BRUSSELS, Belgium—The European Commission is seeking to create a new Anti-Money Laundering Authority (AMLA).
If the legislation goes forward, the AMLA would set up operations in 2024 and gain the ability to supervise some cross-border financial companies and impose fines on firms that breach money-laundering rules in 2026.
“The legislative package represents the EU’s boldest attempt to tackle illicit finance in the wake of scandals across the bloc,” the Financial Times reported.
While suspicious transactions estimated in the range of hundreds of billions of euros happen each year within the European Union, the Financial Times reported the EC’s ability to respond is being hindered by inconsistent enforcement within member states, as well as by a reluctance on the part of some countries to fully implement the anti-money-laundering directives already on the books.
The Objective
According to the Financial Times, the objective in creating the commission is to improve coordination between national agencies when it comes to money laundering and financial intelligence. The AMLA will oversee the “riskiest” financial sector companies operating in EU member states, the Financial Times said.
The plan needs the agreement of the European Parliament and member states. If approved, it would create an EU-wide anti-money laundering/anti-terrorism financing rule book, as well as new regulations governing crypto assets.