Date: 29.04.2024

by Adam Dworak

Last update: 08.05.2024 10:56

European Parliament Greenlights New AML Framework

In a significant move towards fortifying the financial integrity within the European Union, the European Parliament has officially passed a new anti-money laundering (AML) framework.

This development was met with approval by the European Gaming and Betting Association (EGBA), signaling a substantial advancement for online gambling operators across the continent.

EGBA Applauds the New AML Legislation

The Brussels-based European Gaming and Betting Association has expressed strong support for the newly approved EU anti-money laundering package. According to EGBA, this legislative overhaul is poised to unify and streamline the AML rules and reporting obligations across member states, thereby benefiting the online gambling sector.

“The European Gaming and Betting Association, representing Europe’s leading online gambling operators, welcomes the Parliament’s approval of the new AML package and believes the incoming rule changes will strengthen the EU’s approach to tackling money laundering,” the trade body stated.

Key Components of the AML Package

The AML framework introduces a series of robust regulations aimed at enhancing transparency and supervision. The package includes a single rulebook regulation, which mandates due diligence on customers, ensures transparency of beneficial owners, and regulates the use of crypto-assets.

It also integrates the 6th Anti-Money Laundering Directive, which details provisions on supervision by national AML authorities and access to necessary and reliable information for these bodies.

Establishment of the European Anti-Money Laundering Authority

A pivotal element of the new framework is the creation of the European Anti-Money Laundering Authority (AMLA). This body will hold supervisory and investigative powers to guarantee adherence to AML protocols, collaborating closely with national authorities.

“Another important feature, under the competence of AMLA, will be the creation of a harmonized reporting format for Suspicious Transaction Reports (STRs),” EGBA noted.

Benefits to Online Gambling Operators

The new reporting standards for STRs are expected to standardize the requirements across all EU member states, setting clear and consistent expectations. This uniformity will likely decrease the administrative burdens and associated costs for online gambling operators, as highlighted by EGBA.

Dr. Ekaterina Hartmann, Director of Legal and Regulatory Affairs at EGBA, remarked, “We welcome the European Parliament’s approval of the new anti-money laundering package. The new framework will set high standards and ensure greater consistency in the application of AML rules across the EU.”

EGBA’s Proactive Approach to Compliance

To assist its members with adherence to the EU’s AML regulations, EGBA has developed specific industry guidelines. These guidelines utilize a risk-based approach and cover a spectrum of practices including customer and business risk assessments, customer due diligence processes, suspicious transaction reporting, and record keeping.

“By signing up to the guidelines, operators can already prepare themselves for the incoming changes in the EU rules and join our members in their efforts to proactively and positively contribute to the EU’s fight against money laundering,” Hartmann added.