Financial Crime World

Ireland Tightens Grip on Financial Crime with Regulatory Bodies in Place to Prevent Money Laundering

Ireland has established a robust regulatory framework to prevent money laundering and terrorist financing, demonstrating its commitment to curbing financial crime.

According to Irish law, it is illegal to process criminal proceeds or hide the true nature of property obtained from illicit activities. Anyone found guilty of money laundering can face a maximum penalty of 14 years in prison and an unlimited fine.

Designated Persons Must Take Measures

To prevent financial malfeasance, designated persons must take measures to guard against their business being used for illegal activities. These individuals include:

  • Auditors
  • Tax advisors
  • Lawyers
  • Trust or company service providers
  • Property service providers
  • Casinos
  • Credit institutions
  • Traders who receive cash payments exceeding €10,000

Responsibilities of Designated Persons

Designated persons are required by law to:

  • Carry out risk assessments
  • Apply customer due diligence
  • Report suspicious transactions to the authorities
  • Have procedures in place to prevent money laundering and terrorist financing
    • Identify customers or beneficial owners
    • Obtain proof of their identity when opening a bank account

Regulatory Bodies Take Charge

The following competent authorities are tasked with monitoring designated persons and ensuring compliance with the law:

  • Central Bank of Ireland
  • Designated accountancy bodies
  • Law Society of Ireland
  • Legal Services Regulatory Authority
  • Property Services Regulatory Authority

Customer Due Diligence Obligations

Customer due diligence obligations aim to make it more difficult for businesses to be used by criminals. This includes asking questions about:

  • The origin of funds
  • The nature of a business when opening an account or engaging in financial transactions

Ireland’s Commitment to FATF Recommendations

Ireland has implemented the Financial Action Task Force (FATF) recommendations, demonstrating its commitment to preventing money laundering and terrorist financing. The country has put in place a comprehensive regulatory framework that ensures transparency and accountability in the financial sector, making it a safer place for businesses and individuals alike.

By implementing these measures, Ireland has shown its dedication to combating financial crime and ensuring a secure financial environment for all stakeholders.