AMLA seeks views on draft standards
The EU’s Anti-Money Laundering Authority (AMLA) has launched consultations on three draft sets of regulatory technical standards (RTSs).
The authority says that rules on customer due-diligence rules are “a cornerstone” in preventing money-laundering and terrorist financing (CFT).
It is aiming to develop harmonised standards for the financial and non-financial sector, while ensuring consistent application and enforcement across the EU.
Lawyers at A&L Goodbody (ALG) say that the development of the standards represents “an important practical step” towards AMLA’s goals of ensuring consistent application of rules across all EU member states, as well as closing regulatory gaps and reducing fragmentation.
‘Clear and proportionate rules’
The three consultations cover:
- Draft RTSs on customer due diligence,
- Draft RTSs on criteria for identifying business relationships, occasional transactions, and linked transactions, and
- Draft RTSs on financial sanctions, administrative measures, and periodic penalty payments.
"With these instruments, we are making progress on some of our most important mandates,” said AMLA chair Bruna Szego.
“We are setting clear and proportionate rules for the private sector, while ensuring supervisors across the EU can enforce them consistently," she added.
One year for firms
During the consultation period, AMLA will hold an online public hearing on the draft standards on customer due diligence and business relationships on 24 March.
For these two RTSs, the consultation periods will end on 8 May, while the consultation on sanctions and administrative measures will finish on 9 March.
AMLA must submit its final draft RTSs to the European Commission by 10 July.
ALG lawyers point out that the underlying requirements in the AML Regulation will apply from 10 July 2027, which will give obliged entities up to one year to make necessary updates to the relevant AML/CFT policies, procedures, systems, and controls in line with the RTSs.
“Credit and financial institutions and in-scope non-financial sector entities will need to start assessing what changes will be required and set key milestones so that they are ready for implementation in July 2027,” they add.