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6AMLD definitions

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6AMLD definitions

6 AMLD definitions
6 AMLD definitions

The 6AMLD definitions to streamline Money laundering and predicate offences will help prosecutors to prosecute more offences than previously. Here they are.

For the purposes of 6AMLD definitions, the following apply:

Article 2

(1)‘criminal activity’ means any kind of criminal involvement in the commission of any offence punishable, in accordance with national law, by deprivation of liberty or a
detention order for a maximum of more than one year or, as regards Member
States that have a minimum threshold for offences in their legal systems, any
offence punishable by deprivation of liberty or a detention order for a minimum of more than six months. In any case, offences within the following categories are
considered a criminal activity:

(a)participation in an organised criminal group and racketeering;

(b)terrorism;

(c)trafficking in human beings and migrant smuggling;

(d)sexual exploitation;

(e)illicit trafficking in narcotic drugs and psychotropic substances;

(f)illicit arms trafficking;

(g)illicit trafficking in stolen goods and other goods;

(h)corruption;

(i)fraud;

(j)counterfeiting of currency;

(k)counterfeiting and piracy of products;

(l)environmental crime;

(m)murder, grievous bodily injury;

(n)kidnapping, illegal restraint and hostage-taking;

(o)robbery or theft;

(p)smuggling;

(q)tax crimes relating to direct and indirect taxes;

(r)extortion;

(s)forgery;

(t)piracy;

(u)insider trading and market manipulation;

(v)cybercrime.
(2)‘property’ means assets of any kind, whether corporeal or incorporeal, movable or
immovable, tangible or intangible, and legal documents or instruments in any form, including electronic or digital, evidencing title to, or an interest in, such assets;
(3)‘legal person’ means any entity having legal personality under the applicable law,
except for states or public bodies in the exercise of state authority and for public
international organisations.

Article 3 6AMLD definitions

Money laundering offences

6AMLD Money Laundering
6AMLD Money Laundering

1.   Member States shall take the necessary measures to ensure that the following conduct, when committed intentionally, is punishable as a criminal offence:

(a)the conversion or transfer of property, knowing that such property is derived from criminal activity, for the purpose of concealing or disguising the illicit origin of the property or of assisting any person who is involved in the commission of such an
activity to evade the legal consequences of that person’s action;
(b)the concealment or disguise of the true nature, source, location, disposition, movement, rights with respect to, or ownership of, property, knowing that such property is derived from criminal activity;
(c)the acquisition, possession or use of property, knowing at the time of receipt, that such property was derived from criminal activity.

2.   Member States may take the necessary measures to ensure that the conduct referred to in paragraph 1 is punishable as a criminal offence where the offender suspected or ought to have known that the property was derived from criminal activity.

3.   Member States shall take the necessary measures to ensure that:

(a)a prior or simultaneous conviction for the criminal activity from which the property was derived is not a prerequisite for a conviction for the offences referred to in
paragraphs 1 and 2;
(b)a conviction for the offences referred to in paragraphs 1 and 2 is possible where it
is established that the property was derived from a criminal activity, without it
being necessary to establish all the factual elements or all circumstances relating
to that criminal activity, including the identity of the perpetrator;
(c)the offences referred to in paragraphs 1 and 2 extend to property derived from
conduct that occurred on the territory of another Member State or of a third
country, where that conduct would constitute a criminal activity had it occurred
domestically.

4.   In the case of point (c) of paragraph 3 of this Article, Member States may further require that the relevant conduct constitutes a criminal offence under the national law of the other Member State or of the third country where that conduct was committed, except where that conduct constitutes one of the offences referred to in points (a) to (e) and (h) of point (1) of Article 2 and as defined in the applicable Union law.

5.   Member States shall take the necessary measures to ensure that the conduct referred to in points (a) and (b) of paragraph 1 is punishable as a criminal offence when committed by persons who committed, or were involved in, the criminal activity from which the property was derived.

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Article 4 6AMLD definitions

Aiding and abetting, inciting and attempting

Article 5

Member States shall take the necessary measures to ensure that aiding and abetting, inciting and attempting an offence referred to in Article 3(1) and (5) is punishable as a criminal offence.

Penalties for natural persons

1.   Member States shall take the necessary measures to ensure that the offences referred to in Articles 3 and 4 are punishable by effective, proportionate and dissuasive criminal penalties.

2.   Member States shall take the necessary measures to ensure that the offences referred to in Article 3(1) and (5) are punishable by a maximum term of imprisonment of at least four years.

3.   Member States shall also take the necessary measures to ensure that natural persons who have committed the offences referred to in Articles 3 and 4 are, where necessary, subject to additional sanctions or measures.

Article 6 6AMLD definitions

Aggravating circumstances

1.   Member States shall take the necessary measures to ensure that, in relation to the offences referred to in Article 3(1) and (5) and Article 4, the following circumstances are to be regarded as aggravating circumstances:

(a)the offence was committed within the framework of a criminal organisation within the meaning of Framework Decision 2008/841/JHA; or
(b)the offender is an obliged entity within the meaning of Article 2 of Directive (EU) 2015/849 and has committed the offence in the exercise of their professional
activities.

2.   Member States may provide that, in relation to the offences referred to in Article 3(1) and (5) and Article 4, the following circumstances are to be regarded as aggravating circumstances:

(a)the laundered property is of considerable value; or
(b)the laundered property derives from one of the offences referred to in points (a) to (e) and (h) of point (1) of Article 2.

Article 7 6AMLD definitions

Liability of legal persons

1.   Member States shall take the necessary measures to ensure that legal persons can be held liable for any of the offences referred to in Article 3(1) and (5) and Article 4 committed for their benefit by any person, acting either individually or as part of an organ of the legal person and having a leading position within the legal person, based on any of the following:

(a)a power of representation of the legal person;
(b)an authority to take decisions on behalf of the legal person; or
(c)an authority to exercise control within the legal person.

2.   Member States shall take the necessary measures to ensure that legal persons can be held liable where the lack of supervision or control by a person referred to in paragraph 1 of this Article has made possible the commission of any of the offences referred to in Article 3(1) and (5) and Article 4 for the benefit of that legal person by a person under its authority.

3.   Liability of legal persons under paragraphs 1 and 2 of this Article shall not preclude criminal proceedings from being brought against natural persons who are perpetrators, inciters or accessories in any of the offences referred to in Article 3(1) and (5) and Article 4.

Article 8 6AMLD definitions

Sanctions for legal persons

Member States shall take the necessary measures to ensure that a legal person held liable pursuant to Article 7 is punishable by effective, proportionate and dissuasive sanctions, which shall include criminal or non-criminal fines and may include other sanctions, such as:

(a)exclusion from entitlement to public benefits or aid;
(b)temporary or permanent exclusion from access to public funding, including tender procedures, grants and concessions;
(c)temporary or permanent disqualification from the practice of commercial
activities;
(d)placing under judicial supervision;
(e)a judicial winding-up order;
(f)temporary or permanent closure of establishments which have been used for
committing the offence.

Article 9 6AMLD definitions

Confiscation

Member States shall take the necessary measures to ensure, as appropriate, that their competent authorities freeze or confiscate, in accordance with Directive 2014/42/EU, the proceeds derived from and instrumentalities used or intended to be used in the commission or contribution to the commission of the offences as referred to in this Directive.

Article 10

Jurisdiction

1.   Each Member State shall take the necessary measures to establish its jurisdiction over the offences referred to in Articles 3 and 4 where:

(a)the offence is committed in whole or in part on its territory;
(b)the offender is one of its nationals.

2.   A Member State shall inform the Commission where it decides to extend its jurisdiction to offences referred to in Articles 3 and 4 which have been committed outside its territory where:

(a)the offender is a habitual resident on its territory;
(b)the offence is committed for the benefit of a legal person established on its
territory.

3.   Where an offence referred to in Articles 3 and 4 falls within the jurisdiction of more than one Member State and where any of the Member States concerned can validly prosecute on the basis of the same facts, the Member States concerned shall cooperate in order to decide which of them will prosecute the offender, with the aim of centralising proceedings in a single Member State.

Account shall be taken of the following factors:

(a)the territory of the Member State on which the offence was committed;
(b)the nationality or residency of the offender;
(c)the country of origin of the victim or victims; and
(d)the territory on which the offender was found.

The matter shall, where appropriate and in accordance with Article 12 of Framework Decision 2009/948/JHA, be referred to Eurojust.

Article 11

Investigative tools

Member States shall take the necessary measures to ensure that effective investigative tools, such as those used in combating organised crime or other serious crimes are available to the persons, units or services responsible for investigating or prosecuting the offences referred to in Article 3(1) and (5) and Article 4.

Article 12

Replacement of certain provisions of Framework Decision 2001/500/JHA

Point (b) of Article 1 and Article 2 of Framework Decision 2001/500/JHA are replaced with regard to the Member States bound by this Directive, without prejudice to the obligations of those Member States with regard to the date for transposition of that Framework Decision into national law.

With regard to the Member States bound by this Directive, references to the provisions of Framework Decision 2001/500/JHA referred to in the first paragraph shall be construed as references to this Directive.

Article 13

Transposition

1.   Member States shall bring into force the laws, regulations and administrative provisions necessary to comply with this Directive by 3 December 2020. They shall immediately inform the Commission thereof.

When Member States adopt those measures, they shall contain a reference to this Directive or be accompanied by such a reference on the occasion of their official publication. The methods of making such reference shall be laid down by the Member States.

2.   Member States shall communicate to the Commission the text of the main provisions of national law which they adopt in the field covered by this Directive.

Article 14

Reporting

The Commission shall, by 3 December 2022, submit a report to the European Parliament and to the Council, assessing the extent to which the Member States have taken the necessary measures to comply with this Directive.

The Commission shall, by 3 December 2023, submit a report to the European Parliament and to the Council assessing the added value of this Directive with regard to combating money laundering as well as its impact on fundamental rights and freedoms. On the basis of that report, the Commission shall, if necessary, present a legislative proposal to amend this Directive. The Commission shall take into account the information provided by Member States.

What does it all mean?

For a breakdown on what this could mean for your business or how you can train your employees to understand it, contact us.

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