Almost 40% of all companies and organizations have not yet declared the “final beneficiary”. As a result, nearly 700,000 owners remain under the radar. Much more than expected. Minister Kaag writes in a letter to parliament that the number of missing persons is estimated at 120,000.
Many more entrepreneurs are now avoiding the registration obligation, while there is not enough manpower to meet the obligation. That is why choices have to be made, says Kaag. This means prioritizing pressure in sectors where money laundering and terrorist financing risks are greatest.
Privacy Disputes
Another factor is that the majority in the House of Representatives only advocates ‘risk-based practice’ until a decision has been made on the UBO registration by the European Court of Justice. This case concerned the question of whether the Luxembourg UBO register violates the right to respect for private life. Dutch entrepreneurs also tried to block the register with this argument, but were unable to do so.
As a result, the Dutch government is reluctant to impose fines and community service orders. Initially, the Bureau of Economic Practice will send a warning letter to only 500 organizations that have not specified the owner. These go to companies that, for example, trade in expensive goods or operate in an industry with a lot of money.
Thousands more letters will arrive next month. In the following months, two thousand letters a month go to the letterbox. At this rate, it will be nearly three decades before all under-the-radar owners get a warning.
If, two weeks after the warning, a company still has not received a “final holder”, the bailiff calls the owner and informs him that the owner must be registered. If this still does not happen, sanctions may be imposed.
“The world upside down”
For the privacy organization Privacy First, the hesitant practice is a step too far. Attorney Otto Volgenant, who manages cases against access, said: “We are against the principle of a public UBO registration. This is also the subject of the European case. “I understand that people are waiting to fill it in until the European Court clear,” he says in the first privacy name of the record. “Then wait with the app until the decision is made.”
There is no accomplice here in the person of Jesse Renema, project manager at the Open Government Foundation. “The world is turned upside down. Secrecy is used as a smokescreen. Very little information about the owners is publicly available in the UBO register. It has been agreed at European level that this is an important step in the fight against money laundering and corruption. † We have to deal with that too.”
Source: NOS
Smith Charles is a talented entertainment journalist and author at The Nation View. He has a passion for all things entertainment and writes about the latest movies, TV shows, music, and celebrity news. He’s known for his in-depth interviews with actors, musicians, and other industry figures, and his ability to provide unique perspectives on the entertainment industry.
