Morocco Adopts Decree to Enhance Beneficial Ownership Transparency in Fight Against Money Laundering
Strengthening Anti-Money Laundering and Counter-Terrorism Financing Regime
Morocco’s Government Council has adopted Decree n°2.21.708, relating to the public register of companies created in Morocco’s beneficial owners, and legal provisions. This decree was approved on September 6th, 2021, and is in line with Morocco’s commitments to combat money laundering.
Establishment of Public Register
The law n°43.05 on the fight against money laundering, as amended by Law n°12.18, requires the establishment of a public register of companies created in Morocco that disclose their beneficial owners. The Finance Department will maintain this register.
Procedures and Data Requirements
The newly adopted decree outlines the procedures for maintaining this register and specifies the data it must contain, including:
- Commitments made by declared persons
- Conditions for accessing centralized information
Alignment with Financial Action Task Force Recommendations
The adoption of this decree is part of Morocco’s efforts to align its national anti-money laundering and counter-terrorism financing system with the recommendations of the Financial Action Task Force. This move aims to increase transparency and accountability in the country’s corporate sector, thereby reducing the risks associated with money laundering and terrorist financing.
Implications for Businesses
The decree is a significant step forward in Morocco’s fight against financial crime, and it is expected to have far-reaching implications for businesses operating in the country. Companies will be required to comply with the new regulations by disclosing their beneficial ownership information to the Finance Department. Failure to do so may result in severe penalties and reputational damage.
Recommendations
It is recommended that companies consult with legal and financial experts to ensure compliance with the decree and avoid any potential risks or consequences.