Changes from plenary report to adopted text

Removed(b) to issue guidelines and recommendations;

Removed(c) to issue ▌instructions on measures that should be taken towards non-selected obliged entities pursuant to Section 4 of Chapter II;

Removed(ca) to carry out mediation upon the request of a financial supervisor pursuant to Article 5(3), point (g);

Removed(cb) to settle disagreements between financial supervisors with binding effect upon a request pursuant to Article 5(3), point (ga), including in the context of the AML/CFT supervisory colleges;

Removed(cc) to take supervisory decisions directly applicable to the obliged entities concerned in accordance with this Regulation.

Removed2a. With respect to competent authorities in charge of the preparation, adoption, supervision and enforcement relating to targeted financial sanctions, the Authority shall have the following powers:

Removed(a) to receive data and analyses from competent authorities, third countries, international organisations and other reliable sources with a view to preparing new targeted financial sanctions;

Removed(b) to collect information and statistics in relation to the tasks and activities of the competent authorities in charge of the supervision and enforcement of targeted financial sanctions;

Removed(c) to receive information on any possible violations, circumvention and evasion of targeted financial sanctions;

Removed(d) to issue the guidelines and recommendations referred to in Article 43.

Removed3. With respect to FIUs in the Member States, the Authority shall have the following powers:

Removed(a) to submit requests to FIUs to make available data and analyses from FIUs that are relevant to the assessment of threats, vulnerabilities and risks facing the internal market in relation to money laundering and terrorist financing;

Removed(b) to collect information and statistics in relation to the tasks and activities of the FIUs;

Removed(c) to obtain and process information and data required for initiating, instituting and coordinating joint analyses as specified in Article 33;

Removed(d) to issue guidelines and recommendations, as provided for in Article 43.

Removed3a. With respect to the entities in charge of central beneficial ownership registers, the Authority shall have the power to conduct peer reviews of the fulfilment of the requirements laid down in Chapter II, Section I, of Directive [please insert reference – proposal for 6th Anti-Money Laundering Directive].

Removed4. For the purposes of carrying out the tasks set out in Article 5(1), the Authority shall have the following powers:

Removed(a) to develop draft regulatory technical standards in the specific cases referred to in Article 38;

Removed(b) to develop draft implementing technical standards in the specific cases referred to in Article 42;

Removed(c) to issue guidelines and recommendations, as provided in Article 43;

Removed(d) to issue opinions to the European Parliament, to the Council, or to the Commission as provided for in Article 44.

Removed4a. When exercising the powers provided for in paragraph 4 of this Article, and in accordance with Article 24 of Council Regulation (EU) 2017/1939, the Authority shall without undue delay inform the EPPO of any criminal conduct in respect of which it is permitted to exercise its competence in accordance with Article 22 and Article 25(2) and (3) of that Regulation. Pursuant to Article 8 of Regulation (EU, Euratom) No 883/20131a, the Authority shall transmit to OLAF without delay any information relating to possible cases of fraud, corruption or any other illegal activity affecting the financial interests of the Union.

RemovedAfter having sent the information referred to in the first subparagraph, the Authority shall, on its own initiative or upon request, provide the EPPO or the competent national judicial or law enforcement authority with any other relevant information, as required by their respective national legal frameworks.

Removed4b. In cases where it is duly justified in order to preserve the confidentiality of an ongoing or future criminal investigation, the Authority shall take into account any grounds raised by the EPPO, or the competent national judicial or law enforcement authority, for the postponment of the opening or the continuation of an investigation or of supervisory measures, the imposition of pecuniary sanctions or penalty payments by the Authority, or the performance of certain acts pertaining to them. The modalities shall be laid down in the working agreement with the EPPO under Article 80(2).

RemovedAML/CFT supervisory system

RemovedCooperation within the AML/CFT supervisory system

Removed1. The Authority shall be responsible for the effective and consistent functioning of the AML/CFT supervisory system.

Removed2. The Authority and supervisory authorities shall be subject to a duty of cooperation in good faith, and to an obligation to exchange information for the purposes of preventing money laundering and terrorism financing in accordance with this Regulation and other applicable Union law.

RemovedSupervisory authorities shall assist the Authority in taking into account the specificities of their respective national legal frameworks, including where the Authority acts in relation to matters governed by provisions of national law transposing Union law as referred to in Article 1(2).

RemovedAML/CFT supervisory methodology

Removed1. In cooperation with supervisory authorities, the Authority shall develop and maintain an up-to-date and harmonised AML/CFT supervisory methodology detailing the risk-based approach to supervision of obliged entities in the Union. The methodology shall comprise guidelines, recommendations, opinions and other measures and instruments as appropriate, including in particular draft regulatory and implementing technical standards, on the basis of the empowerments laid down in the acts referred to in Article 1(2).

Removed2. When developing the supervisory methodology the Authority shall make a distinction between obliged entities based on the sectors in which they operate, their type and the nature of the money laundering and terrorism financing risks to which they are exposed. The supervisory methodology shall be risk-based and contain at least the following elements:

Removed(a) benchmarks and methodology for classification of obliged entities into risk categories on the basis of their residual risk profile, separately for each category of obliged entities;

Removed(b) approaches to supervisory review of money laundering and terrorism financing risk self-assessments of obliged entities;

Removed(c) approaches to supervisory review of obliged entities’ internal policies and procedures of obliged entities, including customer due diligence policies and procedures, in line with a risk-based approach to the prevention of money laundering and terrorism financing;

Removed(d) approaches to supervisory evaluation of risk factors inherent in, or related to, customers, business relationships, transactions and delivery channels of obliged entities, as well as geographical risk factors.

Removed(da) the use and type of information contained in the common regulatory templates for selected and non-selected obliged entities, which are to be based on objective and comparable AML data focused on key indicators of activity for AML/CFT purposes, due diligence, internal controls, and reporting obligations.

Removed3. The methodology shall reflect high supervisory standards at Union level and shall build on relevant international standards and guidance. The Authority shall periodically review and update its supervisory methodology, taking into account the evolution of risks affecting the internal market and, to the extent possible, best practices and guidance developed by international standard setters, national law enforcement authorities and FIUs.

RemovedThematic reviews

Removed1. By 31 October each year, supervisory authorities shall submit to the Authority their annual work programmes for the following year. Where those work programmes include supervisory reviews carried out on a thematic basis with the aim of assessing ML/TF risks or a specific aspect of such risks which multiple obliged entities are exposed to at the same time, the supervisory authorities shall provide the following information:

Removed(a) the scope of each planned thematic review in terms of category and number of obliged entities included and the subject matter(s) of the review;

Removed(b) the time-frame of each planned thematic review;

Removed(c) the planned types, nature and frequency of supervisory activities to be performed in relation to each thematic review, including any on-site inspections or other types of direct interaction with obliged entities, where applicable.

Removed2. By the end of each year, the Chair of the Authority shall present to the General Board in supervisory composition as referred to in Article 46(2) a consolidated planning of the thematic reviews that supervisory authorities intend to undertake during the following year.

Removed3. Where the scope and Union-wide relevance of thematic reviews justify coordination at Union level, they shall be carried out jointly by the relevant supervisory authorities and shall be coordinated by the Authority. The Executive Board may propose joint thematic reviews based on an analysis of internal risks and vulnerabilities performed by the Authority. The General Board in supervisory composition shall draw up a list of joint thematic reviews. The General Board in supervisory composition shall draw up a report relating to the conduct, subject-matter and outcome of each joint thematic review. The Authority shall publish that report on its website.

Removed4. The Authority shall coordinate the activities of the supervisory authorities and facilitate the planning and execution of the selected joint thematic reviews referred to in paragraph 3. Any direct interaction with non-selected obliged entities in the context of any thematic review shall remain under the exclusive responsibility of the supervisory authority responsible for supervision of the non-selected obliged entities and shall not be construed as a transfer of tasks and powers related to those entities within the AML/CFT supervisory system.

Removed5. Where planned thematic reviews at national level are not subject to a coordinated approach at the level of the Union, the Authority shall, jointly with the supervisory authorities, explore the need for and the possibility of aligning or synchronising the timeframe of those thematic reviews, and shall facilitate information exchange and mutual assistance between supervisory authorities carrying out those thematic reviews. The Authority shall also facilitate any activities that the relevant supervisory authorities may wish to carry out jointly or in similar manner in the context of their respective thematic reviews.

Removed6. The Authority shall ensure the sharing with all supervisory authorities of the outcomes and conclusions of thematic reviews conducted at national level by several supervisory authorities, with the exception of confidential information pertaining to individual obliged entities. The sharing of information shall include any common conclusions resulting from exchanges of information or any joint or coordinated activities among several supervisory authorities.

RemovedMutual assistance in AML/CFT supervisory system

Removed1. The Authority may, as appropriate, develop:

Removed(a) new practical instruments and convergence tools to promote common supervisory approaches and best practices;

Removed(b) practical tools and methods for mutual assistance following:

Removed(i) specific requests from supervisory authorities;

Removed(ii) referral of disagreements between supervisory authorities on the measures to be taken jointly by several supervisory authorities in relation to an obliged entity.

Removed2. The Authority shall facilitate and encourage at least the following activities:

Removed(a) sectoral and cross-sectoral training programmes, including with respect to technological innovation;

Removed(b) exchanges of staff and the use of secondment schemes, twinning and short-term visits;

Removed(c) exchanges of supervisory best practices between supervisory authorities, when one authority has developed expertise in a specific area of AML/CFT supervisory practices.

Removed3. Each supervisory authority may submit a request for mutual assistance related to its supervisory tasks to the Authority, specifying the type of assistance that can be provided by the staff of the Authority, the staff of one or more supervisory authorities, or a combination thereof. If the request concerns activities that relate to the supervision of specific obliged entities, the requesting supervisory authority shall transmit to the Authority any information and data necessary for the provision of assistance in accordance with this Regulation and other applicable Union law. The Authority shall keep and regularly update the information on specific areas of expertise and on the capacities of supervisory authorities to provide mutual assistance.

Removed4. Where the Authority is requested to provide assistance for the performance of specific supervisory tasks at national level towards non-selected obliged entities, the requesting supervisory authority shall detail the tasks for which support is sought in its request. The assistance shall not be construed as the transfer of supervisory tasks, powers, or accountability for supervision of the non-selected obliged entities from the requesting supervisory authority to the Authority.