The Government is consulting on proposals to revise the Money Laundering Regulations following a review. Businesses and others who might be interested have been asked to comment.
The proposals include:
The removal of more than 24 criminal penalties for businesses which fail to have the appropriate systems and controls in place to combat money laundering - but civil penalties would still remain; and a general exclusion for very small businesses (for example those with below £13,000 VAT exclusive turnover per annum), or alternatively, reduced requirements.
The Money Laundering Regulations 2007 presently require regulated businesses to have appropriate systems and controls in place to identify and verify the identity of their customers and carry out ongoing monitoring.
The consultation will not affect the criminal penalties for money laundering under the Proceeds of Crime Act 2002 or the obligations to report suspicious activity to the Serious Organised Crime Agency.
The consultation closes on 30 August 2011.
This was first published in August 2011