Stricter rules on beneficial owners
On 2 May 2019, the Danish Parliament adopted Bill L 205. The amended Act implements the part of the 5th AML directive which concerns the duty of enterprises, companies, funds and foundations to collect, store and register information about their beneficial owners.
Companies are still obliged to collect, store and register such information.
So what’s new?
Among other things, the Act makes it possible to subject companies to compulsory dissolution not only for failing to register beneficial owners, but also where (1) the registration of beneficial owners is flawed, or where (2) the duty to store has not been observed.
In addition, companies will be subject to a duty of investigation, requiring them to check at least once a year if the registered information is up to date.
For owners, there will be an obligation to provide (on request) the necessary ownership information to the company, whereas for companies, the information must be provided (on request) to persons performing know-your-costumer procedures.
Most of the Act is set to enter into force on 10 January 2020.