The European Gaming and Betting Association has welcomed European Commission proposals for a new AML authority and supervisory system.
Belgium.- The European Commission has proposed a wide-ranging series of reforms on anti-money laundering controls across Europe.
It’s proposed the creation of a new EU Anti-Money Laundering Authority (AMLA), which would coordinate national AML bodies and financial intelligence units to check that businesses in each member state comply with EU rules and boost cooperation to detect cross-border flows of money.
The AMLA would supervise “some of the riskiest financial institutions that operate in a large number of member states or require immediate action to address imminent risks”.
It also proposes the creation of a single supervisory system for AML and countering financing of terrorism (CFT). It would have more detailed rules on customer due diligence, beneficial ownership and the powers and duties of national financial intelligence units.
There would be a “black list” and “grey list” for countries with higher money laundering risks, matching the Financial Action Task Force’s (FATF) own list. FATF added the EU state and igaming hub Malta to its grey list last month.
The EC also wants a €10,000 limit on cash payments – something that already exists in two-thirds of EU countries. It also plans to ensure that AML laws cover the crypto sector in its entirety.
The European President and European Council will now consider the reforms, which could come into effect for 2024.
Valdis Dombrovskis, executive vice-president of the EU Committee for an Economy that Works for People, said: “Every fresh money laundering scandal is one scandal too many – and a wake-up call that our work to close the gaps in our financial system is not yet done.
“We have made huge strides in recent years and our EU AML rules are now among the toughest in the world. But they now need to be applied consistently and closely supervised to make sure they really bite. This is why we are today taking these bold steps to close the door on money laundering and stop criminals from lining their pockets with ill-gotten gains.”
EGBA welcomes proposed new AML rules
The online gaming trade body the European Gaming and Betting Association (EGBA) has welcomed the European Commission’s proposal.
It said: “The European Gaming and Betting Association welcomes the proposals and reaffirms its commitment to work with all relevant regulatory bodies, including the European Commission, to combat money laundering in the EU.
“The Commission’s proposals follow concern and criticism in recent years that some EU member states have not sufficiently implemented and enforced the EU’s current AML rulebook.”
EGBA director Ekaterina Hartmann said that the association’s members were already working on AML guidelines for the gambling sector.
She said: “We welcome the efforts of the European Commission to continuously improve the EU framework for combating money-laundering.
“EGBA members already apply the highest regulatory standards in AML compliance and are fully committed to tackling money laundering in the online gambling sector.
“To support this, we are working closely with our members to develop EU-wide, sector-specific guidelines to help Europe’s online gambling companies comply with the increasingly complex AML rules in the EU.”
During the UEFA European Football Championship, the EGBA tasked global analytics company Nielsen to monitor members’ advertising campaigns against its code of conduct during the event.