Artlex Consult

Since January 1, 2021, the Czech Republic has implemented the provisions of the 5th Anti-Money Laundering Directive (AMLD5) into national legislation. Act No. 253/2008 Coll., on Certain Measures Against the Legalization of Proceeds of Crime (commonly referred to as the AML Act), governs the obligations of obliged entities with respect to customer identification and the prevention of money laundering.  At the heart of this framework is a risk-based approach to customer, which includes three escalating levels:  SDD – Zjednodušená kontrola (Simplified Due Diligence); CDD – Standardní kontrola (Standard Due Diligence); EDD – Zesílená kontrola (Enhanced Due Diligence). The correct application of each level is essential not only for regulatory compliance, but also to protect businesses from reputational, financial, and supervisory risks.  1. Simplified Due Diligence (SDD) According to §13 of the AML Act, simplified due diligence (SDD) may only be applied when:  The risk of...

  Mgr. Hovsep Kocharyan, Ph.D. Mgr. Lusine Vardanyan, Ph.D. 1. Introduction Currently, in the context of a dynamically developing regulatory framework, compliance with all applicable AML/CFT standards, guidelines and requirements is a strategic necessity. In accordance with the Czech Anti-Money Laundering Act No. 253/2008 Coll. (referred to as the “Czech AML Act”), every obliged entity must implement comprehensive, detailed, proportionate and effective AML/CFT (anti-money laundering and terrorist financing) policies, procedures, measures, and controls.  The Czech AML landscape is changing fast. MiCA, DORA, AMLA Regulations  — all raise the stakes for fintech and crypto firms. This article explores why, in light of evolving EU regulations, it is now more critical than ever for obliged entities, including primarily for CASPs, Payment Service Providers (PSPs), Banks, Investment Firms, and Electronic Money Institutions (EMIs) to have a dedicated and experienced AML/CFT C...