Update status implementation of UBO-register

In October, 2019, we wrote an alert about the legislative proposal introducing the UBO-register in connection with the Dutch implementation of the 4th Anti-Money Laundering Directive, as amended by the 5th Anti-Money Laundering Directive (the “Directive”). In this alert we would like to provide you with an update on the status of the implementation of the UBO-register.

On December 10, 2019, the legislative proposal, with certain amendments, was passed by the House of Representatives (Tweede Kamer). The Dutch parliament issued a press release stating that the deadline for the implementation of the UBO register of January 10, 2020 will not be met. It is now up to the Senate (Eerste Kamer) to approve the legislative proposal and to implement the UBO-register, which is expected to happen in the spring of 2020.

Amendments legislative proposal

In the October alert you can read that two measures were introduced by the Minister of Finance to improve the privacy of the (pseudo) UBO’s, i.e. (i) that the identity of the persons who access the register will be registered and (ii) that the number of consultations of the UBO-information will be visible to the respective UBO (except for access by the competent authorities and financial institutions).

In addition to the above two measures, the following motion and amendment (amongst others) have been accepted; (i) after one and four years upon the implementation of the UBO-register, an evaluation of the impact on the privacy of those involved shall be conducted and (ii) churches and spiritual organizations will not be exempted from the registration obligation.

Future update once the register is implemented

Once the Senate has approved the legislative proposal and the UBO-register has been implemented, we will inform you thereof accordingly. After the implementation of the UBO-register, existing Dutch entities have 18 months to comply with the new legislation.

Should you in the meantime have any questions with regard to the impact of the new UBO-legislation for your organization, please do not hesitate to contact us.

Eva Klein Obink

Anna Zhu