Council adopts MLD4: The Council has adopted the fourth Money Laundering Directive (MLD4) and amended the Wire Transfer Regulation. The European Parliament (EP) must now adopt the package in a plenary session. After that, the legislation will appear in the OJEU, with the date by which Member States must implement MLD4 (which will be two years after it takes effect) and the Wire Transfer Regulation will take effect. The key changes the package brings are to:

  • strengthen the importance of the risk-based approach and to improve its co-ordination internationally;
  • introduce national central registries of beneficial ownership, which may be public;
  • increase the scope so the requirements cover more cash payments and impose diligence obligations on gambling transactions;
  • require additional information on the payee when making funds transfers; and
  • introduce minimum sanctions for breach of the rules.

(Source: Council Adopts MLD4)

Council adopts ELTIF Regulation: The Council has adopted the Regulation on European Long Term Investment Funds (ELTIFs). The Regulation will allow alternative investment funds (AIFs) marketed by authorised Alternative Investment Fund Managers (AIFMs) to market themselves as ELTIFs if they meet certain conditions, including investing at least 70% of their capital in specific categories of eligible assets. These categories will in principle be those that require a long-term commitment and the ELTIF would not generally offer any redemption rights. AIFMs will be able to market ELTIFs to both professional and, under additional protections, retail investors. Again, EP must now adopt the Regulation before it will appear in the OJEU and take effect. (Source: Council Adopts ELTIF Regulation)

Council adopts Interchange Fees Regulation: The Council has adopted the Regulation capping interchange fees for payments by debit or credit card (the Interchange Fees Regulation). Set maximum levels of fee will apply from six months after the Regulation enters into force. Again, EP must now adopt the Regulation before it will appear in the OJEU and take effect. (Source: Council Adopts Interchange Fees Regulation)

Council agrees US reinsurance negotiations: The Council has agreed a mandate to negotiate with the US on reinsurance. It hopes mutual recognition will facilitate business. (Source: Council Agrees US Reinsurance Negotiations)