Annual Report 2019
66
CENTRAL BANK OF ARMENIA
Legislative arrangements
One of the key elements of an effective AML/CFT
framework is the legislation that best reflects international
standards and restricts the AML/CFT risks.
In the period under review, the AML/CFT regulatory framework
continued improving. In particular, a procedure on reporting.
transaction or suspicious transaction and business relations subject to
mandatory notification by banks was drafted, which is determined by
the introduction of an online reporting system. At the same time, in
order to comply with the FATF recommendations, legislative changes
were drafted to expand the circle of people with political influence by
including high-ranking officials of domestic and international
organizations. Moreover, additional regulatory arrangements in
connection with requirement to identify real beneficiaries were
envisaged.
The Board of the Central Bank has adopted a decision, which
provides for stipulation of relying on payment cards issued by
Armenian commercial banks when conducting a proper customer
examination using payment cards. Such arrangement will increase the
effectiveness in enforcing the provisions on acquisition, storage and
disclosure of customer identification information.
A working group set up under the RA Prime Minister's decree of
March 1, 2019 is to implement the concept "Seizure of the criminally
obtained property, without indictment", which was approved by the
the Interagency Commission on Anti-Money Laundering, Combating
Terrorism Financing and Distribution of Weapons of Mass Destruction
back on November 30, 2018. The Central Bank, as a member of the
working group, has been actively involved in studying both.
international experience and drafting the law. Activities, in particular,
included studying legal acts and court decisions of the countries that
have introduced the institute of judgments of the European Court of
Human Rights, reviewing the procedures for obtaining banking secret,
the model for implementing the institute, and presenting list of crimes.
ANNUAL REPORT 2019View entire presentation