Some countries, such as France, already have stricter rules on cash payments than the new European provisions. But in other states, such as Austria or Germany, cash payments have so far been unrestricted.
The provision is part of a text aimed at better tackling the financing of terrorism, which was completed after two and a half years of negotiations and which will come into effect this year. The aim is to bring together the very disparate existing rules to detect and limit suspicious transactions in the 27 EU countries.
The agreement “will ensure that fraudsters, organized crime and terrorists no longer have the opportunity to legitimize their profits through the financial system,” said Belgian Finance Minister Vincent van Peteghem, whose country has secured the council’s rotating presidency for six months. EU.
The new law harmonizes and tightens regulations against money laundering and terrorist financing, particularly those imposed on banks, real estate agencies and casinos. These institutions need to be able to identify their customers or asset owners behind opaque financial systems.
Related to luxury products and football clubs
The application of these rules will also be extended to the crypto-asset sector to ensure traceability there as well. They will also concern themselves with the trade of precious metals, jewellery, watches, as well as luxury products such as very high-priced cars, private jets or yachts.
Finally, professional football clubs and their agents will also be subject to reinforced rules, but at the end of a five-year transition period after the entry into force of the text, so from 2029. The new law will strengthen powers elsewhere. Financial Intelligence Services.
The European Parliament and member states approved the creation of a European Union Agency against Money Laundering and Terrorist Financing in December. The organization’s future headquarters is coveted by many countries, including France and Germany.
The new agency, designated by its English acronym AMLA (“Anti-Money Laundering Authority”), will be specifically responsible for supervising and coordinating national authorities to better detect and combat suspicious cross-border activities.
