Here is the rewritten article in Markdown format:
Money Laundering in Dominican Republic: What You Need to Know
The Dominican Republic has taken significant steps to combat money laundering and terrorist financing with the promulgation of its new Anti-Money Laundering and Terrorist Financing Act 155-17, also known as the New Law. The act aims to bring the country’s legal framework in line with international standards and regulations.
Key Provisions
The New Law introduces several key provisions aimed at preventing and detecting money laundering activities:
- Definition of shell banks, correspondent banks, beneficial owners, and objective circumstances
- Broadening of the scope of infractions that constitute money laundering to include a wide range of offenses, such as:
- Child pornography
- Traffic of influences
- Financial crimes
International Cooperation and Compliance
The act also introduces new regulations for international cooperation in preventing money laundering and terrorist financing, as well as increased standards of compliance for:
- Government agencies
- Private corporations
- Their employees
Regulated parties are required to adopt a risk-based approach to anti-money laundering and financial terrorism supervision.
Requirements for Regulated Parties
The New Law requires regulated parties to:
- Develop and execute a compliance program focused on a risk-based approach, which includes:
- Policies and procedures for evaluating money laundering and terrorist financing risks
- Managing and mitigating those risks
- Reporting unusual transactions
- Comply with provisions if they engage in certain activities on behalf of clients, such as:
- Purchasing or selling real estate
- Managing bank accounts
- Incorporating companies
Cash Transaction Limits
The New Law sets limits on payments in cash for certain transactions, including:
- Transfer or acquisition of real estate or motor vehicles
It also increases the cash transaction threshold that triggers a registration and reporting obligation to anti-money laundering authorities from $10,000 to $15,000.
Conclusion
Overall, the New Law aims to enhance the Dominican Republic’s efforts to combat money laundering and terrorist financing. Regulated parties will need to evaluate and enhance their compliance efforts against these activities.