The UK Gambling Commission (UKGC) announced recently that it would implement the 5th Money Laundering Directive from the EU in January 2020. The new policy will be implemented on January 10th, after which all remote and land-based casino operators in the UK will make changes to their money laundering and terrorism finance rules. The new amendments will mandate stricter business reviews and modifications in all AML-associated policies from the operators.
The new directive will eliminate risks associated with money laundering via casino operations. The measures include improved due diligence for high-risk countries as well as unusually large or complex transactions by the customers. The operators have to be mindful of transactions that do not have a direct legal or economic purpose.
The 5th AMLD also suggests monitoring and due diligence of customers who received money via life insurance policies or those who received EEA state citizenship upon payment of capital, government bonds, property purchases, and investments in corporate entities in the region.
The British gambling commission will publish its 5th guidance for casinos, both remote and land-based, next month. The regulator released a statement on its website, acknowledging that the operators will take time to implement changes into their account. It lauded operators who invested in the right technology and implemented changes with the required urgency to meet the regulator’s directive.
The 5th AMLD aims to monitor cryptocurrency and pre-paid cards to prevent leakages from the European financial systems. It also aims to create a centralized standard for the central banks and regulators, which helps them retrieve Europe-wide data more easily. Member states will also make the register of beneficial ownership records public, which would bring more transparency to the system.