On 14 May 2019, there was published in the Official Journal of the EU Commission Delegated Regulation (EU) 2019/758 of 31 January 2019 supplementing Directive (EU) 2015/849 with regard to regulatory technical standards for the minimum action and the type of additional measures credit and financial institutions must take to mitigate money laundering and terrorist financing risk in certain third countries.
The Delegated Regulation lays down a set of additional measures, including minimum action, that credit institutions and financial institutions must take to effectively handle the money laundering and terrorist financing risk where a third country’s law does not permit the implementation of group-wide policies and procedures as referred to in Article 45(1) and (3) of the Fourth Anti-Money Laundering Directive (MLD4) at the level of branches or majority-owned subsidiaries that are part of the group and established in the third country.
The Delegated Regulation will enter into force on 3 June 2019. It will apply from 3 September 2019, to allow credit institutions and financial institutions sufficient time to adjust their policies and procedures in line with this Regulation’s requirements.