The Crime Of Money Laundering And Terrorist Financing Prevention Act

Original Language Title: Noziedzīgi iegūtu līdzekļu legalizācijas un terorisma finansēšanas novēršanas likums

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The Saeima has adopted and the President promulgated the following laws: the Crime of money laundering and terrorist financing Prevention Act Chapter I General provisions article 1. The terms used in the law, the law is applied in the following terms: 1) features — financial or other tangible or intangible, movable or immovable property;
2) financial resources — people holding financial instruments or means of payment (cash or non-cash form), documents (on paper or in electronic form), which is a personal property of, or possession of, and which give a right to benefit from them, as well as to ownership or possession of the precious metals;
3) business relationship — the subject of the law and the customer relationships that result when the subject of the law through economic or professional activity, and that it is at the moment of establishing long-term goal;
4) client — the legal or natural person or Association of persons to which the Act the subject of a service or sell;
5) the real beneficiary — natural person: (a)) or which directly or indirectly controls at least 25 per cent of the operator's share capital or the total number of voting shares or otherwise controlled by the operator's activities, (b)) which is, directly or indirectly, the right to property or which directly or indirectly controls at least 25 per cent of the legal arrangement, not a merchant. The true beneficiaries of the Foundation must be considered as an individual or group, which has created a good foundation. The true beneficiaries of the political party, the Association and the cooperative society in question to be regarded as a political party, association or cooperative society, c) where the right or interest is established business relationship, (d)) whose right or interest is carried out in a separate deal, does not establish the business relationship within the meaning of this Act;
6) a credit institution, the Republic of Latvia, in another Member State or in a third country bank, electronic money institution or a Member State, third country or the electronic money institution's branch or representative office;
7) financial institution, recorded in the commercial merchant, branch or agency or other Member State or third country where the merchant is registered in the register, other than a credit institution and which is founded to provide one or more financial services within the meaning of the credit institutions act. For a financial institution considered: a) insurance merchant who carried out life insurance and private pension fund, b) an insurance intermediary, providing life insurance services c) investment brokerage company, d) investment management company, e) Corporation, which deals with foreign currency cash buying and selling, f) else money transfer and remittance service providers, who have the right to provide such services;
8) legal entity: legal person or Association of persons which has an independent legal capacity;
9) outsourcing the accounting officer — a person who, on the basis of a written contract with a client, except in the employment contract, or provide the client shall undertake to provide the accounting services;
10) legal arrangement of formation and activity of the service provider, the legal or natural person who has a business relationship with the client and which provides the following services: (a) help establish legal institutions), (b) the merchant or other) carry out a legal arrangement, the Secretary of the Director or member of a partnership, as well as carrying out other duties or similar to ensure that it meets another person, (c)) provides the legal thing with legal address mailing address, the business address of the venue, as well as other similar services, (d)) shall perform the duties of a trustee under direct authority or similar legal document or ensure that these duties to another person, the representative of the company e) shareholders or members whose financial instruments are not included in the regulated market, subject to the disclosure requirements in accordance with European Union law or equivalent international standards or ensure that this activity is carried out by another person;
11) Member State: a Member State of the European Union or the European economic area;
12) third country — a country that is not a Member State;
13) monitoring and control institution, national institution or professional body, which made the law enforcement monitoring and control measures;
14) transactions for signs of unusual list: Cabinet approved a list that contained business signs may indicate a possible criminal money laundering, financing of terrorism or such attempts;
15) shell bank-credit institution with financial management, staff or of the place of supply of services is not in the country where it is registered and which does not have its central authorities. The shell bank is also considered to be the person providing credit services like services, making cashless transfers on behalf of a third party, and that is not the Central and controlling the activities of the institution, except when such transfers shall be made by electronic money institutions if they are made between one group of companies, which is a financial conglomerate within the meaning of the Act, or between commercial companies, which have the same real beneficiary;
16) unusual transaction — a transaction that meets at least one of the unusual characteristics of the transaction list characteristics;
17 suspicious transaction — transaction), which leads to the suspicion of criminal money laundering or the financing of terrorism, or such attempts, or other related criminal offence.
2. article. The purpose of the law this law aims to prevent criminal money laundering and the financing of terrorism.
3. article. Subjects of the law (1) this law subjects are persons who carry out economic or professional activity: 1) credit institutions;
2) financial institutions;
3) tax consultants, Chartered Accountants, are outsourcing Auditors and sworn auditor commercial companies;
4) sworn notaries, sworn lawyers, other independent providers of legal services when they, acting on behalf of their clients and in good, provides assistance in the planning or execution of transactions, participating in or conducting other transactions related to the professional activities of his client's good for: a) the real property company's shares, the purchase or sale of b) client money, financial instruments and other management, c) all the way to the opening of accounts or the administration of credit institutions or financial institutions , d) legal structure, management or operation, as well as the legal arrangement for managing the start-up or management of the necessary investment;
5) legal arrangement of formation and activity of the service provider;
6) persons acting as agents or intermediaries in transactions with real estate;
7) lotteries and gambling of the Organizer;
8) persons providing collection services;
9) other legal or natural persons that deal with real estate, vehicles, cultural monuments, precious metal, precious stones, their products or other goods, as well as with mediation in these transactions or the provision of other services, if payment is made in cash in dollars or other currencies, after the Bank of Latvia the rate at the date of transaction is equivalent to Euro 15 000 or exceed this amount, regardless of whether the transaction is carried out as a single operation or in several related operations. If the transaction is carried out in a foreign currency, for which the Bank does not set the official exchange rate, the calculation shall use the specified by the Bank of Latvia in the current source of information on the first working day of the week the published exchange rate.
(2) subject to the Act ensure that its departments, branches, representative offices and subsidiaries in third countries, if they provide financial services, comply with the requirements of this law, equivalent to the requirements for customer identification, research and document storage, without prejudice to the national provisions and the common practice in this country.
(3) If a third country legislation prohibits this Act requirements equivalent to the requirements for customer identification, research and document storage, subject of the Act shall inform the supervisory and control body in the Republic of Latvia, and provide additional measures of crime money laundering and terrorist financing risks.
(4) in order to prevent criminal money laundering or financing of terrorism related activities, also in the first paragraph of this article, not the person, as well as public authorities, derived public persons and institutions are obliged to fulfil the requirements of this Act relating to reporting of unusual or suspicious transactions. In this part the people below are applied to the subjects of the law provided for redress mechanisms.
4. article. From criminal means (1) the funds are recognised as criminal for:

1) if the person in possession of the property or they directly or indirectly obtained through a criminal offence;
2) other criminal law cases.
(2) the term "criminal were obtained" understands the criminal law terms used in "criminal treasure, also obtained financial resources".
(3) in addition to the statutory criminal procedure criminal obtained the means to be considered as belonging to the person or which directly or indirectly controls the party: 1) which is included in any of the Cabinet's recognized national or international organizations and those made the list of people who are suspected of involvement in terrorist activities;
2) for which the operational bodies, pre-trial investigation authorities, Prosecutor's Office or court to have information that gives a sound basis for believing that person for a criminal offence related to terrorism, or participation therein.
(4) On the third part of this article, the persons referred to in Criminal money laundering prevention service (hereinafter referred to as the control service) inform law subjects and their supervisory and control bodies.
(5) funds shall be obtained for the criminal law.
5. article. Criminal money laundering and terrorism financing (1) Criminal money laundering is following when committed in order to hide or mask the criminal origin of the funds or help another person involving the criminal offence was committed, to avoid legal responsibility: 1) criminal conversion of other values, their location or change of affiliation;
2) criminal of the true nature, source, location, disposition, movement, concealment or disguise of the home;
3) from criminal acquisition property, possession or usage, if this law occurs it is known that these means are criminal were obtained;
participation in any of the 4) of the first subparagraph 1., 2., and 3. the actions referred to in paragraph 1.
(2) in Criminal money laundering must be regarded as such even where the offence provided for in the criminal code, the result of which is, directly or indirectly, for the following features, was committed outside the territory of the Republic of Latvia and the Commission of a criminal offence, the location of it is for criminal penalties.
(3) the financing of terrorism are activities that as determined in criminal law.
Chapter II internal control article 6. The obligation to establish a system of internal control (1) the subject of the law — legal persons — according to their type of activity create and document, developing appropriate policies and procedures, criminal money laundering and terrorist financing prevention of internal control system.
(2) the internal control system is a set of measures, which include the law enforcement-oriented activities, by providing the appropriate resources and training, in order to prevent the involvement of law subject to criminal money laundering or terrorism financing.
(3) create internal control systems, credit institutions, insurance undertakings and investment firms shall observe the law of credit institutions, the law on the financial instruments market, and by insurance companies under the supervision of the law issued on the basis thereof and legislation.
(4) the first, second and third part of this law is not applicable in 3 the first paragraph of article 9 of the law referred to in paragraph subjects regardless of the legal status of the subjects.
7. article. Internal control system (1) creating a system of internal control, subject to the law at least provide: 1) customer identification procedures;
2) procedure evaluates with the client, its residence (registration), the customer's business or personal activity, use of services and transactions linked to criminal money laundering and terrorism financing;
3) procedure and the extent to which, on the basis of the law of the Customer entity criminal money laundering and terrorism financing risk assessment and subject to this Act and other legislation in specific customer research, minimum requirements to client research;
4) procedure, the holder of the law based on the client's criminal money laundering and terrorism financing risk assessment, to the client's business;
5) unusual and suspicious transactions to the discovery order and the order in which the subject of the law refrain from suspicious transaction;
6) arrangements for control service is reported on unusual and suspicious transactions;
7) order in which are stored in the client's identification and research, as well as the client's transactions monitoring data and documents;
8) employee rights, duties and responsibilities, the performance of the requirements of this law.
(2) credit institutions and financial institutions, other than a corporation, dealing with the foreign currency cash buying and selling, financial and capital market Commission defines the crime of money laundering and terrorist financing risk assessment methodology.
(3) credit and financial institutions, other than a corporation, dealing with the foreign currency cash buying and selling, in addition to the first paragraph of this article provides that the crime of money laundering and terrorist financing prevention responsible employee is obliged to inform the Board periodically on money laundering and terrorist financing prevention of internal control system in the respective credit institution or financial institution.
8. article. Internal control system improvement Act, a subject regularly assesses the internal control system, subject to additional risks that may arise in the implementation of new technologies and development of, and, if necessary, take measures for the internal control system efficiency.
9. article. Training employees subject to the Act ensure that responsible staff familiar with the criminal money laundering and terrorist financing risks related to criminal money laundering and terrorist financing prevention control regulations, as well as conduct regular training to improve their skills in detecting unusual transactions and signs of suspicious transactions and to execute internal control system development.
10. article. Compliance with the requirements of the Act the responsible employee appointment (1) subject to the Act: a legal person — determined by the Department or appoint one or more employees who are empowered to make decisions and are directly responsible for the implementation of this law. The establishment of such units or the appointment of an employee subject to this law within 30 days after the statutory entity status shall notify the control service, as well as the relevant supervisory and control body.
(2) credit and financial institutions, other than a corporation, dealing with the foreign currency cash buying and selling, in addition to the first paragraph of this article shall be appointed by the Management Board, who is responsible for the crime of money laundering and terrorist financing prevention in the credit institution or financial institution.
(3) subject to the law, a legal person, its monitoring and control, the control service to the institution and its officials and employees have no right to data in your possession for the first part of this article, persons or entities listed in the employees shared with third parties.
(4) a Person who the credit institution or insurance merchant, which carries out life insurance, is responsible for implementation of this law, shall not be convicted of intentionally committing a criminal offence. 
Chapter III customer identification and research article 11. Obligation to identify clients (1) Before the start of the transaction, for the subject of the Act identifies the client.
(2) subject to the Act identifies the customer well before a single transaction without entering into business relationships within the meaning of this law if: 1) amount or more obviously related to the total amount of the transaction is the equivalent of 15 000 euros, or more than, at the Bank of Latvia the rate at the date of transaction;
2) transaction meets at least one of the unusual characteristics of the transaction characteristics contained in the list or suspected criminal money laundering, financing of terrorism or attempts;
3) there is doubt as to the original ID accuracy of the information obtained.
(3) if the transaction is not detectable at the time, or the amount of the transaction will be the equivalent of 15 000 euros, or more than, the customer is identifiable as soon as it became known, is the equivalent of 15 000 euros, or more than, at the rate of the Bank of Latvia on the day of transaction.

(4) if the criminal money-laundering and terrorism financing risk is low, and in accordance with the requirements of this Act, a client of an in-depth study need not be conducted, then, not to disrupt the normal flow of the transaction, the customer ID and the real beneficiaries of the clearance of the transaction can be performed at the time of the initiation of the relationship as soon as possible, but before the first transaction is made.
(5) If, in accordance with the requirements of this Act, a client does not need to do a more in-depth investigation, insurance merchant who carried out life insurance, and insurance broker that provides life insurance services, client identification, and find out the real beneficiaries can also take place after the business relationship or prior claims costs, as well as before the beneficiary intends to use the policy rights.
12. article. The identification of natural persons (1) natural persons identified by checking its identity after the client's identity document, which provides the following information: 1) on resident-name, surname, personal code;
2) for non-resident: first name, last name, date of birth, identity document number and date of issue, country, and institution that issued the documents.
(2) natural persons-non-residents, who arrived at the subject of the law of the Republic of Latvia, should only be used for identification for entry into the Republic of Latvia valid identity document.
(3) natural persons-non-residents, who do not even come to the subject of law, identification of country of residence, it can be used for national passport, other recognized national identity document or a document that gives the right to enter the country in which the person's identification.
(4) a sworn notaries physical identity of sorts out the notarial law.
13. article. The legal entity identification (1) identify the legal entity, requiring: 1) to produce documents showing the formation of the legal person or legal registration;
2) news on the customer's legal address;
3) to identify persons who are authorised to represent the legal person with the subjects of the law, and get a document or a copy of the document certifying their right to represent the legal person.
(2) subject to the law of legal persons may be identified with the first paragraph of this article from publicly available reliable and independent source.
(3) sworn notaries the legal identity of a notarial act clarified.
14. article. Personally identifiable documents making (1) credit institutions and financial institutions, launched the business relationship or the carrying out of this Act referred to in article 11, made copies of the documents on the basis of which made identification of the customer.
(2) if the customer — legal persons — personally identifiable information is collected by this law, article 13, second paragraph, in the form specified in credit institutions and financial institution shall document this law article 13, first paragraph, the specific information and news about the source of information.
15. article. Prohibition to keep anonymous accounts to the credit institution and the financial institution are prohibited to open and maintain anonymous (does not identify the customer) account.
16. article. The obligation to carry out a study of the law of the Customer entity at customer research in the following cases: 1) before the commencement of the relation of the transaction, including before the account opening and cash or other funds or held in custody;
2) where there is a suspicion of criminal money laundering or terrorist financing, regardless of this law, in article 26 and 27 exceptions laid down;
3) if there are doubts about previously obtained customer identification data or research credibility.
Article 17. Customer research (1) customer transactions for the research framework is based on the risk assessment of actions, within which the subject of the law: 1) find information on true beneficiaries;
2) obtains information about transactions for the purpose and expected nature;
3) after the transaction for the launch of their surveillance;
4) provides the client acquired in the course of the research document, data, and storage of information and regular updates.
(2) in determining the amount of the customer research and order, subject to the law takes account of the crime of money laundering and terrorist financing risks of the customer's residence (registration), the customer's legal form, the activity, the use of services and transactions undertaken.
(3) the obligations laid down in this Act in relation to the client's research also applies to legal entity, irrespective of whether the legal structure has legal personality.
18. article. The true beneficiaries of the clearance of accounts (1) the subject of the law clarified the true beneficiaries: 1) clients — legal persons carried out in-depth research;
2) all customers, if you know or suspect that the transaction is carried out in the interests of another person or task.
(2) subject to the Act clarified the true beneficiary, gaining about article 12 of this law the information referred to in the first subparagraph in any of the following ways: 1) obtaining the customer's signed statement of the true beneficiary;
2) based on the information or documents from the Republic of Latvia or foreign information systems;
3) found himself the true beneficiary, where news of the real beneficiaries could not get otherwise.
19. article. Get information about transactions for the purpose and expected nature of entering into business relations, the subject of the law, based on the crime of money laundering and terrorist financing risks, obtain and document the information about transactions for the purpose and expected nature, including what services the client intends to use, what is the origin of customer funds, what is the estimated number of transactions and amount, what is the client's economic or personal activities that the customer will use the services in question.
20. article. The deal for monitoring by the start of this relationship (1) after the transaction for the commencement of the Act, based on the crime of money laundering and terrorist financing risks: 1) updates the information about the client's business or personal activity;
2) permanent monitoring of transactions to verify that transactions are not regarded as unusual or suspicious.
(2) subject to the Act, business relations, paying particular attention to: 1) the customer is not typical for large, complex transactions or related transactions, which seemingly is not economic or obviously legitimate objective;
2) transactions involving persons from third countries in accordance with the opinion of the international community are to be regarded as countries or territories that do not have force of law in the fight against criminal money laundering and the financing of terrorism or who have refused to cooperate with the international organizations a criminal money-laundering and terrorist financing in the field of prevention.
21. article. Ban on interacting with the shell banks (1) subject to the law it is prohibited to perform any type of business with shell banks.
(2) the shell bank and activity in the Republic of Latvia is prohibited.
22. article. An in-depth exploration of the customer (1) an in-depth study of the client is based on the risk assessment of operations that are performed in addition to customer research, to: 1) find out the true beneficiary, make sure that the person who, in accordance with article 18 of this law indicated as true beneficiary, are the real beneficiaries of the client;
2) ensure customer transactions increased monitoring.
(2) subject to the act carried out an in-depth study of the client in the following cases: 1) entering into business relations with the customer, who is not personally participated in the identification procedure;
2) started a business relationship with an important political person;
3) entering the cross-border credit relations with respondents from third countries.
(3) for the purposes of This Act, a political party considered important natural person: 1) in another Member State or in a third country holds any of the following posts: head of State, members of Parliament, the head of the Government, the Minister, Deputy Minister or Deputy Minister, Deputy Secretary of State, Supreme Court judge, judge of the Constitutional Court, the Supreme Audit (audit) of the Council of the authority or a member of the Board, Council or a central bank Board Member, Ambassador, Chargé d'affaires , the highest officer of the armed forces, the National Council of the Corporation or the Board, as well as those persons when they left the post for one year;
2) which is set out in paragraph 1 of part a person's parents, spouse or equivalent person, his children, their spouses or persons assimilated to spouses. The person of the spouse be comparable only if national laws it makes such status;
3) which is known to the public that it has a business relationship with one of these parts 1. persons referred to in point, or jointly with that person owns share capital of the company, as well as the individual who is the sole owner of a legal arrangement, for which it is known that it actually created this part, the person referred to in paragraph 1.

(4) credit and financial institutions whose activities under this Act is supervised by the Financial and capital market Commission, the research also carried out in-depth financial and capital market Commission established customers.
(5) the financial and capital market Commission for credit institutions and financial institutions, whose activities are monitored in accordance with the regulations, determines the client's in-depth research of the minimum amount for different categories of customers and customer transactions increased supervisory arrangements, as well as credit and financial institutions and customer service transactions features which are found in credit institutions and financial institutions have the obligation to carry out an in-depth study of the client.
23. article. Failure of the customer's personal identification procedure (1) where, by initiating a business relationship, the customer is not identified by law, its employees or authorized person, the subject of the law doing some of the following measures: 1) obtained additional documents or information indicating that the customer's identity;
2) in addition to the examination of the documents submitted or registered in a Member State of another credit institution or financial institution confirmation that the customer has a business relationship with the credit institution or financial institution;
3) provides that the first payment transaction is carried out within the framework of relations with the account that credit institution, subject of this law, or European Union law requirements arising for criminal money-laundering and the financing of terrorism, opened for the customer's name;
4) requires the customer's personal presence in the first transaction.
(2) empowering the client to identify a person who is not subject to the law, the law of the entity is responsible for ensuring that the client to be identified in accordance with the requirements of the law.
24. article. The cross-border relationship of credit institutions (1) a credit institution, starting with the correspondent credit and investment brokerage company (respondents), established and operating in a third country, shall take the following measures: 1) collects information on respondents fully understand the respondent's business, as well as to the nature of the information available to the public in determining the respective credit institution or investment firm's reputation and the quality of supervision;
2) assess criminal money laundering and terrorist financing prevention measures carried out by the respondent, that the correspondent is launched;
3 the credit institution) receives its Board or Board specifically authorised with the consent of the members of the Executive Board before the establishment of the new correspondent;
4 document the liability of the respondents) in criminal money laundering and terrorist financing prevention;
5) make sure that respondents who used with direct access to related services to financial institutions, has verified the identity of the customers that have allowed direct access to the accounts of korespondentiestād, for these customers has made an in-depth study and, on request, submit a customer is able to survey data.
(2) a credit institution shall ensure that it does not engage with the correspondent credit institution or investment firm for which it is known that it maintains business relations with shell banks, or end the relationship.
25. article. Business relations with the politically significant person (1) entering into business relations with the customer, subject to the law, through risk assessment based activities, find out whether you or the real beneficiary is politically significant person.
(2) subject to the law of the internal control system, based on risk assessment, provides the ability to detect that the client, when entering into business relations, not politically significant person, for such a relationship after the deal gets started.
(3) if the customer or its actual beneficiary is politically significant person, the subject of the Act shall take the following measures: 1) receives the Board or Board specifically authorized the members of the Board consent before the transaction for the launch. The conditions referred to in this paragraph shall apply to the subjects of the law: a legal person;
2) and document the steps to determine the client's money or other transactions, the origin of the funds used.
(4) subject to the law, maintaining business relations with major political parties, constantly monitors the performance of the client business.
26. article. Customer research exceptions (1) subject to this Act, is entitled not to perform client research in cases where the client is: 1) in the Republic of Latvia or is registered in a Member State by a credit institution or financial institution other than a corporation, dealing with the foreign currency cash purchases and sales, and money transfer and remittance service providers;
2) a credit institution or financial institution (other than a corporation, dealing with a cash purchase or sale, and money transfer and remittance service providers), established in the third country where the applicable laws and regulations of criminal money laundering and terrorist financing prevention provides for requirements that are equivalent to European Union legislation;
3) in the Republic of Latvia, the derived public person, the authority of the Republic of Latvia or in the immediate authority, or State or local government controlled corporation, low crime, money laundering and terrorism financing;
4) merchant, whose shares are admitted to trading on a regulated market in one or more Member States or a regulated market in a third country, if the economic operator is subject to the disclosure requirements that are equivalent to European Union legislation;
5) a person who acts on behalf of the notaries or other independent legal service providers from a Member State or third country where the laws and regulations of criminal money laundering and terrorist financing prevention provides for requirements that are equivalent to European Union legal requirements if this person oversees the requirements and if the details of this person is available at the request of the subject of the law that are initiated business relations;
6) another person, low crime, money laundering and terrorism financing.
(2) the first subparagraph of paragraph 3 and 6 customer shall be deemed, where low crime money laundering and terrorist financing risks, if the customer satisfies all of the following criteria: 1) the customer shall fulfil the tasks of the public administration in conformity with European Union legislation;
2 the customer personally identifiable information) is publicly available, transparent and secure;
3) client activity as well as the accounting methods are transparent;
4) exist within the European Union or of a Member State of the customer's activities in controlling the examination procedure.
(3) the other in the second paragraph of this article, those cases, customer shall be deemed, where low crime money laundering and terrorist financing risks, if the customer satisfies all of the following criteria: 1) the customer is subject to this law;
2 the customer personally identifiable information) is publicly available, transparent and secure;
3) a person who provides financial services, has received a license (permission) financial services;
4) person is subject to the supervision of the competent authorities of the country in relation to its activities in compliance with laws and regulations.
(4) the Cabinet of Ministers approved a list of third countries whose legislation of the crime of money laundering and terrorist financing prevention is equivalent to European Union law.
(5) the decision not to take the client's trial, the subject of the law obtained and documented information indicating that the customer meet the exception referred to in the first subparagraph.
(6) in the first subparagraph in cases referred to in the law subject is entitled not to comply with this law, the first paragraph of article 14.
27. article. Specific customer research exceptions (1) insurance business operators carrying out life insurance, and the insurance intermediary is entitled not to perform client surveys in respect of life insurance policies where the annual premium is no more than the amount specified by the Bank of Latvia exchange rate on the date of transaction is equivalent to 1000 euros, or if the single premium is no more than 2500 euro.
(2) private pension funds are entitled not to take client survey regarding contributions to pension plans, if this contribution, the client cannot be used as collateral, and for contributions to pension plans, formed as part of the wage.
(3) electronic money institutions shall be entitled not to take client survey in the following cases: 1 electronic device) the maximum accumulated amount is not greater than the amount that is equivalent to 150 euros, and it is not possible to repeatedly;
2) if electronic money device it is possible to repeatedly add to, in one calendar year in a settlement with the electronic money device does not exceed an amount which is equivalent to 2500 euros.
(4) law subject is entitled not to perform client research, providing services that meet all of the following characteristics: 1) the deal is based on a written contract;

2) transaction is made using a bank account opened in a Member State or in a third country credit institution to which criminal money laundering and terrorist financing prevention is defined in European Union law equivalent requirements;
3) transaction does not match the unusual characteristics of the transaction characteristics contained in the list;
4) the transaction does not give rise to suspicions, or no information available to suggest criminal money laundering, financing of terrorism or attempts;
5) the total amount of the transaction is less than 15 000 euros after the Bank of Latvia exchange rate on the date of transaction;
6) income from the transaction, it is not possible to use third parties, other than death, disability, maintains the naming obligation or other similar event, membership;
7) if the transaction is not possible at the time of the conversion of funds into financial instruments or in insurance or other types of claims, or if the means of conversion is possible, subject to the following conditions: (a) the income from the transaction are) achievable only in the long term — not earlier than after five years (b)) the subject of the transaction cannot be used as collateral, c) transaction is in force are not made early payments, not possible assignment of the claim and the early termination of the transaction.
28. article. The customer required information acquisition and customer responsibility (1) to comply with the requirements of this law, the law on the subject has the right to request from their clients and customers are obliged to provide the client the actual required information and documents, including about true beneficiaries, customer transactions, the client and the real economic beneficiaries, personal financial standing, sources of money and other funds.
(2) if the law is not subject to this law, obtained 11. and article 17 requirements necessary for the performance of the true information and documents to enable it to carry out, in essence, the law entity shall terminate business relations with the customer and require pre-term fulfilment of the client. In such cases, subject to the law, shall decide on the termination of the deal also with other customers that have the same true beneficiaries, or of such customer pre-term fulfilment of the request.
(3) the second paragraph of this article, the requirements do not apply to tax consultants, outsourcing of accountants, sworn auditors, sworn auditor commercial companies, sworn notaries, sworn to lawyers and other independent legal service providers where they defend or represent clients in criminal proceedings or pre-trial proceedings or provide advice on the commencement of the trial or avoiding it.
29. article. Customer identification and recognition of the results of research and adoption (1) subject to the law has the right to recognize and accept the customer's identification and survey results, which the Member States and third countries that criminal money laundering and terrorist financing prevention raises the requirements which are equivalent to the requirements of this law, taken by credit and financial institutions, which is not a corporation, dealing with the foreign currency cash buying and selling as well as money transfer and remittance service providers.
(2) subject to the law has the right to recognize and accept this article referred to in the first subparagraph, credit institutions and financial institutions make to the customer identification and survey results, even if the volume of information and supporting documents differ from the requirements of this law.
(3) subject to the Act is responsible for the compliance with the requirements of this law, even if the customer identification and research conducted using the first paragraph of this article credit institutions and financial institutions customer identification carried out and the results of research.
(4) in the first subparagraph of that credit and financial institutions shall immediately, as soon as the subject of the law, which turned the request the client shall transfer to the holder of the Act client identification and investigation information and copies of documents, if after receipt of the request is received, the client's acceptance of the information referred to in this article and subject to the law for the service of the document.
(5) subject to the law's reliance on others to make the identification of the client and does not remove the responsibility of the research independently monitor the customer's business.
Chapter IV reporting of unusual and suspicious transactions article 30. Reporting obligations (1) subject to this Act, shall be obliged: 1) immediately notify control services for each of the ordinary transaction;
2) immediately notify control services for each suspicious transaction;
3) within seven days after the written request of the control service, provide it in the receipt of the statutory functions of the law subjects required the additional information and documents for the customer or transaction, the origin of the funds and their further movement, for which I received a message from other subjects of this law, or for which the exchange of information carried out under article 62 of this law, the said authorities and institutions but for the rest of the business in this customer with the Attorney General or a specially authorised prosecutor's consent. Taking into account the nature and volume of information, and coordination with the control service request, the deadline may be extended.
(2) the Cabinet of Ministers issued the rules, which confirmed the unusual transaction signature list and the order in which messages are to be provided on unusual or suspicious transactions and approve the message form.
(3) the first paragraph of this article and chapter V of this law requirements not related to tax consultants, outsourcing of accountants, sworn auditors, sworn auditor commercial companies, sworn notaries, sworn to lawyers and other independent legal service providers where they defend or represent clients in criminal proceedings or pre-trial proceedings or provide advice on the commencement of the trial or avoiding it.
(4) reports shall be submitted in writing or electronically.
(5) inspection service does not have the right to disclose the personal data, which provided information on unusual or suspicious transactions. This limitation does not apply to article 56 of this law provided for in the first subparagraph the cases.
(6) subject to the Act, no later than the first working day following the inspection services provided by recorded messages and ensure the availability of the supervisory and control bodies.
31. article. The content of the message in the message, which the subject of this Act shall submit to the control of the service include: 1) customer identification data;
2) planned, applied for, advise, start, delayed, or made in the description of the transaction approved, as well as persons involved in the transaction, identification data and transaction amount, transaction, or a log of time and place and, if the law has been the subject of formal business, copies of these documents;
3) reasons why the law considers the subject transaction is suspicious or unusual transactions, the transaction of which meets.
Chapter v withholding from the transaction, and the suspension of article 32. Abstinence from the transaction (1) subject to this Act, shall take a decision on the abstention of one or more of related transactions or from certain types of debit transactions in customer's account, if the transaction is or has a reasonable suspicion that it related to the crime of money laundering or financing of terrorism.
(2) subject to this Act of abstinence to do business immediately, not later than the next working day, notify the control service in accordance with article 31 of the law's requirements.
(3) not later than 60 days after receiving a report on abstinence to do business, but in exceptional cases the Attorney General or a specially authorised prosecutor she within the additional time limit in which you need to receive the requested information from the foreign countries, the control service shall take one of the following: 1) order to suspend a transaction or certain debit the customer's account if: (a)) cash or other means in accordance with article 4 of this law, the third part is to say on get. In this case, the transaction or certain debit the customer's account is suspended for the time specified in the order, but not longer than six months, b) on the basis of the control service, the information that there is a suspected criminal offence, including criminal money laundering or criminal money laundering attempts. In this case, the transaction specified in the order be suspended for a time, but not more than 45 days;
2) in writing to the holder of this law that it refrain from further transaction is not justified and is terminated;
3) not later than the 60th day from the moment I received a message about abstinence to do business, this law shall be notified in writing to the holder of the third paragraph of this article, provided the Attorney General or a specially authorised prosecutor him down further.

(4) upon the third part of this article in the order referred to in paragraph 1, subject to the law stops the transaction or a certain type of debit the customer's account at the time you specified in the order, inform the customer in writing, as well as sending a copy of the order to the customer that explains it for appeal.
(5) the control service shall be repealed in accordance with the third paragraph of this article, paragraph 1 of the order on certain types of transaction or debit the customer's account if the customer, has provided reasonable information about money or other means of legality of origin. That information submitted to the subject of this Act who control services without delay.
(6) the control services shall have the right to cancel your order or certain debit customer's account of the suspension before the deadline.
(7) if the order is not canceled, the inspection service within 10 working days after it is issued provide information during the pre-trial investigation authorities, Prosecutor's Office or in article 55 of this law.
(8) subject to the law terminating the abstinence from certain types of transaction or debit customer account if: 1) in the third subparagraph is not received within the time limit set by the order of the inspection services to stop certain types of transaction or debit the customer's account, as well as not received written notification of the Attorney General or a specially authorised prosecutor she established the additional time limit;
2) has received the third part of this article, paragraph 2 of the written notice;
3) of part three of this article 1, point "a" or "b" within the time limit referred to in subparagraph have not received other legislation that the pre-trial investigation authorities, Prosecutor's Office or a court ruling or order that is the basis of transaction or certain debit customer's account suspension.
33. article. Order of the national information system officer (1) this law, article 32 paragraph 1 of part three of the cases provided for in the control service may order public information system webmaster make it the Mission of the measures laid down in order to prevent effects of time of renewal.
(2) the national information system administrator orders immediately and on the manner of performance and the results communicated to the control service.
(3) inspection service within 10 working days of the order, if the order is not cancelled, it shall provide information to the authorities during the pre-trial investigation or the Prosecutor's Office in article 55 of this law.
34. article. Order for inspection services for appeal (1) in the cases specified in that law and order could control service orders are persons whose business is stopped, that account is suspended for a certain type of debit operations or in respect of which registration of funds owned is limited national information system administrator, or the authorised representative may challenge the Prosecutor expressly authorized in the statutory time limits.
(2) specifically authorised the Prosecutor's decision in the first paragraph, that person can be a challenge to the Attorney General, whose decision is final.
35. article. The period for the submission of complaints a complaint about an order of inspection services article 34 of this law the person referred to in the first subparagraph may be lodged within 30 days from the date on which they have received a copy of the order.
36. article. Exception for abstinence from suspicious transaction (1) If the holder of this law it is not possible to refrain from such a transaction, for which there is a reasonable suspicion that it related to the crime of money laundering or financing of terrorism, or to refrain from such a transaction, can serve as information that helps criminal money laundering or terrorist financing of the parties involved to avoid liability the subject of this Act, have the right to make a deal after it made according to article 31 of this law for the control of the service.
(2) the first part of this article does not apply to transactions carried out by individuals, for which the United Nations Security Council or the European Union has set financial limits.
(3) a credit institution has the right to make payments to European Union law cases from the accounts which are suspected that committed any criminal offences related to terrorism or money laundering a crime, or for participation in such an offence, if, with regard to these accounts, the credit institution has decided to refrain from certain types of debit operations or control service is received the order to refrain from certain types of debit transactions.
Chapter VI records and law subject discharge article 37. Customer research document storage and restoration (1) of the Act subject to document the customer's identification and research activities and by supervisory and control bodies or control authorities shall request the presentation of these documents are subject to the law of supervision and control authorities or provide copies of these documents for inspection services.
(2) subject to the law for at least five years after the termination of the transaction, keep: 1) customer identification data, copies of the supporting documents;
2) information about the customer and the account;
3) notice of the true beneficiary;
4) list, including an electronic mail list;
5) other documents, including electronic documents, obtained during client research.
(3) in some cases, by the instructions of the inspection services referred to in the second subparagraph of article may set a time limit longer than five years, but not longer than six years.
(4) subject to the law has the right to electronically process the customer identification and research findings on clients, their representatives and the true beneficiaries.
(5) the sworn notaries customer research documents kept according to the notarial law.
38. article. The prohibition to disclose the fact of reporting (1) subject to the law are not allowed to inform the customer, the real beneficiaries, as well as other persons, excluding supervisory and control bodies, that the details of the customer or the transaction (transactions) of the control service is provided and can be or is made this news analysis or pre-trial criminal proceedings in connection with a criminal offence, including criminal money laundering, financing of terrorism or such attempts.
(2) of this article, the prohibitions laid down in the first subparagraph shall not apply to the exchange of information between the Member States or third countries where this law is in effect the equivalent requirements for criminal money laundering and terrorist financing Prevention Act, entities that are part of the same group. One group is considered a legal entity, which is a joint owner of the management or controlling body.
(3) of this article, the prohibitions laid down in the first subparagraph shall not apply to the exchange of information between the Member States or third countries where this law is in effect the equivalent requirements for criminal money laundering and terrorist financing in the field of prevention, tax consultants, outsourcing of accountants, sworn auditors, sworn auditor commercial companies, sworn notaries, sworn to lawyers and other independent legal service providers if they perform their professional activities as an employee of one of the legal person or acting within the same group.
(4) in the first subparagraph of this article, determine the prohibition does not apply to credit institutions, financial institutions, tax consultants, outsourcing of accountants, sworn auditors, sworn auditor commercial companies, sworn notaries, sworn to lawyers and other independent legal service providers with regard to mutual exchange of information in cases where: 1) participate in transactions in two or more subjects of law;
2) transaction is involved in one and the same customer;
3 the law involved in the transaction) entities are established or operating in the territory of a Member State or in a third country, which has the effect of this law has equivalent requirements for the crime of money laundering and terrorist financing prevention;
4) involved in the transaction, subject to the law belong to the same professional categories and are equivalent to the obligations relating to professional secrecy and personal data protection;
5) mutual information is used only for criminal money laundering and terrorism financing.
39. article. Permission to disclose the fact of reporting (1) of the Act the subject shall have the right to inform the customer of the fact that it refrained from the transaction, and reported by the control service.
(2) inspection service shall inform the holder of the law: 1) information about the fact that this law, in accordance with the procedure laid down in article 55 provides pre-trial investigation authorities or the public prosecutor's Office, or 2) that in connection with the abstention to make a deal the second paragraph of this article, the information referred to in paragraph 1 to provide is not possible.
40. article. Law entity discharge (1) if the subject of the law fulfils the requirements of this law, it cannot be considered a professional regulatory provisions and the supervisory and control body requirements.

(2) if the subject of the law according to the requirements of this Act in good faith is message control provided by the service, regardless of whether the crime of money laundering, terrorist financing or attempts, or other related criminal offence, the fact is, or is not proven or pre-trial in criminal proceedings in the Court, as well as independent of the client and subject of this law the provisions of the contract between the reporting for the control service is not considered confidential and disclosure of terms related to the subject of this Act does not preclude legal including civil liability.
(3) if the subject of the law in good faith has refrained from the transaction, according to article 32 of this law, the business relationship or requested a pre-term enforcement in accordance with article 28 of this law the second part, these abstinence or delay the transaction, termination of the transaction or pre-term because law enforcement request entity not registered, including civil liability.
(4) if the tax consultants, Chartered Accountants, are outsourcing Auditors, sworn auditor commercial companies, sworn notaries, sworn lawyers and other independent legal service providers refrain from engaging customers criminal activities, it is not considered confidential and disclosure of terms related to it in this part of the law referred to subjects not legal, including civil liability.
(5) if the inspection service has ordered the suspension of the transaction in accordance with the requirements of the law, then no matter what the result of the suspension of the transaction, subject to this Act, does not preclude legal, including civil liability.
Chapter VII credit and financial institutions the special provisions applicable to article 41. The law requires compliance with the requirements of the access to information (1) to assess the person's compliance with this law, article 10 of the fourth part, the credit and insurance business operators carrying out life insurance, have the right to request and receive, free of charge from the punishment register information about the employee and the person who wants to start a working relationship with the credit institution or insurance company, convictions for criminal offences committed, regardless of whether the criminal record has been deleted or removed.
(2) credit and insurance business operators who carried life insurance, this statutory duties is entitled to request and receive free information from the following registers: 1) Republic of Latvia Enterprise Register register — information about a client, its true beneficiaries and representatives of their counterparties and their true beneficiaries, as well as the person who expressed the desire to start a business relationship with a credit institution or insurance company its true beneficiaries and agents, news of their spouses and first-degree relatives to verify the customer's identity and of his representative, as well as whether the client the actual beneficiary of the financial situation shows that this person might be the true beneficiaries of the particular customer, to assess the need to report to the control service of the suspicious transaction or to refrain from suspicious transaction as well as against the client or initiated insolvency proceedings or the legal protection process;
2) State social insurance agency's records — information about a client, its true beneficiaries and representatives, as well as the person who expressed the desire to start a business relationship with a credit institution or insurance company, its true beneficiaries and employers and the social insurance contributions for the past five years, to ensure that their transactions undertaken meet the income level and the credit institution or an insurance operator to have provided false information about his working legal relations;
3) invalid document register — information about a client, its true beneficiaries and representatives, as well as the person who expressed the desire to start a business relationship with a credit institution or insurance company, its true beneficiaries and agents to make sure that that person presented identity documents are not found to be invalid;
4) fine, news of the registry of the client, its true beneficiaries and representatives, as well as the person who expressed the desire to start a business relationship with a credit institution or insurance company, they are the true representatives of the beneficiary and the conviction for criminal offences in the economy that are not deleted or removed by the customer a crime of money laundering and terrorist financing risk assessment, as well as, where is the need to report to the control service of the suspicious transaction or to refrain from suspicious transaction;
5) country wide computerised land register-news about the client and its true beneficiaries, customer's business partners and their true beneficiaries, as well as the person who expressed the desire to start a business relationship with a credit institution or insurance company, its true beneficiaries and representatives, as well as their spouses and first-degree relatives owned or belonged to the real property to make sure that credit insurance or merchant information about customer transactions with immovable property corresponds to the land registry data and the client's true the beneficiary's financial situation shows that this person might be the true beneficiaries of the particular client, as well as in cases where the need is estimated to control service of suspicious transaction or to refrain from suspicious transaction;
6) national register of vehicles — the particulars of the client, its true beneficiaries, customer's business partners and their true beneficiaries, as well as the person who expressed the desire to start a business relationship with a credit institution or insurance company, its true beneficiaries and representatives, as well as their spouses and first-degree relatives owned or operated vehicles to make sure that credit insurance or merchant information about customer transactions carried out with the vehicle meets the vehicle state register data and the client the real beneficiaries of the economic situation shows that this person might be the true beneficiaries of the particular client;
7) population register — client, its true beneficiaries and representatives, as well as the person who expressed the desire to start a business relationship with a credit institution or insurance company, its true beneficiaries and agents personal data (name, surname, personal code) to verify the identity of, as well as news relating to spouses and first-degree relatives, to verify their identity, specific related customers and perform this customer a crime of money laundering and terrorist financing risk assessment.
(3) according to this article, the first and second part of the received information only used this statutory functions.
Article 42. The identification of the rights after account opening credit institutions have the right to open accounts for customers prior to their identification and clarification of the real beneficiaries, if in accordance with the requirements of the law do not need to make an in-depth study of these customers and if you ensure that customer research before the completion of a complete client cannot perform transactions using this account.
43. article. Termination of the transaction (1) If this Act of identification of the customer and find the real beneficiary is not possible, the credit and financial institutions are prohibited from serving in such person's account, as well as to initiate a business relationship and make transactions with such persons or the business relationship and its termination, if suspected criminal money laundering or the financing of terrorism, the report to the control service.
(2) If a credit institution or financial institution article 28 of this law in the second part of the cases on its own initiative, shall terminate the business relationship with the client, the client's account, a credit institution or financial institution in those existing funds in accordance with the customer's instructions to the customer the same checking account at another credit institution or to the account from which the funds are received in advance, and report on it to the control service.
(3) if the customer with a credit institution or financial institution has opened a financial instruments account, a credit institution or financial institution, this Act article 28, second paragraph in the cases specified in the termination of business relations with the customer, the customer's financial instruments account, account sell financial instruments on their market value. With funds obtained by a credit institution or financial institution shall act in accordance with the provisions of the second subparagraph of article.

(4) a credit institution, a financial institution and not legal, including civil liability for the cases provided for in this Act and in accordance with the procedure laid down izbeigtaj business relationship with the customer or pre-term fulfillment request.
44. article. Exchange of information between the credit institutions and financial institutions (1) this law purposes, the credit institution at the request of the Member State provide to the correspondent of their clients and their true beneficiaries or authorised person identification and research, information and documents related to the transaction that occurs with this correspondent.
(2) credit institutions and financial institutions in the implementation of this law shall have the right, directly or through the authorities of the institution, through the Exchange in the first part of this article contains information about your customers or persons with which this law has not started or has ended the business relationship.
(3) On the first and the second part for the particulars referred to in that institution and the financial institution does not preclude legal, including civil liability. The first and second subparagraph in accordance with the procedure laid down in the information considered confidential.
(4) credit and financial institutions or their authorized bodies for the implementation of the objectives of this law have the right to create, maintain, and electronically processed personal data, create and maintain a personal data processing system for the customers and the people with whom this law has not started or has ended the business relationship, the person the true beneficiaries and authorised persons. In such cases, the processing of personal data of natural persons not covered by the data protection act the data subject's right to request information about the processing of data, including its objectives, beneficiaries, acquisition sources, right of access to their data and request their modification, destruction, or prohibition of termination of treatment.
Chapter VIII the supervisory and control body of rights and duties Article 45. The subjects of the law, monitoring and control bodies (1) subject to this Act, a law enforcement monitor and control monitoring and control of the following institutions: 1) credit institutions, insurance undertakings, which carry out life insurance, private pension funds, insurance intermediaries, which provides life insurance services, investment companies, investment management firms and other money transfer and remittance service providers — financial and capital market Commission;
2) sworn lawyers — the Latvian Council of sworn advocates;
3) Chartered notaries — Latvian sworn notary Council;
4) Chartered Auditors and sworn auditor commercial companies — Latvian certified auditor of the Association;
5) VAS "Latvijas Pasts" — Ministry of transportation;
6) corporations, which have received the license of the Bank of Latvia's foreign cash for purchases and sales, the Bank of Latvia;
7) lotteries and gambling, an organizer of Lotteries and gambling supervisory inspection;
8) legal or natural persons, which deals with precious metals, gems and their products, and, in the process of monitoring State inspections;
9) legal or natural persons that do business with the national protected cultural monuments on the list of cultural monuments, monuments of culture, the State Health Inspectorate.
(2) the State revenue service monitors the following in the first paragraph of the law those entities are: 1) the outsourcing of tax consultants, accountants;
2) independent legal service providers when they, acting on behalf of their clients, provide assistance in the planning or execution of transactions, participating in or conducting other transactions connected with professional activity or approve the transaction of your client's right in relation to: (a)), real estate purchase or sale of the company, (b)) client money, financial instruments and other management, c) all the way to the opening of accounts or the administration of credit institutions or financial institutions , d) legal structure, management or operation, as well as the legal arrangement for managing the start-up or management of the necessary investment;
3) legal arrangement of formation and activity of the service provider;
4) persons acting as agents or intermediaries in transactions with real estate;
5) other legal or natural persons that deal with real estate, vehicles and other goods, as well as mediation in these transactions or supply of services if the payment will take place cash in dollars or other currencies, after the Bank of Latvia the rate at the date of transaction is equivalent to 15 000 euro or higher amount, regardless of whether the transaction is carried out as a single operation or in several related operations. If the transaction is made in a foreign currency, for which the Bank does not set the official exchange rate, the calculation shall use the specified by the Bank of Latvia in the current source of information on the first working day of the week the published exchange rate.
(3) in the second part of the law referred to entities within 10 working days of the start of its activity shall inform in writing the State revenue service territorial institution according to its legal address or the address of the declared place of residence.
Article 46. Monitoring and control obligations (1) the institution of the supervisory and control body shall have the following responsibilities: 1) enumerate and register the effects of the law subjects;
2 monitored and controlled) to make the subjects of training on issues related to money laundering and terrorist financing prevention;
3) make, in accordance with the methodology developed by the regular inspections to assess compliance of law subjects, and this law, noting irregularities, to decide on the composition of the inspection and enforcement of sanctions;
4) report on the inspection services inspection found in unusual and suspicious transactions for which the entity has not reported to the law control services;
5) at the request of the control service, provide the methodological assistance provided for in this Act for the exercise of its functions;
6) apply or propose to other competent authorities shall apply the sanctions provided for in the laws on legislation and to control this abuse prevention measures;
7) on its own initiative or pursuant to a request to exchange information with foreign authorities, whose responsibilities are similar in nature, if the confidentiality of the data and their use is possible only in the mutually agreed objectives;
8) no later than May 1 each year February to collect and submit to inspection services statistical information relating to the previous year on the measures connected with the subjects of law supervision and control;
9) to take the necessary administrative, technical and organisational measures to ensure compliance with the requirements of this Act within the framework of the protection of the information obtained, prevent unauthorized access to information, the unauthorized modification, distribution or destruction. Track information, treatment, storage and disposal procedures determine the supervisory and control body. Monitoring and control bodies shall keep for at least five years;
10) to exchange information with other supervisory and control authorities of the country concerned fulfils the equivalent functions to perform operations that reduce the criminal money-laundering and the financing of terrorism.
(2) the Latvian sworn notary Council, the Latvian Council of sworn advocates and the Latvian Association of Certified Auditors shall monitor and control compliance with the requirements of this law, the activities of regulatory legislation. These organisations have the following responsibilities: 1 to develop the procedures) is required by law to be the subject of actions for enforcement of this Act;
2) to ensure that the monitoring is carried out and controlled subjects of law training in matters related to the crime of money laundering and terrorist financing prevention;
3) apply or suggest other competent institutions applying legislation to impose the sanctions in case of non-compliance with the requirements of this law.
47. article. Monitoring and control bodies (1) the supervisory and control body shall have the following rights: 1) visit the monitored or controlled entities belonging to the law or using them in existing spaces, linked to their economic or professional activities, and take those checks;
2) request from the monitored or controlled entities of the law information related to compliance with the requirements of this Act, require the presentation of original documents, to examine and receive a copy or copies, get the explanation, as well as to take actions to prevent or reduce criminal money laundering or terrorism financing options;
3) to draw up legislation that approved this law, infringements of requirements and related facts;

4) determine the subjects of law to which the period inevitably found this law violations and to control this abuse prevention;
5) publish statistical information on the requirements of the Act and the sanctions applied;
6) request from the State and derivative of institutions of public person any information at their disposal in this statutory duties;
7) issue recommendations to the subjects of the law in the statutory duties.
(2) the financial and capital market Commission has the right to issue a criminal money-laundering and the financing of terrorism prevention and control laws, provisions establishing the credit and financial institutions, other than a corporation, dealing with the foreign currency cash buying and selling (Exchange), binding requirements in the statutory duties concerning the internal control system, the real beneficiaries of the clearance of accounts and making sure that the person specified as the real beneficiary is the real beneficiary of the customer, and the customer transactions and customer control of economic activities.
48. article. The prohibition to disclose information (1) subject to this Act, a supervisory and control authorities, their officials and employees do not have the right to inform the subjects of this law, customers and actual beneficiaries, as well as other parties that control has details of the client and unusual or suspicious transactions and can be carried out, or is carried on this news analysis or pre-trial criminal proceedings in connection with offences committed including criminal money laundering, financing of terrorism or attempt this operation.
(2) in the first subparagraph of this article, the supervisory and control authorities specific prohibitions do not apply to the cases where the information they provide during the pre-trial investigation authorities, Prosecutor's Office or the Court, and the case law of the subject has refrained from such transaction.
49. article. The supervisory and control body discharge reporting control service in accordance with the procedure laid down in this chapter are not considered to be confidential disclosure and terms in connection with the subject of this Act, a supervisory and control authorities, their officials and employees does not preclude legal responsibility regardless of whether a criminal offence, including criminal money laundering, terrorist financing or attempts, or other related criminal pre-trial in criminal proceedings and the fact the Court is or is not proven.
Chapter IX control services in article 50. Control services of legal status (1) inspection service is specially created national institution under this Act made an unusual and suspicious transactions and obtain, receive, record, process, summarize, stored, analyzed and provided to the authorities during the pre-trial investigation, the Prosecutor's Office and the Court information that can be used by the criminal money-laundering, financing of terrorism or attempts, or other related crime prevention , discovery, pre-trial criminal proceedings or trials.
(2) inspection service operates under the supervision of the public prosecutor's Office.
(3) the structure of the inspection services and the list of posts under the State budget means the Attorney General.
(4) control Chief for four years in Office and released from Office by the Attorney General. Control officers recruited, as well as discount from job control Chief. Control the agent's remuneration is determined by the Cabinet of Ministers.
(5) control Chief and employees must comply with the requirements provided for in the law "on State secrets" to get the special permission required for access to top secret information.
51. article. Control duties and the right to (1) control has the following responsibilities: 1) to receive, collect, store and analyze subjects of law reports, as well as other information, to determine whether this information can be attributed to criminal money laundering, financing of terrorism or attempts, or other related criminal offence;
2) provide the investigating authorities, the Prosecutor's Office and the Court information that can be used by the criminal money-laundering, financing of terrorism or attempts, or other related criminal prevention, detection, pre-trial criminal proceedings or proceedings;
3) analyze the quality of the report, their efficiency and inform subjects of the law;
4) make a criminal money-laundering, terrorist financing or such attempts of technique analysis and research to improve the holding of such activities and methods of detection;
5) in accordance with the procedure laid down in this law, to cooperate with international and foreign institutions, dealing with money-laundering and terrorist financing prevention;
6) providing monitoring and control bodies information about the crime, money-laundering and terrorist financing techniques and typical locations to perform actions that reduce criminal money laundering and terrorism financing options to ensure the monitoring and control of training bodies in matters relating to criminal money laundering and terrorist financing prevention;
7) provide the law subjects and their supervisory and control authorities of this law article 4, the information referred to in the fourth paragraph, and to ensure its updating;
8) at the supervisory and control body of the request, according to their competence to provide news on the subjects of this law report statistics, quality and efficiency;
9) in the light of the control service, the information available to make the law subjects, monitoring and control authorities, pre-trial investigation authorities, Prosecutor's Office and recommendations to reduce the criminal money-laundering and the financing of terrorism;
10) to publish information about the results of the inspection services, indicating the previous year during the investigation of the cases and the number of persons prosecuted for criminal money laundering or terrorist financing offences convicted persons suspension and confiscated funds;
11) to inform the supervisory and control bodies of the subjects of the law allowed open the violations of this law;
12) to collect and submit the control services of the Advisory Board of this law article 46, first paragraph, point 8 of that statistical information.
(2) control has the following rights: 1) in the cases specified in this law in order to stop the law subject to certain types of transaction or debit the customer's account;
2) in the cases specified in this law to order the national information system webmaster take steps to prevent the transfer of funds;
3) instruct law subjects on customer identification and research, the resulting document storage extension;
4) to request and receive information from the subjects of the law, public institutions, as well as from a derived public persons and institutions;
5) provide information to the pre-trial investigation authorities, Prosecutor's Office, Court, supervisory and control bodies;
6) to exchange information with foreign institutions, whose duties are similar to the inspection service obligations.
52. article. Inspection service's responsibility If this statutory orders given pursuant to the requirements of this law and its inspection service officials does not preclude legal, including civil liability for the consequences of the order.
53. article. Information protection control service (1) inspection service, any information in its possession may be used only for the purposes provided for in this Act and in accordance with the procedure laid down in this Act. Control staff, who used this information for other purposes or disclosed to persons not entitled to receive relevant information, criminally liable in criminal law.
(2) information obtained by the inspection services of the Attorney General and Special Prosecutor authorized the surveillance order, is not a candidate for operational entities, pre-trial investigation authorities, Prosecutor's Office or the Court, or it needs to be used.
(3) the control service shall carry out the necessary administrative, technical and organisational measures to ensure the protection of information, prevent unauthorized access to information, the unauthorized modification, distribution or destruction. Information about transactions in the inspection services shall be preserved for at least five years. Control service processing the information received is not included in the data state inspection register of personal data processing.
Chapter x control services cooperation with State and local authorities article 54. State and local government bodies to the obligation of cooperation

All State and local government institutions have the responsibility of Cabinet in order to provide control services to perform its functions for the requested information. Exchanging information with the control service, the person carrying out the data processing is prohibited from disclosing to other legal or natural persons the information exchange of facts and information content, except when the information is given in the pre-trial investigation authorities, Prosecutor's Office or court.
55. article. Cooperation with the control service of the pre-trial investigation authorities, Prosecutor's Office and the judicial inspection service provides information to pre-trial investigation authorities, Prosecutor's Office or court, if they reasonably suspect that the person in question has committed a criminal offence, including taken criminal money laundering, financing of terrorism or attempt this operation.
Article 56. Meeting the request for information (1) inspection service on the Attorney General or a specially authorised prosecutor from the point of view of the legality and reasonableness of the assessed and accepted operational entities, the pre-trial investigation authorities or the public prosecutor's Office, as well as at the request of the Court pursuant to the requirements of this law, shall provide information, if the criminal offences provided for in article 5 of this law, at least one of the following: 1) launched criminal proceedings in accordance with the procedure laid down in the law of criminal procedure;
2) proposed operational accounting case operational activities in accordance with the procedure prescribed by law.
(2) inspection service at the request of the State revenue service provides legal or statutory declarations of public officials, as well as other statutory declaration of the personal verification required, any information in its possession if there is reasonable suspicion that the person indicated in the Declaration of false information about their assets or income.
57. article. The responsibility for requesting information (1) the validity of the request For information is responsible for requesting and authorized the Special Prosecutor, who accepted the request.
(2) the information provided by the inspection services may be disclosed at the moment when the person in question is called to criminal liability.
58. article. Use of information referred to in this chapter by State authorities information that they provide inspection service may be used only for the purpose for which it was received.
Chapter XI control services Advisory Council of article 59. Control services to the Advisory Council the task to facilitate the operation of the inspection services and coordinate its cooperation with institutions of pre-trial investigation, the public prosecutor's Office, courts and the subjects of this law, the trust is created the Service Advisory Board (hereinafter the Board), which has the following tasks: 1) coordinate national authority, subject to the law and the supervisory and control body cooperation this law requirements;
2) develop recommendations for inspection services provided for in this Act for the discharge of their duties;
3) to prepare and submit recommendations to the inspection services of the unusual characteristics of the transaction list amendment;
4 inform the Attorney General) at his request or on its own initiative regarding the work of the inspection services and make recommendations to the development of this service.
60. article. The composition of the Board (1) the composition of the Board: 1) two representatives, including one from the State revenue service, designate the Minister of finance;
2) one representative designate: (a) the Minister, (b))) the Minister of Justice, c), (d) the Bank of Latvia) the financial and capital market Commission, e), the Association of commercial banks of Latvia) Latvian Insurers Association (f), (g)) the Latvian Council of sworn auditors Association, h) the Latvian Council of sworn notary Council, i) the Latvian Council of sworn advocates, j) Supreme Court.
(2) Advisory Council meeting chaired by the Attorney General.
(3) the Advisory Board shall be invited to their meetings to control Chief and experts.
(4) the proceedings of the Board provides inspection services.
Chapter XII the criminal money-laundering and terrorist financing prevention coordination article 61. Coordinating institution (1) coordinating body whose goal is to harmonize and streamline public institutions and private sector cooperation in criminal money-laundering and the financing of terrorism, is the financial sector's Development Council.
(2) the financial sector development in Council configurations, functions, tasks, rights, decision-making procedures and work organisation is determined by the Cabinet of Ministers.
Chapter XIII international cooperation article 62. Exchange of information (1) control service may, on its own initiative or pursuant to a request to exchange information with foreign bodies whose responsibilities are similar in nature to this Act article 50 and 51 in the first paragraph of the obligations mentioned in article, as well as with foreign or international terrorist financing institutions for combating terrorism means motion control matters, if: 1) ensures the confidentiality of the data and use it only for mutually agreed purposes;
2) is guaranteed only the use of crime prevention and detection, which is a criminal act in Latvia.
(2) the exchange of information with the first part of this article the said authorities and institutions control services is entitled to conclude cooperation agreements, the agreement on the procedure for the exchange of information and content. Control services of foreign bodies and international institutions are entitled, in addition to the first part of this article proposed to identify other information given to the limitations and conditions of use, as well as request information on its use. Information is provided for analysis and further transfer requires prior consent of inspection services under the first paragraph of this article.
(3) inspection service refuses to exchange information in full or partial amount or refuse to give consent for further transfer in the following cases: 1) such action could harm Latvia's sovereignty, security, public order or other national interests;
2) has sufficient grounds to believe that the person will be prosecuted or punished for race, religion, nationality, ethnic origin or political opinion;
3) such action should be clearly disproportionate with respect to the State or the legitimate interests of the person;
4) person, which included one of the Cabinet's recognized national or international organizations and those made the list of people who are suspected of involvement in terrorist activities, an offence is committed in the territory of the country, which has made the request for Exchange of information or its transfer, is a citizen of that State and the territory of Latvia is not committed criminal offence.
(4) control service may also require from the other, in the first paragraph of this article, not those foreign institutions the information required to analyze incoming reports of unusual or suspicious transactions.
(5) foreign investigating authorities and courts control service information is provided in the order provided for in international agreements on mutual legal assistance in criminal matters, and with those specified by State authorities of the Republic of Latvia, and only for offences that are punishable under criminal law in the Republic of Latvia, if international agreements on mutual legal assistance in criminal matters otherwise.
Article 63. Order picking (1) has the right of control by other authorized bodies or international terrorism prevention order, at the request of the institution in accordance with the requirements of chapter V of the Act.
(2) the control services shall have the right to issue an order, if the information provided in the request creates reasonable suspicion that a criminal offence, including criminal money laundering, financing of terrorism or such attempts, and such an order would also be issued if the procedure laid down in this law, would received the report on unusual or suspicious transactions.
Transitional provisions 1. With the entry into force of this law shall lapse by law "on laundering" (Latvian Saeima and the Cabinet of Ministers rapporteur, 1998, no. 3; 2000, No 14; 2002, 16; 2004, nr. 2. No; 2005, 13. No; 2006, nr. 12).
2. in this Act the client ID, and the true beneficiaries of the clearance of the accounts of the customers with whom business relations are in force and which it has not been taken, the subject of the law shall be carried out no later than July 1, 2009, or until the expiry of the interrupted business relations with them.
3. Until the new cabinet from the date of entry into force of the provisions, but not longer than until 1 January 2009 is in force: 1) the Cabinet of Ministers of 2 June 1998 Regulation No. 213 of "rules on Laundering Officer pay sis theme";
2) Cabinet of Ministers of 29 December 1998 regulations No. 497 "order in which State institutions provide information to Criminal money laundering prevention service";
3) the Cabinet of Ministers of 20 March 2001 No. 127 rules "rules for the unusual characteristics of the transaction list and reporting arrangements";

4) the Cabinet of Ministers of 29 august 2006, the Regulation No 731 "rules for countries and international organizations, which lists drawn up by a person in connection with a suspicion of committing terrorist acts or complicity".
4. subjects of the law, which according to article 45 of this law the second part shall monitor the State revenue service and its operation started before the date of entry into force of the law, for its activities to be informed in writing of the State revenue service territorial institution within 30 working days of the entry into force of this law.
5. Article 41 of this law, the provisions on the right to request and receive, free of charge to law enforcement the necessary information from the registers and information systems enter into force simultaneously with the necessary amendments to the relevant legislation in force. Until the entry into force of the amendments of the Act referred to in article 41 of the law subjects are entitled to request and receive information from the registry for invalid documents, the punishment register and the register of the population in accordance with the law in force before the entry into force of the law.
6. Article 41 of this law, information from the register to be provided free of charge, starting with January 1, 2010.
Informative reference to European Union directives, the law includes provisions resulting from: 1) of the European Parliament and of the Council of 26 October 2005 of Directive 2005/60/EC on the prevention of the use of the financial system for money laundering and terrorist financing;
2) European Commission's 1 august 2006 Directive 2006/70/EC laying down measures for the implementation of European Parliament and Council Directive 2005/60/EC in relation to a "politically exposed person" and the technical criteria for simplified customer due diligence procedures and for exemption due to the financial transactions carried out by an occasional or very limited basis.
The Parliament adopted the law on 17 July 2008.
President Valdis Zatlers in Riga V 2008 July 30 Editorial Note: the law shall enter into force on 13 august 2008.

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