Measures to fight against laundering crime and financing of terrorism

The Law nr. 25/2008, of 5th June, from the Assembly of the Republic, has been published, its main goal being to set down protective and repressive measures against the laundering of benefits proceeding from illicit source and against the financing of terrorism.

Among the several entities that are subject to this legislation, we point out some non-financial entities, such as the real estate agents and who deals with real property operations. This law also applies to the traders that carry through business with goods whose payment is made in cash, to the amount equal or superior to € 15.000, even if the transaction is carried out through just one operation or through several ones apparently connected between them.

The statutory auditors, the chartered accountants, the external auditors, the tax consultants, the lawyers and the solicitors are professionals that - due to fact that they take part or attend to operations of real property sale of business establishments and holdings, among others - are compelled to comply with this Law.

The referred entities are compelled to demand and to verify the identity of their clients or representatives and, on their own initiative, to advise immediately the Attorney General of the Republic and the Financial Information Unit whenever they are acquainted with, or suspect, or have sufficient reasons to suspect that a transaction, susceptible to show the practice of the crime of laundering or financing of terrorism, was carried out or is in progress or was attempted.

The natural persons or corporate bodies that run a real estate activity, as well as the activity of purchase, sale, purchase for resale or for barter of real property and the building construction activity, with a view to its subsequent transferring or assigning, whenever the pretence may be, must advise the Construction and Real Estate Institute, I.P. (i.e. “Instituto de Construção e do Imobiliário, I.P.”) upon the starting up of the activity, within a maximum period of 60 days. The entities that are already carrying out an activity dispose of a period of 90 days from the date of the entry into force of the referred law.

The Order (Portaria) nr. 41/2009, of 13 January, refers the countries recognised as having systems identical to the Portuguese. The European countries are automatically recognised.

This note is only for information and does not hold its divulgers responsible. For thorough information you must consult the Law.