CEPI Meets the European Commission to discuss the Prevention of Money Laundering

On 24 April CEPI’s Director-General Guy Valkenborg and Policy Director Janet Griffiths met with the European Commission, DG Justice and Consumers, to discuss its current work on the prevention of money laundering.

The European Commission is currently updating its 2017 Supranational Risk Assessment Report which looks at the risk scenario relating to specific sectors including real estate. The real estate sector continues to be at risk of exploitation for money laundering and terrorist financing, but mitigating measures are in place and EU Member States are in the ongoing process of implementing the Fourth and Fifth Anti-Money Laundering (AML) Directives which strengthen the legislative framework within the EU.

The report will provide generic guidance to EU Member States and is due to be published in the second half of this year. CEPI encouraged the Commission to work with the sector to promote better awareness of AML requirements which should be comprehensible and not punitive. The Commission was informed that CEPI is working with its members to promote practical solutions such as the development of an online tool with the cooperation of national authorities in different EU countries to facilitate compliance with AML requirements. CEPI also stressed the fact that it would be considered as reflecting reality if mention was made in the report of the fact that representative professional organisations are putting in the effort to ensure that the sector lives up to the expectations of the legislation in place.

Also some pending questions / worries of members were raised with the Commission and it was agreed to remain in close contact in view of the further steps leading to a final agreement of the Supranational Risk Assessment Report.