The risks for financial intermediaries and advisers in Germany

Abstract

Outlines new legislation against money laundering: 2002 was a very active year which saw the Law on Combating International Terrorism, the Fourth Act on the Advancement of the Financial Market, and the Law on Combating Money Laundering and International Terrorism. Shows how these add new duties to existing obligations to identify customers, store the details and notify the authorities of possible money laundering, and they also widen the group of professions subject to these obligations. Discusses the duties of professionals dealing with assets: identification duties, recording duties, reporting duties, and structural duties. Describes criminal liability in cases of non‐compliance with reporting duties or being in breach of private secrets; administrative liability; and liability of obliged persons by civil law. Concludes that in fact the new liability is generally limited to grossly negligent and intentional behaviour.

Citation

Blöcker, K. (2005), "The risks for financial intermediaries and advisers in Germany", Journal of Money Laundering Control, Vol. 8 No. 3, pp. 220-226. https://doi.org/10.1108/13685200510620975