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Poland Tightens Grip on Financial Crime: Auditing Procedures Come Under Scrutiny
Warsaw, September 6, 2023 - Poland has strengthened its auditing procedures for money laundering and terrorist financing as part of its efforts to combat financial crime. The move aims to ensure that obligated institutions, including banks, credit unions, and other financial entities, adhere to strict regulations and guidelines.
AML Act: Strengthening Auditing Procedures
Under the Act on Prevention of Money Laundering and Terrorist Financing (AML Act), obligated institutions are required to conduct regular risk assessments and implement internal procedures for anti-money laundering and counter-terrorist financing. The AML Act also mandates customer verification and identification processes, as well as continuous monitoring of business relationships.
Key Requirements
As part of the new regulations, obligated institutions must:
- Conduct risk assessments at least every two years, identifying potential threats related to money laundering and terrorist financing
- Implement internal procedures for anti-money laundering and counter-terrorist financing, tailored to the institution’s specific activities and risks
- Verify customer identities before establishing business relationships, including determining beneficial ownership and assessing business relationships
- Continuously monitor business relationships and report suspicious transactions to relevant authorities
Consequences of Non-Compliance
Failure to comply with these regulations can result in administrative penalties, including fines and revocation of concessions or permits. In some cases, individuals may also face criminal sanctions.
Business Advisory
Entrepreneurs in Poland are advised to review their business activities and determine whether they fall under the category of obligated institutions. Those who do must adjust their operations to comply with the new regulations and guidelines.
“We urge all obligated institutions to take these strengthened auditing procedures seriously,” said Jakub Mazur, trainee at Grant Thornton legal advisory. “By doing so, we can ensure that our financial system remains secure and resilient against financial crime.”