Financial Crime World

Irish Authorities Introduce New Obligations for Trusts and Beneficial Owners

DUBLIN, IRELAND - In a bid to combat money laundering and terrorist financing, the Irish authorities have introduced new obligations for trusts and beneficial owners. The amendments aim to increase transparency and ensure that beneficial ownership information is accurate and up-to-date.

Beneficial Owner Obligations

  • Under the new regulations, beneficial owners of relevant trusts are required to notify their details to the trustee in writing within two months if their details are not already included on the Trust Register.
  • Any changes to beneficial owner status must be notified to the trustee within 14 days.

Designated Person Obligations

  • Designated persons, including members of An Garda Síochána, the Revenue Commissioners, and other competent authorities, have a duty to notify the Trust Registrar of any discrepancies between the Trust Register and the Central Trust Register.
  • Access to the Central Trust Register is restricted, but high-ranking officers from certain authorities may access the register for specific purposes.

Obligations for Garda Síochána, Revenue, CAB, or Competent Authority

  • These authorities may disclose information to corresponding competent authorities in other Member States. However, they are prohibited from alerting beneficial owners that their information has been accessed.

Access to Central Trust Register

  • The Central Trust Register is not open to the public for inspection.
  • High-ranking officers from specified authorities and persons with a legitimate interest may access restricted information on the register.
  • Access to full information requires a submission to the Trust Registrar, demonstrating a legitimate interest in inspecting the register.

EU (Anti-Money Laundering Directive) Regulations 2020

The European Union (Modifications Of Statutory Instrument No. 110 Of 2019) (Registration Of Beneficial Ownership Of Certain Financial Vehicles) Regulations 2020 introduced new obligations for:

  • Investment Limited Partnerships
  • Common Contractual Funds
  • Other financial vehicles

Trustees and Beneficial Owners

  • Trustees of trusts in scope have a new compliance deadline of October 23, 2021.
  • They must maintain an internal register of beneficial owners and report this information to the Central Bank of Ireland within 14 days of any changes.
  • Failure to comply with these obligations may result in punitive sanctions.

Experts Weigh In

While some experts believe that these measures will help reduce the use of corporates, trusts, and fund vehicles in fraudulent crime and money laundering, others remain skeptical about their effectiveness.

If you have concerns about beneficial ownership or company secretarial queries, please contact:

  • Salvador Nash: [insert contact information]
  • Andrea Sherlock: [insert contact information]