Beneficial Ownership Disclosure

European union Anti-money Laundering – Beneficial ownership of Corporate Entities Regulations 2016

The Anti-Money Laundering Regulations come into operation in Ireland November 2016 and under Irish Law companies must maintain a Beneficial Ownership Register.

Beneficial Owner

Article 3(6)(a) sets out how beneficial ownership should be determined to identify the persons ultimately controlling a legal entity. A beneficial owner is an individual or individuals with significant control over a corporate or legal entity.

Maintain a Beneficial Ownership Register

There is a requirement under Article 30(1) that applies to all corporate and legal entities in Ireland to maintain a Beneficial Ownership Register.

Information which must be included is referred to in Regulation 4(2) to (4).and includes:

  • Name, Date of birth, Nationality and Residential address
  • A statement of the nature and extent of the interest held by the beneficial owner – percentage of the shares in the Company.

The company is also required to record

  • The date on which each individual was entered into the register as the beneficial owner
  • The date on which each individual who ceased to be a beneficial owner

A company that fails to comply with this is committing an offence and is liable, to a summary conviction and fine.