Practical Changes Related to Statements on Beneficial Owners (UBO)

Romania’s new anti-money-laundering legislation (Money Laundering Act No. 129/2019) has suffered several changes. Discover the background here:

[https://stalfort.ro/wp-content/uploads/2020/04/20200401_NEWSFLASH_Extension_deadline_UBO_statement.pdf;
https://stalfort.ro/wp-content/uploads/2020/03/20200306_-Newsflash-Deadline-for-submission-of-statements-regarding-the-beneficial-owner.pdf;
https://stalfort.ro/wp-content/uploads/2019/10/20191029_LEX_CC-_-Most-recent-Anti-money-laundering-and-terrorism-financing-provisions-in-Romania-and-their-impact-on-companies.pdf]

Two practical facilities and clarifications entered on July 9, 2020 into effect based on Law no. 108/2020.

Firstly, two useful exceptions from submitting the statement on the ultimate beneficial owner (UBO) were adopted, namely for:

• Public enterprises (Ro. regii autonome) and companies fully or majority-owned by the state
• Companies held exclusively by individuals provided that these private parties are the only UBOs. In this case, the Romanian UBO-register will be completed ex officio by the Commercial Register

Secondly, the obligation to submit such a declaration annually within 15 days of the approval of the annual financial statements was finally eliminated.

Hence, the following deadlines apply for companies:

• November 1st, 2020 for the first declaration after the entry into effect of the obligation;
• 15 days after any change to the first declaration has occurred.

Different rules apply to associations and foundations; a first submission is required by August 15th, 2020, but changes are already being prepared.

For details, please check:
https://stalfort.ro/wp-content/uploads/2020/07/20200716_NEWSFLASH_Practical_changes_related_to_statements_on_beneficial_owners-UBO.pdf

On July 15, 2020 urgent changes were introduced by the Government through an Emergency Ordinance no. 111/2020 in order to implement the 5th anti-money laundering Directive (Directive (EU) 2018/843) especially in what concerns the financial system and cryptocurrency. An update will follow.