{"id":10701,"date":"2021-07-22T14:54:58","date_gmt":"2021-07-22T12:54:58","guid":{"rendered":"https:\/\/transparency.mk\/?p=10701"},"modified":"2021-07-22T14:54:58","modified_gmt":"2021-07-22T12:54:58","slug":"proposal-to-create-eu-agency-to-supervise-banks-is-a-major-step-towards-ending-decades-long-abuse","status":"publish","type":"post","link":"https:\/\/transparency.mk\/en\/2021\/07\/22\/proposal-to-create-eu-agency-to-supervise-banks-is-a-major-step-towards-ending-decades-long-abuse\/","title":{"rendered":"Proposal to create EU agency to supervise banks is a major step towards ending decades-long abuse"},"content":{"rendered":"<h1><strong>European Commission has put forward an ambitious proposal to curb money laundering; Council and Parliament must follow through<\/strong><\/h1>\n<p><em>Berlin\/Brussels, 20 July 2021<\/em>\u00a0\u2013\u00a0Transparency International welcomes the new legislative proposal to improve the European Union\u2019s (EU) anti-money laundering framework, released by the European Commission today. In particular, the Commission\u2019s proposal to establish a new EU anti-money laundering agency and making it a \u201ccentrepiece\u201d of the bloc\u2019s supervisory framework can be a game-changer in fighting cross-border financial crime.<\/p>\n<p>In recent years, numerous scandals have laid bare the indispensable role of EU banks in enabling and facilitating cross-border corruption and money laundering. They have also illustrated the failures of national authorities to prevent and adequately sanction wrongdoing. Transparency International has\u00a0<a href=\"https:\/\/u7061146.ct.sendgrid.net\/ls\/click?upn=4tNED-2FM8iDZJQyQ53jATUXye77NMBvJpB1pzQ0M1zbRDsrA8tKYoN6MZrPG-2FB2fsB6d-2BLW5EAOCm8QQ1XLqjFQ4-2BAxOjbU24EXUPq9d1IJe71JzHyqQccYuHxTrZh56jmV4oit-2B1BYNWYkZnHA-2B2p5YHiFEBnupj31iG5f72kss-3DUhi2_lcn7feNALlyVMaAItWikVe2MO26BdIlv4-2B8mG6XI5dDdMsK11eJs3BSJUs4c1pECxIyVLdqAqzYCSpQ3k9MWLl778cUMPDJpnMhZgwxr97-2Fp3HRq8nMed-2Fz8KAoDjfr7jhqsO6BuyMLyMOfsn8IdYwpdd3rEXfn-2FI-2B6v16m7oA7Yj-2F8MLzcnP8KInT2ZIBIBR-2BkmfH4xzUGlJkTOcvFeR4O67UJQ11Zbc0N81csaD4X40btZ-2BskvsNWctPpIdp9kRaAT1vbloyeyr1wHafaeFxQkweb6pUVNn3NxDRP8R-2FUg6ERWBmTZgbppe5dAve1jrGvPtBbqSES9-2FogT2WUo3ECHjNM-2BwvXX1rW1dDK9TXU-3D\">called for an EU-wide agency<\/a>\u00a0to supervise both banks and national supervisory bodies since 2019.<\/p>\n<p>Our analysis showed that no existing body is adequate to assume this role, as best seen in the\u00a0<a href=\"https:\/\/u7061146.ct.sendgrid.net\/ls\/click?upn=4tNED-2FM8iDZJQyQ53jATUXye77NMBvJpB1pzQ0M1zbTU36ARAJ7gnjuw7xQe2-2Fv4xgZtYW-2BOc75yP22G8wt7rH4jA3nDoPwGOPgtPEhHwfwsNQeKEo9YhwdW97UTxCiCM0wZTiZPi9FIuxSe6jC6yQ-3D-3DTTV1_lcn7feNALlyVMaAItWikVe2MO26BdIlv4-2B8mG6XI5dDdMsK11eJs3BSJUs4c1pECxIyVLdqAqzYCSpQ3k9MWLl778cUMPDJpnMhZgwxr97-2Fp3HRq8nMed-2Fz8KAoDjfr7jhqsO6BuyMLyMOfsn8IdYwpdd3rEXfn-2FI-2B6v16m7oA7Yj-2F8MLzcnP8KInT2ZIBIBR-2BkmfH4xzUGlJkTOcvFeR-2FWnN-2FNAYih6AAJwg19Ujc9-2BDMASt-2BMwqsmjLsHx7tGZjVDBruf4RaqVQDkvG6TOsLVIQMff5-2BurIn-2F6aKZsTmi19S3b6X6BeBuluScFDe8rqOCRrbJZ1TwATUQG00IEkCwlpyvbOJ-2Bwf8RQHzNAYZU-3D\">case of Danske Bank<\/a>, where the European Banking Authority opened and then\u00a0<a href=\"https:\/\/u7061146.ct.sendgrid.net\/ls\/click?upn=4tNED-2FM8iDZJQyQ53jATUTunzfjaFtDX9y-2FzkrXuvi-2B8BZuAuQWQ-2BXNfBvXPBwVrk6a1hfayMxeYQmITPQtNQbeUoxXNRrIZ09x-2FmbpqCs-2F-2Fn8tlABHL4tgBriuBTrIvhflYr-2B8KJ-2F3J81XUhfIeYih0l7XW0nHBP0NTJhxt3qvHjNv6ab3m-2F1IWjviFTlsp50uK_lcn7feNALlyVMaAItWikVe2MO26BdIlv4-2B8mG6XI5dDdMsK11eJs3BSJUs4c1pECxIyVLdqAqzYCSpQ3k9MWLl778cUMPDJpnMhZgwxr97-2Fp3HRq8nMed-2Fz8KAoDjfr7jhqsO6BuyMLyMOfsn8IdYwpdd3rEXfn-2FI-2B6v16m7oA7Yj-2F8MLzcnP8KInT2ZIBIBR-2BkmfH4xzUGlJkTOcvFeRwKblWNSmgdpB8JWWWeh-2FBWssBVlLIStF48z3dc2bdqfVOW-2Fj7tyJX1AezpYMbCs2KxvHw52qN6JnQDBCnJIuid7ANs-2BVIHE3ccMgD60GAAaf-2Fql-2Fi4O97uvBZkAU-2FKMLowmQ6Kcmk991CGf8-2BdS4k4-3D\">quickly closed an investigation<\/a>\u00a0into possible breaches of the law by Danish and Estonian supervisory authorities.<\/p>\n<p>\u201cThe creation of a new supervisory agency could help fix the most glaring gaps that have made EU a money laundering hotspot,\u201d said Ma\u00edra Martini, Research and Policy Expert on Corrupt Money Flows at Transparency International. \u201cBut smaller financial institutions would likely not fall under the new authority\u2019s direct supervision, remaining a major vulnerability in the future framework. Previous corruption cases have shown that banks such as\u00a0<a href=\"https:\/\/u7061146.ct.sendgrid.net\/ls\/click?upn=4tNED-2FM8iDZJQyQ53jATUXye77NMBvJpB1pzQ0M1zbTRw874CqD2cJQu2hUa7ANaFmZPVImUDWIO5w5tH02M78i7PMJRMIOnYoTEVNo4xvFPdeJudVKxt1GHZeL5vZbe7QLYw3VtgjkC8UvPBISQnY-2F9F-2F3HZ4uWhBnM5IznpvA-3DVKse_lcn7feNALlyVMaAItWikVe2MO26BdIlv4-2B8mG6XI5dDdMsK11eJs3BSJUs4c1pECxIyVLdqAqzYCSpQ3k9MWLl778cUMPDJpnMhZgwxr97-2Fp3HRq8nMed-2Fz8KAoDjfr7jhqsO6BuyMLyMOfsn8IdYwpdd3rEXfn-2FI-2B6v16m7oA7Yj-2F8MLzcnP8KInT2ZIBIBR-2BkmfH4xzUGlJkTOcvFeR07b7zlgs3TwPu7GTpjOEYOtf1Qf7Ti4uyRyyiH2gwkyztM-2FLZ9q-2FOilVMijbiL172om0gkJ-2BlITRuhOa-2B3ih-2FmhxAvYUFC7PJN4LwT1FZSFUkab4LKAtCj7SxnUk9SOY-2Fe7BNaIVgN-2FB6hGVorO5Gk-3D\">Pilatus in Malta<\/a>\u00a0and\u00a0<a href=\"https:\/\/u7061146.ct.sendgrid.net\/ls\/click?upn=4tNED-2FM8iDZJQyQ53jATUSrQ-2BNJWKF5x-2BNJITBw2jKZkCJs7yv4k6b7Eq9et-2FJEs9AZKDRWbx3tQt9YXHdgxhAvUSC3CxscWnNbc-2FStbu0vjoSTmF2luzmglwnGXlojDA1JjfZ6fhru4noi-2F-2BvdPlvKn2Zocildtik5bnL95-2Bg3nrmpORUp4KCdwal4XkWMn92PrPgtqhPjGnEImvpGnX-2FZJeMKSlTwSzV40ljFK6sU-3DXhmt_lcn7feNALlyVMaAItWikVe2MO26BdIlv4-2B8mG6XI5dDdMsK11eJs3BSJUs4c1pECxIyVLdqAqzYCSpQ3k9MWLl778cUMPDJpnMhZgwxr97-2Fp3HRq8nMed-2Fz8KAoDjfr7jhqsO6BuyMLyMOfsn8IdYwpdd3rEXfn-2FI-2B6v16m7oA7Yj-2F8MLzcnP8KInT2ZIBIBR-2BkmfH4xzUGlJkTOcvFeR1MY-2BMFzyB3nG6V7CTEP1gS26KraY0YLaFJYqfZXW1EUi6qvAbPrOigrPOIr1oQZjX7iTMHYAb5dKQ8lRf1dg-2Btbz41KWj6EhGKMiad9rafuRU9rocVJYIu0CPyp5lgQP0-2FGtL8xthBnnkgtPlDS-2FcI-3D\">ABLV in Latvia<\/a>\u00a0have played a significant role in cross-border financial crime, despite their size.\u201d<\/p>\n<p>The proposal also includes amendments to EU anti-money laundering rules such as measures to ensure the quality of beneficial ownership information recorded across EU member states. New measures would also address some of the gaps Transparency International had\u00a0<a href=\"https:\/\/u7061146.ct.sendgrid.net\/ls\/click?upn=4tNED-2FM8iDZJQyQ53jATUXye77NMBvJpB1pzQ0M1zbTKmzSwSZFZ5UnXjECtsxCEF35cQtdyhqTW-2FWYhxwav0O7BHzJlI8qt6K8VVL5kNU0-3Di_V8_lcn7feNALlyVMaAItWikVe2MO26BdIlv4-2B8mG6XI5dDdMsK11eJs3BSJUs4c1pECxIyVLdqAqzYCSpQ3k9MWLl778cUMPDJpnMhZgwxr97-2Fp3HRq8nMed-2Fz8KAoDjfr7jhqsO6BuyMLyMOfsn8IdYwpdd3rEXfn-2FI-2B6v16m7oA7Yj-2F8MLzcnP8KInT2ZIBIBR-2BkmfH4xzUGlJkTOcvFeR8fvC3tc6xnuaHVfgod71aftmWLXGHK3GY6eqfNZrQhptF3b-2FrbVUAFQEn0BatTFPbl55pspnCaGpsKUHWrgAz7Seo-2Ftr-2F81mGi4tj9uNZqENI2feLMc-2Fagob1uInLnzTmTUT9ZL6H-2BEHaw4BdN2egk-3D\">previously identified<\/a>, including through introducing more stringent rules on nominee directors and shareholders, untraceable bearer-shares.<\/p>\n<p>The European Commission\u2019s proposal also leaves space for the Member States to lower the ownership threshold, currently set at a high 25 per cent, in the case of various ownership structures. We caution that the failure to adequately identify the real beneficiaries of certain types of legal entities and arrangements creates a major loophole. As recently reported by EUROPOL, more than 80 per cent of the criminal networks active in the EU use legal business structures for their criminal activities. The 25 per cent threshold has already proven to be too high in a number of cases and for certain types of legal entities. Notably, Transparency International has found that the majority of investment funds operating in Luxembourg do not declare their beneficial owners \u2013 largely because they do not have to do so, according to EU rules.<\/p>\n<p>\u201cThe Council and the European Parliament have now the responsibility to fix the remaining loopholes,\u201d said Laure Brillaud, Senior Anti-Money Laundering Policy Officer at Transparency International EU. \u201cThis should include ensuring proper governance of the future supervisory authority. To fulfil its mandate and be truly effective, the new body must be granted sufficient resources. Its independence must also be guaranteed, which the proposed governance arrangements would not achieve to a sufficient degree.\u201d<\/p>\n<p>\u201cThe Council and Parliament must also improve the robustness of public beneficial ownership registers to make sure dirty money can no longer make its way into EU,\u201d added Brillaud.<\/p>\n<p><strong>Notes to editors<\/strong><\/p>\n<p>In August 2020, Transparency International EU and 14 national chapters\u00a0<a href=\"https:\/\/u7061146.ct.sendgrid.net\/ls\/click?upn=4tNED-2FM8iDZJQyQ53jATUYV3xFZYr6sabGGWlBb1r0MobTfRKRiN9-2FAbgijrU4-2BIMd5pWc-2Fz215FUwFqLIjyGg-3D-3Decs__lcn7feNALlyVMaAItWikVe2MO26BdIlv4-2B8mG6XI5dDdMsK11eJs3BSJUs4c1pECxIyVLdqAqzYCSpQ3k9MWLl778cUMPDJpnMhZgwxr97-2Fp3HRq8nMed-2Fz8KAoDjfr7jhqsO6BuyMLyMOfsn8IdYwpdd3rEXfn-2FI-2B6v16m7oA7Yj-2F8MLzcnP8KInT2ZIBIBR-2BkmfH4xzUGlJkTOcvFeR5XszjWxOxmHPI8ePijgcFJbcl5wi7tXeXMgO1kFiUakAf2h-2BJVIFOMgHVEZFkGVdPRsS95XXbqGlgsVMQr2cEc8fYo7PwYJYYkX4UYU1-2F3susUCw1uIYNSPbipDIeYYklWPCEhKTYn-2Byc92Krftzvk-3D\">called for tougher EU rules<\/a>, including the creation of an independent supervisory authority and full coverage of the fintech and golden visa industries under the rules.<\/p>\n<p><strong>Transparency International is the global civil society organisation leading the fight against corruption.<\/p>\n<p><a href=\"https:\/\/u7061146.ct.sendgrid.net\/ls\/click?upn=TeZUXWpUv-2B6TCY38pVLo9guFuz4rnzo250-2BK8EYqrL-2BXWHtYxGk1O6NfSQeE-2BpBkhWDL_lcn7feNALlyVMaAItWikVe2MO26BdIlv4-2B8mG6XI5dDdMsK11eJs3BSJUs4c1pECxIyVLdqAqzYCSpQ3k9MWLl778cUMPDJpnMhZgwxr97-2Fp3HRq8nMed-2Fz8KAoDjfr7jhqsO6BuyMLyMOfsn8IdYwpdd3rEXfn-2FI-2B6v16m7oA7Yj-2F8MLzcnP8KInT2ZIBIBR-2BkmfH4xzUGlJkTOcvFeR8gqt3HCSmT1-2BrMjodplPqJzyZpd-2BYA5fgsdBfZZ7MDokLgLAOObB4F3pIuNy3A3qA3IRvke5-2BjhUxjBhuC7AJmTZvfrhUniEzAello6XOGbc-2F1SD17Z73SCk7mM88Yqkd34pdqU3NkauBqqSEdOe5k-3D\">www.transparency.org<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>European Commission has put forward an ambitious proposal to curb money laundering; Council and Parliament must follow through Berlin\/Brussels, 20 July 2021\u00a0\u2013\u00a0Transparency International welcomes the new legislative proposal to improve the European Union\u2019s (EU) anti-money laundering framework, released by the European Commission today. In particular, the Commission\u2019s proposal to establish a new EU anti-money laundering&hellip;<\/p>\n","protected":false},"author":3,"featured_media":10683,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[85],"tags":[],"class_list":["post-10701","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","category-85","description-off"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.8 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Proposal to create EU agency to supervise banks is a major step towards ending decades-long abuse - Transparency International<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/transparency.mk\/en\/2021\/07\/22\/proposal-to-create-eu-agency-to-supervise-banks-is-a-major-step-towards-ending-decades-long-abuse\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Proposal to create EU agency to supervise banks is a major step towards ending decades-long abuse - Transparency International\" \/>\n<meta property=\"og:description\" content=\"European Commission has put forward an ambitious proposal to curb money laundering; Council and Parliament must follow through Berlin\/Brussels, 20 July 2021\u00a0\u2013\u00a0Transparency International welcomes the new legislative proposal to improve the European Union\u2019s (EU) anti-money laundering framework, released by the European Commission today. In particular, the Commission\u2019s proposal to establish a new EU anti-money laundering&hellip;\" \/>\n<meta property=\"og:url\" content=\"https:\/\/transparency.mk\/en\/2021\/07\/22\/proposal-to-create-eu-agency-to-supervise-banks-is-a-major-step-towards-ending-decades-long-abuse\/\" \/>\n<meta property=\"og:site_name\" content=\"Transparency International\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/TransparencyMK\/\" \/>\n<meta property=\"article:published_time\" content=\"2021-07-22T12:54:58+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/transparency.mk\/wp-content\/uploads\/2021\/07\/social-default.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"600\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Meto\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@ti_macedonia\" \/>\n<meta name=\"twitter:site\" content=\"@ti_macedonia\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Meto\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/transparency.mk\/en\/2021\/07\/22\/proposal-to-create-eu-agency-to-supervise-banks-is-a-major-step-towards-ending-decades-long-abuse\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/transparency.mk\/en\/2021\/07\/22\/proposal-to-create-eu-agency-to-supervise-banks-is-a-major-step-towards-ending-decades-long-abuse\/\"},\"author\":{\"name\":\"Meto\",\"@id\":\"https:\/\/transparency.mk\/#\/schema\/person\/441f90f705251dd361acf90fb32e6e7f\"},\"headline\":\"Proposal to create EU agency to supervise banks is a major step towards ending decades-long abuse\",\"datePublished\":\"2021-07-22T12:54:58+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/transparency.mk\/en\/2021\/07\/22\/proposal-to-create-eu-agency-to-supervise-banks-is-a-major-step-towards-ending-decades-long-abuse\/\"},\"wordCount\":625,\"publisher\":{\"@id\":\"https:\/\/transparency.mk\/#organization\"},\"image\":{\"@id\":\"https:\/\/transparency.mk\/en\/2021\/07\/22\/proposal-to-create-eu-agency-to-supervise-banks-is-a-major-step-towards-ending-decades-long-abuse\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/transparency.mk\/wp-content\/uploads\/2021\/07\/social-default.jpg\",\"articleSection\":[\"News\"],\"inLanguage\":\"en-US\"},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/transparency.mk\/en\/2021\/07\/22\/proposal-to-create-eu-agency-to-supervise-banks-is-a-major-step-towards-ending-decades-long-abuse\/\",\"url\":\"https:\/\/transparency.mk\/en\/2021\/07\/22\/proposal-to-create-eu-agency-to-supervise-banks-is-a-major-step-towards-ending-decades-long-abuse\/\",\"name\":\"Proposal to create EU agency to supervise banks is a major step towards ending decades-long abuse - 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