The EP's Committee on Economic and Monetary Affairs (ECON) has published its draft report on the proposal for a fourth money laundering Directive (MLD4). It suggests several amendments to the Commission's draft, and focuses in particular on:

  • measures to put in place registers of beneficial ownership to help businesses verify the owners of their customers;
  • enhancing the risk-based approach to prevention of money laundering and terrorism so resources focus on key areas; and
  • the need for a targeted and proportionate preventative approach.

The report annexes a letter from the data protection working party highlighting deficiencies in the proposal from a data protection point of view. It is concerned that MLD4 would offer fewer safeguards than the current law. (Source: ECON Reports on MLD4)