You're reading: Turchynov signs law on prosecutor’s office and anti-money laundering law

Verkhovna Rada Chairman Oleksandr Turchynov has signed laws on prosecutor's office, as well as anti-money laundering law, which were supported by the parliamentarians on Oct. 14.

As reported, the parliament passed the law on the prosecutor’s office (No. 3541) at second reading on Oct. 14.

The law lays down the legal foundation for the organization and activities of the prosecutor’s office, prosecutor’s self-government, the system of prosecution, as well as the status of prosecutors.

“Compared with the applicable law of Ukraine on the prosecutor’s office… [the new law] suggests abolishing the functions of the prosecutor’s office supervision over the compliance and enforcement of laws (the so-called general supervision),” read the accompanying documents to the law on the prosecutor’s office.

Besides, on the same day the Verkhovna Rada approved an updated wording of the anti-money laundering law.

The amendments to the existing anti-money laundering law were made in keeping with the new recommendations by the Financial Action Task Force (FATF), which were approved on Feb. 16, 2014.

The amendments introduce comprehensive improvements in the law on financial monitoring, in particular, in the financial monitoring of national public persons, and upgrade the procedures to suspend financial operations, the explanatory note to the bill reads.

In keeping with the amendments, a bank client is subject to verification in case of the transfer of UAH 15,000 or more, or its forex/asset equivalent, by an individual or an individual entrepreneur without opening a bank account. Verification is also applicable if the transfer is an international one.

The updated law also foresees the identification and verification of a client if business relations are established, excluding relations under insurance agreement (it doesn’t concern life insurance) if the client is an individual and the total insurance payment doesn’t exceed Hr 5,000; under agreements on participation in a lottery if a player’s stake is not higher than Hr 5,000; and if a payment system, a member/participant in a payment system, a bank handles financial operations worth less than UAH 150,000, or the forex equivalent, without opening an account.

The law also introduces amendments to the law on banks and banking, which foresee, among other things, the identification and verification of clients who carry out financial operations with cash worth Hr 150,000 or more, or its forex equivalent, without opening a bank account.

The amendments will become effective 90 days after the day of their publication.