Following its previous announcement dated August 5, 2022, regarding the interim phase of the Register of Beneficial Owners, the Department of Companies and Intellectual Property is preparing for the upcoming launch of the final electronic system for this register, expected in late October 2023. The department urges all companies established or registered under the Companies Law, Cap. 113, European public limited liability companies (SE), and Cooperatives to register the details of their real beneficiaries in the Register of Beneficial Owners by September 30, 2023. This step is crucial to avoid potential financial penalties or criminal charges due to non-compliance.
Furthermore, it is important to note that once the final solution is activated, there will be a one-month window for confirming and updating the information previously entered into the interim system and transferred to the final system by all entities. This period also allows for the submission of exemption requests and reasons for due diligence.
It should be emphasized that, regardless of potential legal consequences for individuals, companies, or other legal entities, along with their officers, will face a financial penalty of two hundred euros (€200), plus an additional one hundred euros (€100) for each day of non-compliance, up to a maximum total penalty of twenty thousand euros (€20,000) in the event of non-compliance.
Additionally, it is worth highlighting that an officer of a company or other legal entity will not be subject to financial penalties if they can demonstrate due diligence in complying with the provisions of Law No. 188(I)/2007 and Directive P.I. 112/2021, as amended, provided that the violation is not a result of their actions or omissions.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.