of elderly ‘rampant, but invisible’, says UN expert

George Floyd: these are the injustices that led to the protests in the United States

What is the IMF telling Eurozone about fiscal and banking unification?

Will Europe be able to deal with the migration crisis alone if Turkey quits the pact?

Code of Practice on Disinformation one year on: online platforms submit self-assessment reports

Electric vehicles are half the market in Norway

EU mobilises further €15.2 million humanitarian support for food safety, epidemics preparedness and support to people in conflict areas in Latin America and Caribbean

Universal Health Coverage will ‘drive progress’ on 2030 Development Agenda

Marco Polo’s Dream

UN Convention that promotes mediation to resolve trade disputes moves closer to entry into force

6 principles to unite business in the fight against cybercrime

Trade with the United States: Council authorises negotiations on elimination of tariffs for industrial goods and on conformity assessment

Mergers: Commission opens in-depth investigation into proposed acquisition of Metallo by Aurubis

If a virus could sing … Could this musical version of COVID-19 help us defeat the disease?

‘Exercise restraint’ Guterres urges Sri Lankans, as political crisis deepens

How global food safety protects the planet and begins on the farm

Electronic cigarettes – The alternative we’ve been looking for?

EU Strategy on COVID-19 vaccines must guarantee safety and accessibility for all

UN Security Council offers Yemen Special Envoy ‘their full support’

The EU Consumer Policy on the Digital Market: A Behavioral Economics View

Why EU’s working and unemployed millions remain uncertain or even desperate about their future

Confidence-building measures continue in new Yemen prisoner-swap talks

EU leaders slammed on anti-tax evasion inaction and expensive energy

The new European Union of banks is ready

New Syria fighting represents ‘giant powder keg’, warns aid veteran, as he leaves UN stage

Sweden must urgently implement reforms to boost fight against foreign bribery

Young people worldwide can ‘determine the future of migration,’ says UN senior official

‘Reasons to hope’ for sustainable peace in Central African Republic – UN Mission chief

Why artificial intelligence is learning emotional intelligence

More Stings?

Advertising

Speak your Mind Here

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s