Zelenskyy signed law on lifelong financial monitoring of politically significant persons
On Thursday, October 26, President Volodymyr Zelenskyy signed the European integration law on the introduction of lifelong financial monitoring of politically significant persons (PEP).
This is reported on the website of the Verkhovna Rada, Censor.NET reports with reference to LigaBusinessInform.
Draft Law No. 9269-d on financial monitoring of officials is one of the two key requirements of the International Monetary Fund for Ukraine to receive the third tranche at the end of this year. Other international financial assistance for the state is tied to the IMF program.
In addition, the adoption of the draft law was necessary for the start of negotiations on Ukraine's accession to the European Union.
Politically significant persons in Ukraine are considered to be people who hold or have held important government positions (presidents, prime ministers, ministers and their deputies, deputies, high-ranking political figures, high-ranking officials of the judicial system, law enforcement agencies, justice, defense, management of the National Bank, etc.), their family members and related persons (for example, business and business partners).
The lifelong status of PEP does not mean that former officials will be intensively checked for the rest of their lives, NBU head Andriy Pishnyi promised.
The law requires banks to apply a risk-oriented approach: if the official did not conduct suspicious risky financial transactions during the year after his dismissal and does not pose a risk inherent to PEP, banks are not obliged to monitor business relations with him in-depth (that is, to establish sources of wealth and sources of funds for operations).
In case of refusal to carry out financial transactions or establish business relations, the bank must justify its decision in writing within five days.
Banks can be fined UAH 10 million for abuse of strict financial monitoring.
