CHANGES TO THE LEGISLATION
On 6 December 2024, the Prevention and Combating of Money Laundering (Amendment) (No. 2) Law of 2024 with number L.141(I)/2024 was published, introducing the below amendments:
1. The penalties for the omission or neglection of the filing / annual confirmation of the UBO Register will only be applicable to the legal entity itself.
No penalties will additionally be applicable to each of the directors or the secretary.
2. A director of a company, which omits or neglects its UBO filing obligations, is jointly and/or severally liable with the company for the payment of the penalty imposed on the company;
3. The applicable penalties have been revised as follows:
- One Hundred Euros (€100) instead of Two Hundred Euros (€200) on the first day of the omission;
- a further fine of Fifty Euros (€50) instead of One Hundred Euros (€100) for each day of continuation of the violation with a maximum total fine of Five Thousand Euros (€5,000) instead of Twenty Thousand Euros (€20,000).
4. Addition of provisions granting the Registrar of Companies:
- The authority to strike off from the Registry a legal entity which failed to meet its UBO Register filing obligations;
- The authority to issue a Directive for the institutionalization of the administrative review procedure and/or the submission and examination of an objection against an imposed penalty.
- The authority to apply to the Court for the issuance of an injunction ordering the compliance of any person with the obligations arising from article 61A of the Prevention and Suppression of Money Laundering Activities Law 188(I)/2007 and the Directives issued thereunder.
EXTENSION AND WITHDRAWAL OF FINANCIAL CHARGES
On 16 December 2024, the Department of the Registrar of Companies and Intellectual Property announced that an additional extension of the deadline for the filing of the UBO Register is granted until the 31st of January 2025.
An extension has also been granted for the UBO Register data confirmation process until the 31st of March 2025.
Lastly and following all of the aforementioned arrangements, the Department of the Registrar of Companies and Intellectual Property has decided the withdrawal of all penalties imposed so far and the refund of any and all amounts already paid.
In case you have a pending refund of penalties already paid to the Registrar of Companies please contact us to assist with the process.
We remain at your disposal for any clarifications or assistance needed.