Financial Crime World

Title: Netherlands Takes Steps Forward to Combat Money Laundering and Financial Crimes: A Look at the Latest Reforms

Dutch Government Announces New Measures Against Money Laundering and Financial Crimes

The Dutch government has unveiled a new set of measures aimed at strengthening the country’s anti-money laundering (AML) framework and combatting financial crimes. These reforms, part of the Netherlands’ Recovery and Resilience Plan, were first presented in 2019 but have gained renewed attention following high-profile money laundering cases in European financial systems.

Expanded Capabilities for the Financial Intelligence Unit (FIU)

One significant change will see the expansion of the FIU’s capabilities. The organization, responsible for the prevention and detection of money laundering, fraud, and the financing of criminal activities, will add the equivalent of 20 full-time employees by January 2025. This increase is expected to enhance the unit’s capacity and improve its ability to monitor potential threats.

Cash Transaction Limit Set to Drop

Expected to take effect on January 1, 2025, a new law limits cash transactions to €3,000 ($3,400). Backers argue that this cash transaction limit will deter potential money launderers and make the Dutch financial system less attractive to criminals.

Key Areas of the Dutch Action Plan Against Money Laundering

The reforms are part of a more extensive Dutch AML action plan. The plan focuses on tackling money laundering from three main perspectives:

  1. Enhancing barriers to money laundering: Initiatives include investing in projects targeting criminal financial flows, restricting cash payments, and increasing regulatory scrutiny on crypto-assets trading.

  2. Strengthening the gatekeeper function and supervision: Enhancements consist of data sharing and collaborative processing between financial institutions and the establishment of a Serious Crime Taskforce.

  3. Intensifying investigation and prosecution: Further steps include the creation of the bank account data reference portal and increased capacity for the Tax Intelligence and Investigation Service, the FIU, and the Public Prosecutor’s Office.

For more information on the legislation and the progress of these AML reforms, visit the following links: