Main page > About the company > News and mailing > Jurisdictions news > The Latvian banks aren’t allowed to service shell-companies

The Latvian banks aren’t allowed to service shell-companies


				26.04.2018
						

On April 26th, 2018 the Sejm of Latvia adopted amendments to the Law Anti-Money Laundering.

In opinion of the Latvian Ministry of Finance amendments have been aimed at eliminating money laundering through Latvian system. Also they will be applied for that financial institutes in client’s base of which shell companies are dominated.

The innovations include the prohibition of servicing shell-companies for payment organizations, electronic payment systems, investments brokers, client’s stock portfolio management companies and investment funds with opened membership which can issue shares for investment companies.

According to the Article 1, clause 15 of the Law, shell-company is a legal entity which has one or several of the following characteristics:

- There is no connection of the legal entity with the actual economic activity or the activity of the legal entity creates little activity or doesn’t create any economic value;

- In the country in which the legal entity is registered, the regulations don’t oblige the company to prepare and submit financial reports to the competent supervisory authorities;

- There is no place of activity (premises) in the country of incorporation.

On materials of the following website: http://www.saeima.lv/en/news/saeima-news/26811-saeima-prohibits-banks-to-service-shell-companies


Back to the list news

Quickly and confidentially.
A qualified expert will give you a free consultation by telephone, help to determine the position and make an appointment at any time that suits you.
Call just now by phone: +44 203 608 22 48
E-mail us: london@hbcomp.co.uk


News

07/09/2019 13:19:00

Croatia enters the Eurozone

On July 4th, 2019, Croatia notified the EU of its intention to joi ...

Read more

07/05/2019 18:05:00

OECD produces international system of information disclosure for the purposes of the CRS

On 27th June the OECD published administrative and operational m ...

Read more

07/03/2019 13:40:00

The companies can be compulsory liquidated in Latvia

According to the Law “On combating money laundering and financing ...

Read more