AML Luxembourg to ease access to information on payment accounts

News

Luxembourg to ease access to information on payment accounts, bank accounts and safe-deposit boxes

7 January 2020

Regulatory News Alert

On 23 December 2019, the Chamber of Deputies published the Draft Law establishing centralised registries and electronic data retrieval systems to identify natural or legal persons holding or controlling payment accounts, bank accounts, and safe-deposit boxes in Luxembourg.

The Draft Law consists of transposing some dispositions of Directive (EU) 2018/843 (AMLD 5 or the Directive) stating that Member States have to establish such centralised automated systems as an efficient means to get direct and timely access to information on the identity of holders, beneficial owners, or fiduciaries of the above-mentioned accounts.

Professionals will have to create a data file in-house, accessible by the Commission de surveillance du secteur financier (CSSF), gathering updated, correct, and complete information:

a) For the customer-account holder and any person purporting to act on behalf of the customer: the name, complemented by other identification data required under Article 3, Paragraph 2, letter a) of the modified Law of 12 November 2004

b) For the beneficial owner of the customer-account holder: the name, complemented by other identification data required under Article 3, Paragraph 2, letter b) of the modified Law of 12 November 2004

c) For the bank or payment account: the IBAN number and the date of account opening and closing

d) For the safe-deposit box: name of the lessee complemented by other identification data required under Article 3, Paragraph 2 of the modified Law of 12 November 2004.

Information under a), b), and d) can be supplemented with a unique identification number.

Consequently, the CSSF will set up and manage a centralised electronic data retrieval system which collects information from the professionals’ files, allowing the regulator and the Cellule de Renseignement Financier (CRF) to have direct and all-time access to the contained information.

The Draft Law grants professionals the possibility to delegate such requirements to a third person, under an outsourcing agreement (however, without transferred liability).

In accordance with the Draft Law, the requirement to set up data files concern payment and bank accounts existing at the date of entry into force of the law, as well as accounts opened from this date onwards. The requirement also concerns safe-deposit boxes lent at the date of entry into force of the law, as well as safe-deposit boxes that will be lent after this date.

In case of a breach of certain requirements prescribed by the Law or provision of false information, the CSSF could impose administrative sanctions and/or fines (ranging from EUR1,250 to EUR1,250,000).

 

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Partner – Operations Excellence &
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Eric Collard
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Bastien Collette
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Tel : +352 45145 3372
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Alice Lehnert
Director – Advisory & Consulting
Tel : +352 45145 2605
alehnert@deloitte.lu

Maxime Heckel
Director – Operations Excellence &
Human Capital
Tel : +352 45145 2837
mheckel@deloitte.lu

 

Regulatory Watch Kaleidoscope service

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Jean-Philippe Peters
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Benoit Sauvage
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