Response to consultation on proposed RTS in the context of the EBA’s response to the European Commission’s Call for advice on new AMLA mandates
Question 1: Do you agree with the proposals as set out in Section 1 of the draft RTS? If you do not agree, please explain your rationale and provide evidence of the impact this section would have, including the cost of compliance, if adopted as such?
With regard to those cases in which it is not possible to identify the Beneficial Owner based on the criteria of ownership or control, Article 12 of the RTS provides for the identification of “senior managing officers” (SMOs). This provision aligns with Article 22, paragraph 2, of Regulation (EU) 2024/1624, which establishes, in similar circumstances, the obligation to identify and verify all individuals holding senior management positions within the legal entity. In consideration of the potential operational implications arising from an extensive interpretation of this provision, we require more precision in outlining the subjects to be identified in the absence of a Beneficial Owner. At this regard, we suggest to consider solely the subjects who effectively hold managerial and decision-making powers, to be identified in: (i) the board members with executive delegation powers, (ii) the general manager, if any, and (iii) the President, if he has executive delegation powers.