Changes from plenary report to adopted text

Removed4. Where the supervisory authority has not complied with Union law within one month of the date of receipt of the Authority’s recommendation, the Commission may, after having been informed of that fact by the Authority, or on its own initiative, issue a formal opinion requiring the supervisory authority to take the action necessary to comply with Union law. The Commission’s formal opinion shall take into account the Authority’s recommendation.

RemovedThe Commission shall issue such formal opinion within three months of the date of adoption of the recommendation. The Commission may extend that period by one month.

RemovedThe Authority and the supervisory authority shall provide the Commission with all necessary information.

Removed5. The supervisory authority shall, within 10 working days of receipt of the formal opinion referred to in paragraph 4, inform the Commission and the Authority of the steps it has taken or intends to take to comply with that formal opinion.

Removed6. Where a supervisory authority does not comply with the formal opinion within the period specified therein, and where it is necessary to remedy, in a timely manner, such non-compliance in order to attain or restore the integrity, stability and reputation of the financial system, the Authority may adopt an individual decision addressed to a non-selected obliged entity requiring it to take all necessary action to comply with its obligations under Union law. To that effect, the Authority shall apply all relevant Union law, and, where that Union law is composed of Directives, national law to the extent that it transposes those Directives. Where the relevant Union law is composed of Regulations and where those Regulations expressly grant options for Member States, the Authority shall apply also national law to the extent that such options have been exercised.

RemovedThe decision of the Authority shall be in conformity with the formal opinion issued by the Commission pursuant to paragraph 4.

Removed7. Decisions adopted in accordance with paragraph 6 shall prevail over any previous decision adopted by the supervisory authority on the same matter.

RemovedWhen taking action in relation to issues which are subject to a formal opinion pursuant to paragraph 5 or to a decision pursuant to paragraph 6, supervisory authorities shall comply with the formal opinion or the decision, as applicable.

RemovedOVERSIGHT OF NON-FINANCIAL SECTOR

RemovedPeer reviews

Removed1. The Authority shall periodically conduct peer reviews of some or all of the activities of non-financial supervisors to strengthen consistency and effectiveness in supervisory outcomes. To that end, the Authority shall develop methods to allow for an objective assessment and comparison between non-financial supervisors reviewed.▌

Removed2. The peer reviews shall be carried out by the staff of the Authority in cooperation with the relevant staff of the non-financial supervisors.

Removed3. The peer review shall include an assessment of, but shall not be limited to:

Removed(a) the adequacy of powers and financial, human and technical resources, the degree of independence, the governance arrangements and professional standards of non-financial supervisor to ensure the effective application of Chapter IV [OP please insert the next number to the AMLD, COM(2021)423];

Removed(b) the effectiveness and the degree of convergence reached in the application of Union law and in supervisory practice, and the extent to which the supervisory practice achieves the objectives set out in Union law;

Removed(c) the application of best practices developed by non-financial supervisors whose adoption might be of benefit for other non-financial supervisors;

Removed(d) the effectiveness and the degree of convergence reached with regard to the enforcement of the provisions adopted in the implementation of Union law, including the administrative sanctions and other administrative measures imposed against persons responsible where those provisions have not been complied with.

Removed4. The Authority shall produce a report setting out the results of the peer review. That peer review report shall be prepared by the staff of the Authority, in cooperation with the relevant staff of the non-financial supervisors and adopted by the Executive Board, which shall share it in a timely manner with the non-financial supervisor under review▌. The report shall explain and indicate the follow-up measures that are deemed appropriate, proportionate and necessary as a result of the peer review. Those follow-up measures may be adopted in the form of guidelines and recommendations pursuant to Article 43 and opinions pursuant to Article 44. The non-financial supervisors shall make every effort to comply with any guidelines and recommendations issued, in accordance with Article 43. The Authority shall transmit such reports without delay, on a confidential basis, at least to the European Parliament.

Removed5. The Authority shall publish the findings of the peer review on its website and submit an opinion to the Commission where, having regard to the outcome of the peer review or to any other information acquired by the Authority in carrying out its tasks, it considers that further harmonisation of Union rules applicable to obliged entities in the non-financial sector or to non-financial supervisors would be necessary from the Union’s perspective.

Removed6. The Authority shall provide a follow-up report two years after the publication of the peer review report. The follow-up report shall be prepared by the staff of the Authority, in cooperation with the relevant staff of the non-financial supervisors, and adopted by the Executive Board, which shall share it in a timely manner with the non-financial supervisor under review▌. The follow-up report shall include an assessment of the adequacy and effectiveness of the actions undertaken by the non-financial supervisors that were subject to the peer review in response to the follow-up measures of the peer review report. The Authority shall publish the findings of the follow-up report on its website.

Removed7. For the purposes of this Article, the Executive Board shall adopt a peer review work plan every two years, which shall reflect the lessons learnt from the past peer review processes and discussions held in the General Board in supervisory composition. The peer review work plan shall constitute a separate part of the annual and multiannual working programme and shall be included in the Single Programming Document. In case of urgency or unforeseen events, the Authority may decide to carry out additional peer reviews.

Removed8. When supervision is performed by SRBs, the peer review exercise shall include the assessment of the adequacy and effectiveness of measures pursuant to Article 38 of [OP please insert the next number to the AMLD, COM(2021)423] that are taken by the public authority in charge of overseeing these bodies to ensure that they perform their function to the standards required under Union law.

Removed9. When a peer review concerns SRBs, representatives of SRBs shall be invited to participate in that peer review.

RemovedEstablishment of AML/CFT supervisory colleges in the non-financial sector

Removed1. After three years after the date of entry into force of Directive [please insert reference – proposal for 6th Anti-Money Laundering Directive - COM/2021/423final], the Authority may, within the scope of its powers and without prejudice to the powers of the relevant supervisory authorities pursuant to Articles 34 and 34a of Directive [please insert reference – proposal for 6th Anti-Money Laundering Directive - COM/2021/423final], decide to establish AML/CFT supervisory colleges, and ensure their consistent functioning, for obliged entities in the non-financial sector operating in at least four Member States and with an annual EU-wide turnover of at least EUR 200 million euros.

Removed2. To that end, the Authority may:

Removed(a) convene and organise the meetings of AML/CFT supervisory colleges where deemed appropriate;

Removed(b) assist in the organisation of AML/CFT supervisory college meetings, where requested by the relevant supervisory authorities, or convene a college meeting at its own discretion where deemed necessary;

Removed(c) ensure that all relevant information is collected and shared by the supervisory authorities in order to facilitate the work of the AML/CFT supervisory college and make such information accessible to the relevant authorities in the college;

Removed(d) promote effective and efficient supervisory practices, including evaluating the risks to which obliged entities are or might be exposed;

Removed(e) mediate and assist in resolving conflicts between participating supervisory authorities on their request;

Removed(f) oversee, in accordance with the tasks and powers specified in this Regulation, the tasks carried out by the supervisory authorities;

Removed(g) identify instances where the absence of effective and efficient supervisory practices and activities in the context of AML/CFT supervisory colleges derives from inadequate or lack of transposition of Union law into national law, and duly report those instances to the Commission.

Removed3. AML/CFT supervisory colleges may be used to exchange information, provide mutual assistance and, where appropriate, coordinate the supervisory approach to the obliged entity, including the taking of appropriate and proportionate measures to address serious breaches of the requirements of Regulation [please insert reference – proposal for Anti-Money Laundering Regulation - COM/2021/420 final] that are detected in the jurisdiction of a supervisor participating in the AML/CFT supervisory college.

Removed4. AML/CFT supervisory colleges shall be composed of permanent members, including the Authority and non-financial supervisors, and, when unanimously agreed by them, observers.

RemovedWhere, pursuant to Article 29(3) of Directive [please insert reference to AMLD6], Member States allow SRBs to perform supervision of the entities referred to in Article 3, points (3)(a) and (b) of Regulation [please insert reference – proposal for Anti-Money Laundering Regulation - COM/2021/420 final], the respective national oversight authorities, pursuant to Article 38 of Directive [please insert reference to AMLD6], shall be the permanent members.

Removed5. This Article shall not apply to SRBs, including SRBs overseeing obliged entities that exercise an independent legal profession or that are public office holders appointed by the government to exercise judicial functions.

RemovedPowers over supervisory authorities in the non-financial sector

Removed1. Where a supervisory authority in the non-financial sector has not applied the Union acts or the national legislation referred to in Article 1(2), or has applied them in a way which appears to be a breach of Union law, in particular by failing to ensure that an entity under its supervision or oversight satisfies the requirements laid down in those acts or in that legislation, the Authority shall act in accordance with the powers set out in paragraphs 2, 3, 4, 6 and 7 of this Article.

Removed2. Upon request from one or more supervisory authorities in the non-financial sector, the European Parliament, the Council, the Commission, or on its own initiative, including when this is based on well-substantiated information from natural or legal persons, and after having informed the supervisory authority in the non-financial sector concerned, the Authority shall outline how it intends to proceed with the case and, where appropriate, investigate the alleged breach or non-application of Union law.

RemovedThe supervisory authority shall, without delay, provide the Authority with all information which the Authority considers necessary for its investigation including information on how the Union acts or in that legislation referred to in Article 1(2) are applied in accordance with Union law.

RemovedWhenever requesting information from the supervisory authority concerned has proven, or is deemed to be, insufficient to obtain the information that is deemed necessary for the purposes of investigating an alleged breach or non-application of Union law, the Authority may, after having informed the supervisory authority, address a duly justified and reasoned request for information directly to other supervisory authorities.

RemovedThe addressee of such a request shall provide the Authority with clear, accurate and complete information without undue delay.

Removed3. The Authority may, not later than six months from initiating its investigation, address a recommendation to the supervisory authority in the non-financial sector concerned setting out the action necessary to comply with Union law.

RemovedBefore issuing such a recommendation, the Authority shall engage with the supervisory authority concerned, where it considers such engagement appropriate in order to resolve a breach of Union law, in an attempt to reach agreement on the actions necessary for compliance with Union law.

RemovedThe supervisory authority in the non-financial sector shall, within ten working days of receipt of the recommendation, inform the Authority of the steps it has taken or intends to take to ensure compliance with Union law.

Removed4. Where the supervisory authority in the non-financial sector has not complied with Union law within one month from receipt of the Authority’s recommendation, the Commission may, after having been informed by the Authority, or on its own initiative, issue a formal opinion requiring the supervisory authority in the non-financial sector to take the action necessary to comply with Union law. The Commission’s formal opinion shall take into account the Authority’s recommendation.

RemovedThe Commission shall issue such a formal opinion within three months after the adoption of the recommendation. The Commission may extend this period by one month.

RemovedThe Authority and the supervisory authority in the non-financial sector shall provide the Commission with all necessary information.

Removed5. The supervisory authority in the non-financial sector shall, within ten working days of receipt of the formal opinion referred to in paragraph 5, inform the Commission and the Authority of the steps it has taken or intends to take to comply with that formal opinion.

Removed6. Where the formal opinion referred to in paragraph 4 is addressed to a supervisory authority which is a public authority overseeing a SRB, and where it does not comply with the formal opinion within the period specified therein, particularly if its inaction poses a serious risk to the Union´s system of supervision, to remedy such non-compliance in a timely manner, the Authority may adopt a decision addressed to an SRB in order to ensure compliance with applicable Union law.

RemovedWhere Member States allow SRBs to perform supervision of the entities referred to in Article 3, points (3)(a) and (b), of Regulation [please insert reference – proposal for Anti-Money Laundering Regulation - COM/2021/420 final], the respective national oversight authority may send a duly justified request for a derogation from the first subparagraph of this paragraph if the oversight authority considers that the application thereof interferes with the independence of the judiciary. The request shall have suspensive effect on the Authority’s decision until the Commission has adopted a formal reply. The request shall be addressed to the Commission and be shared with the Authority. The Commission shall formally reply to it within 10 working days.

RemovedThe decision of the Authority shall be in conformity with the formal opinion issued by the Commission pursuant to paragraph 4.

Removed7. Decisions adopted in accordance with paragraph 6 shall prevail over any previous decision adopted by the supervisory authority on the same matter.

RemovedWhen taking action in relation to issues which are subject to a formal opinion pursuant to paragraph 5 or to a decision pursuant to paragraph 7, supervisory authorities shall comply with the formal opinion or the decision, as the case may be.

RemovedFIUs SUPPORT AND COORDINATION MECHANISM

RemovedThe FIUs Support and Coordination Mechanism

Removed1. The Authority and FIUs shall constitute an FIUs Support and Coordination Mechanism. The Authority and FIUs shall work together and cooperate with each other to the greatest extent possible to prevent, detect and effectively combat money laundering and terrorist financing in the internal market.

RemovedThe FIUs and the Authority shall perform their tasks and carry out their activities in accordance with this Regulation and applicable Union and national law.

Removed2. FIUs shall participate in, and contribute to, the activities of the FIUs Support and Coordination Mechanism in accordance with this Regulation and other applicable Union law. They shall in particular: