|
The Directive takes on board the recommendations on terror financing of the OECD-based Financial Action Task Force on money-laundering and seeks to implement the recommendations of a task force on money laundering set up by the G7.
Every EU country will establish a financial intelligence unit responsible for receiving and analysing information concerning potential money laundering or terrorist financing activities. In an attached statement it is said that “when Member States are obliged under a Community act to introduce 'penalties', it is up to them to choose the appropriate type of sanction in conformity with the case law of the European Court of Justice.”
Already in July the Council also adopted a regulation providing a system for controls of cash entering and leaving the Community setting a Euro 10 000 a threshold above which natural persons will be required to declare cash when crossing the EU's external borders.
The directive will be implemented by the member states by 2007 and will also concern credit and financial institutions, auditors, external accountants and tax advisors, independent legal professionals, trust and company service providers, real estate agents and casinos. It is to be reviewed after four years.
Council press release
Statement