Here is the rewritten article in Markdown format:
Terrorism Financing Laws in Albania Get Major Overhaul
Albania has taken a significant step forward in its fight against terrorism financing and money laundering with the adoption of new laws aimed at strengthening the country’s anti-money laundering (AML) regime. The Albanian Parliament passed Law no. 120/2021 on December 2, which makes several key changes to the existing AML law.
Key Changes
- Revised definition of “politically exposed persons” (PEPs)
- New rules for identifying beneficial owners
- Enhanced customer due diligence measures for transactions involving high-risk countries
Revised Definition of PEPs
Under the new law, middle-ranking management officials are no longer considered PEPs unless they have made a declaration on assets under existing legislation. The amendments also introduce a three-year period during which former government officials will be considered as such.
Definition of Beneficial Owner
The definition of beneficial owner has been linked to the country’s Register of Beneficial Owners, while new services such as lawyers, notaries, and professionals providing fiscal advice are now considered obliged entities under the AML law.
Obliged Entities
Obliged entities are also allowed to establish business relationships without the physical presence of clients if a low risk level is assessed. In cases where high-risk countries are involved, enhanced due diligence measures will be required.
Penalties for Non-Compliance
The amendments introduce new penalties for serious contraventions of the AML law, with maximum fines reaching up to 125 million Albanian leks (approximately $900,000) or twice the amount gained from committing the breach. Banks, non-banking financial institutions, and exchange bureaus face additional penalties of up to 10 percent of their annual turnover.
Conclusion
The move is seen as a significant step forward in Albania’s efforts to combat terrorism financing and money laundering, and experts say it will help strengthen the country’s AML regime and improve its international reputation.