Czech Republic amends Anti Money Laundering Act
Amendments are on the way for the Czech Anti Money Laundering Act - and professions are in the front line ahead of entry to the EU.
The lower house of the parliament of the Czech Republic has passed amendments to its Anti Money Laundering Act ahead of entry to the EU and broadly in line with the Second Directive. The amendments will now be debated by the upper house with a view to having the new law in force by the beginning of 2004.
The new law will require a range of professions to make suspicious transaction reports. Lawyers, auditors, accountants, real estate agents and notaries are to be subject to requirements similar to those already applicable to banks and insurance companies. However, there is expected to be some resistance from, in particular, lawyers and auditors.
In the case of lawyers, there remains considerable concern over the question of confidentiality and privilege. In the case of auditors, there is concern as to the extent of investigation into third party transactions. This concern may mask a deeper issue - that of examining each transaction to identify whether they are tainted by over- or under-payments which may mask money laundering or corrupt payments.
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