List
of Legislations > LAW FOR THE MEASURES AGAINST MONEY LAUNDERING
LAW FOR THE MEASURES AGAINST MONEY LAUNDERING
Prom. SG. 85/24 Jul 1998, amend. SG. 1/2 Jan 2001, amend. SG. 31/4 Apr
2003
Chapter one.
GENERAL PROVISIONS
Art. 1. (1) With this law shall be determined the measures
against money laundering as well as the organisation and the control
for their implementation.
(2) (amend., SG 1/01) The objective of the law is prevention and revealing
of the activities of individuals and corporate bodies aimed at money
laundering.
Art. 2. (1) (amend., SG 1/01) Money laundering shall
be the preparation, the implementation and the acceptance of activities
with which money or other possessions as well as the acquired with them
which have become possession of given person are introduced in the economic
turnover.
(2) Money laundering shall be at hand in the cases of:
1. transformation or transfer of possessions acquired through or on
occasion of a crime;
2. (revoked, SG 1/01)
3. hiding or covering of the essence of the source, the location, the
disposition, the movement or the rights with
regard to the possessions acquired through or on occasion of a crime;
4. acquisition, possession or use of possessions with the knowledge
at the moment of receiving that they have been
acquired through or on occasion of a crime.
(3) Money laundering shall be at hand also when the initial crime has
been committed abroad and is not under the
punitive jurisdiction of the Republic of Bulgaria.
Art. 3. (1) The measures for prevention and revealing
of the activities for money laundering are identification of persons,
collecting, preservation and revealing information about operations
and transactions. (2) The measures of para 1 shall be obligatory for:
1. (amend., SG 1/01, amend. SG 31/03) The Bulgarian National Bank, the
banks with headquarters abroad, received
permission (license) from the Bulgarian National Bank to implement activity
in the country through a branch, the
financial houses, the exchange bureaux as well as the persons, conce3ding
services for money transfer from the
country to abroad or vice versa on its or other's name;
2. (suppl. SG 31/03) Insurers and the foreign insurers, received permission
from the Commission for financial
supervision to implement insuring and reinsuring in the country through
a branch;
3. (amend., SG 1/01) Investment companies, investment brokers and managing
companies;
4. (new, SG 1/01) pension funds;
5. (prev. item 4 - SG 1/01) Bodies for privatisation;
6. (prev. item 5 - SG 1/01) Persons organising assignment of public
orders;
7. (prev. item 6 - SG 1/01) Persons organising and conducting gambling
games;
8. (prev. item 7 - SG 1/01) Corporate bodies where there are mutual
support savings;
9. (prev. item 8 - SG 1/01) Persons conceding money loan against pawning
of chattels;
10. (prev. item 9 - SG 1/01) Post services accepting or receiving money
or other valuables;
11. (prev. item 10 - SG 1 /01) Notaries;
12. (prev. item 11 - SG 1/01, amend. SG 31/03) Exchanges, exchange brokers
and persons, organising unofficial
markets of securities;
13. (prev. item 12 - SG 1/01) Leasing enterprises;
14. (prev. item 13 - amend., SG 1/01) state and municipal bodies concluding
concession contracts;
15. (prev. item 14 - SG 1/01) Political parties;
16. (prev. item 15 - amend., SG 1/01 Trade unions and professional organisations;
17. (prev. item 16 - amend., SG 1/01) Corporate non-profit bodies;
18. (prev. item 17 - amend., SG 1/01) certified expert accountants and
specialised auditing enterprises;
19. (prev. item 18 - SG 1/01) Tax authorities;
20. (prev. item 19 - amend., SG 1/01) customs bodies.
21. (new, SG 1/01, suppl. SG 31/03) entrepreneurs selling automobiles
by profession when the payment is
implemented in cash and the value is over 30 000 levs or the equivalent
in foreign currency;
22. (new, SG 1/01) transport organisations;
23. (new, SG 1/01) the central Depository;
24. (new, SG 1/01, amend. G 31/03) persons who, by profession, carry
out transactions with goods with high value
as precious metals and stones; works of art, articles with historic,
archaeological, numismatic, ethnographic, artistic
and antique value and natural samples, as well as persons, who organise
tenders for sale of such articles, when the
payment is in cash and the value is over 30 000 levs or the equivalent
in foreign currency;
25. (new, SG 1/01) traders of weapons, petrol and petrol products;
26. (new, SG 1/01, amend. SG 31/03) persons, who as profession implement
consultations in the field of tax levying;
27. (new, SG 1/01) wholesale traders;
28. (new - SG 31/03) persons, who as profession implement legal consultations,
when:
a) they participate in the planing or the fulfilment of operation or
transaction of their client for:
aa) purchase and sale of immovable property or transfer of enterprise
to trader;
bb) management of money, securities or other financial assets;
cc) opening or disposing with bank account or account for securities;
dd) providing of resources for establishing of trader, increase of the
capital of a commercial company, conceding of
loan or any other form of providing of resources for accomplishing the
activity of the trader;
ee) establishing, organising of the activity or management of offshore
company, company, conceded to fiduciary
management or other similar structure;
b) act for the account or in the name of their client in whatever financial
operation or transaction with immovable
property;
29. (new - SG 31 /03) persons, who implement by profession mediation
in transactions with immovable properties.
(3) The measures of para 1 shall be also obligatory for the persons
of para 2 and when they are announced insolvent
and in liquidation.
(4) (suppl. SG 31/03) The measures of para 1 shall be also implemented
for the branches of the persons of para 2 and
3 registered abroad, as well as to the branches of foreign persons,
registered in the country, being within the circle
pointed out in para 2 and 3.
(5) (new - SG 31/03) The measures of para 1 shall be obligatory for
the persons of para 2, item 28, when the person:
1. knows, that the legal consultation will be used with objective money
laundering;
2. knows, that his client wishes to receive legal consultation with
objective money laundering.
(6) (new - SG 31/03) The measures of para 1 shall not be obligatory
for the persons of para 2, item 28, when they
receive information in connection with the implementation of the procedure
representation or legal analysis of their
client. The information, that has become known at or on occasion of
the participation in court procedure, which is
pending, is forthcoming to be opened or has finished, connected with
exercising of right to defence under art. 56 of
the Constitution of the Republic of Bulgaria, shall not be subject to
reporting by the order of this law.
Art. 3a. (new - SG 31/03) (1) The bodies for supervision
over the persons of art. 3, para 2 and 3, shall be obliged to concede
information to the Agency for financial intelligence, if at implementing
their supervision activity they establish operations or transactions,
connected with doubt about money laundering or non fulfilment of the
obligation of art. 11 a.
(2) In the checks, implemented by the bodies of para 1, shall be included
also check of the fulfilment of the requirements of this law by the
checked persons. At finding of breach the supervision bodies shall inform
the Agency for financial intelligence by sending excerpt from the fact
finding act in the respective part.
Chapter two.
IDENTIFICATION OF CLIENTS, COLLECTING, PRESERVATION AND REVEALING OF
INFORMATION
Section I. Identification of clients
Art. 4. (amend. SG 31/03) (1) The persons of art. 3, para 2
and 3 shall be obliged to identify their clients at establishing permanent
trade relations, in this number at opening of bank account or account
for securities as well as at implementing of operation or concluding
a transaction with value above 30 000 levs or the equivalent in foreign
currency, and the persons of art. 3, para 2, item 1 - also at implementing
of operation with levs or foreign currency in cash with value over 10
000 levs.
(2) Para 1 shall also be implemented in the cases when more than one
operation or transaction are being implemented, which separately do
not exceed 30 000 levs or the equivalent in foreign currency, respectively
10 000 levs or the equivalent in foreign currency, but there are data
that the operations or the transactions are connected.
(3) The persons of art. 3, para 2, item 7 shall be obliged to identify
their clients by the order of art. 6 at the entering
in the register of art. 72, para 2 of the Law of gambling.
(4) At impossibility of identification according to the requirements
of this law or at non presenting of declaration
under para 7 the persons of art. 3, para 2 and 3 shall be obliged to
refuse the implementing of the operation or the
transaction.
(5) At establishing of permanent trade relations or implementing of
operation or transaction through electronic
statement, electronic document or electronic signature, or other form
without the presence of the client the persons of
art. 3, para 2 and 3 shall be obliged to undertake appropriate measures
for certifying of the authenticity of the
identifying data of the client. Such measures ca be check of the presented
documents, requirement or additional
documents, confirmation of the identification by another person of art.
3, para 2 and 3 or by a person, obliged to
apply measures against money laundering in a member country of the European
Union, or establishing of
requirement the first payment for the operation or the transaction to
be implemented through an account, opened in
the name of the client in a Bulgarian bank, branch of foreign bank,
received permission (license) by the Bulgarian
National Bank to implement activity in the country through a branch
or in a bank from a member country of the
European Union.
(6) The measures of para 5 shall be included in the internal rules of
art. 16..
(7) The persons, implementing operation or transaction through or with
a person of art. 3, para 2 and 3 with value
over 30 000 levs or the equivalent in foreign currency, respectively
over 10 000 levs or the equivalent in foreign
currency, when the payment is in cash, shall be obliged to declare the
origin of the resources. The persons of art. 3,
para 2 and 3 shall be obliged to require the declaration before the
implementing of the respective operation or
transaction.
(8) The form of the declaration of para 7 and of art. 6, para 5, item
3, the conditions and the order for exemption
from obligation for declaring shall be provided with the regulation
for implementation of the law.
(9) Identification of para 1 shall not be implemented and declaration
of para 7 shall not be submitted when the client
is Bulgarian bank, foreign bank, received permission (license) by the
Bulgarian National Bank to implement activity
in the country through a branch, bank from a member country of the European
Union as well as bank from a country,
included in a list, approved with joint order by the Minister of Finance
and the governor of the Bulgarian National
Bank.
(10) In the list of para 9 shall be included countries, which legislation
contains requirements, complying with the
requirements of this law. The list shall be promulgated in State Gazette.
(11) In the cases, when due to the character of the operation or the
transaction its value cannot be determined by the
moment of its implementation, the person of art. 3, para 2 and 3 shall
be obliged to identify the client at the moment
when the value of the operation or the transaction is determined, if
it is over 30 000 levs or the equivalent in foreign
currency, respectively over 10 000 levs or the equivalent in foreign
currency when the payment is implemented I
cash. This case shall not exclude the obligation for identification
at establishing or permanent trade relations.
(12) The persons of art. 3, para 2, item 2 shall identity their clients
at concluding of insurance contract according to
section I of appendix No 1 of art. 6, para 2 of the Law of insurance,
when the gross amount or the periodical
premiums or payments for the insurance contract for one year is 2000
levs or more, or the premium or the payment
for the insurance contract is onetime and is in amount 5000 levs or
more.
(13) The persons of art. 3, para 2 and 3 shall be obliged to identify
their clients also out of the cases o para 1-12,
when doubt occurs for money laundering.
Art. 5. (amend. SG 1/01) (1) If the operation or the
transaction is being implemented with a representative the persons of
art. 3, para 2 and 3 shall be obliged to require proofs for the representation
power, to identify the represented and the payer.
(2) If the operation or the transaction is being implemented in favour
of a third person without authorisation, or
through a third person - bearer of documents for carrying out the operation
or transaction, the persons under art. 3,
para 2 and 3 shall be obliged to identify the third person in whose
favour the operation or transaction has been
carried out, the person who has carried out the operation or transaction
and the bearer.
(3) (new - SG 31/03) Upon doubt that he person, implementing operation
or transaction, does not act in his name
and for his account, the persons of art. 3, para 2 and 3 shall be obliged
to implement the notification of art. 11 and to
undertake appropriate measures for collecting of information for identifying
of the person, in which favour the
operation or the transaction is really accomplished. The measures shall
be determined with the regulation for
implementation of the law.
Art. 6. (1) The identification shall be implemented:
1. (amend., SG 1/01) for corporate bodies - presenting an official excerpt
for the current status of the corresponding
register and if the person is not subject to registration - of a certified
copy of the establishing act and registration of
the name, the headquarters, the address and the representative;
2. for individuals - presenting of official identification document
and registration of its kind, issuer as well as the
name, the address, the unified civil number, and for the individuals
with the quality of sole entrepreneur - also
presenting the documents of item 1.
(2) The persons which according to law are obliged to be tax registered
shall present a copy of the tax registration.
(3) (new, SG 1/01, amend. SG 31/03) A copy of the documents of para
1, items 1 and 2 shall be made unless the
data, contained in them, are reflected accurately in other documents,
compiled by the person of art. 3, para 2 and 3,
and shall be preserved under the conditions of art. 8.
(4) (new, SG 1/01) In the cases when a certain activity is subject to
licensing, permit or registration the persons
carrying out transactions and operations in connection with this activity
shall present a copy of the respective licence,
permit or registration certificate.
(5) (prev. para 3 - SG 1/01, amend. SG 31/03) The persons of art. 3,
para 2, items 1, 2, 3, 4, 5, 6, 7, 10,12, 14, 18, 19
and 20 shall establish a special services which shall:
1. collect, process, preserve and reveal information about the concrete
operations or transactions;
2. collect evidence about the ownership of the possessions subject to
transfer;
3. require data about the origin of the money resources or the valuables
- subject of the operations or the transactions;
the origin of these resources shall be established by a declaration;
4. collect information about their clients and maintain precise and
detailed documentation about their operations with
money resources or valuables;
5. (amend. SG 31/03) at suspicion for money laundering present the collected
information under item 1, 2, 3 and 4 to
the Agency "Bureau for financial intelligence" by the order
of art. 11.
(6) (prev. para 4 - SG 1/01) The persons of art. 3, para 2, items 1,
2, 3, 4, 5, 6, 7, 10, 12, 14, 18, 19 and 20 shall fulfil
personally their obligations when it is not possible to create specialised
service.
(7) (prev. para 5 - SG 1/01, amend. SG 31/03) All persons of art. 3,
para 2 and 3 shall implement their obligations of
this law, regardless of whether they establish a specialised service.
Section II.
Collecting of information
Art. 7. (1) When a suspicion for money laundering occurs
the persons of art. 3, para 2 and 3 shall be obliged to collect information
about the essential elements and amounts of the operation or the transaction,
the corresponding documents and the other identification data. (2) The
collected data shall be possible to be used only for the purposes of
this law.
Section III.
Preservation of the information
Art. 8. (amend., SG 1/01) In the cases of art. 4 to
7 the persons of art. 3, para 2 and 3 shall be obliged for a period
of 5 years the data about the clients and the documents about the implemented
transactions and operations. For the clients the term starts from the
beginning of the calendar year following the year of termination of
the relations, and for the transactions and operations - from the beginning
of the calendar year following the year of their fulfilment.
Art. 9. (amend., SG 1/01, amend. SG 31/03) The data
and the documents of art. 8 shall be conceded to the Agency for financial
intelligence, upon request, in original or officially certified copy.
The order, the terms and the periodicity shall be determined by the
regulations for implementation of the law.
Section IV.
Revealing of information
Art. 10. (amend. SG 31/03) (1) The Agency for financial
intelligence shall be administration at the Minister of Finance, who
shall receive, preserve, investigate, analyse and reveal information,
obtained under the conditions and by the order of this law. (2) The
Agency of para 1 shall be a corporate body with budget maintenance and
headquarters in Sofia.
(3) The structure, the organisation of the activity and the number of
the staff of the agency shall be determined with
structural regulation, adopted by the Council of Ministers.
(4) The Agency for financial intelligence shall be represented and managed
by a director, who is appointed by the
Minister of Finance, in co-ordination with the Prime Minister for a
term of 5 years without restrictions in the number
of the re-appointments.
(5) As director of the agency can be appointed a person, who:
1. has master degree in law or economics and at least 5 years practice
in the respective speciality;
2. has not been convicted with sentence for intentional crime of general
crime;
3. is not sole entrepreneur, unlimited liable partner in a commercial
company, manager or executive member of
commercial company, commercial proxy or procurator;
4. has not been announced in insolvency as sole entrepreneur or unlimited
liable partner in a commercial company;
5. has not been member of management or control body of commercial company,
respectively co-operation,
terminated due to insolvency during the last two years, preceding the
date of appointing, if there are unsatisfied
creditors.
(6) The director of the agency cannot implement other paid activity
except lecturing or scientific activity, or member
of interna6tional organisation in connection with the activity of the
agency.
(7) The circumstances of para 5, items 3, 4 and 5 and of para 6 shall
be established with a declaration.
(8) The director of the agency can be discharged ahead of time by the
Minister of Finance, in co-ordination with the
Prime Minister, before the elapse of the term of para 1:
1. on his written application;
2. at objective impossibility to fulfil his obligations, lasted for
more than 6 months;
3. upon entered in force sentence for intentional crime of general character
or deprivation by judicial order from the
right to exercise the respective position;
4. at grave or systematic breaching of his law or the normative acts
for its implementation.
(9) The Minister of Finance shall determine deputy Minister of Finance,
who exercise the functions of chief
inspector of the financial intelligence, provided in this law or in
other normative act.
(10) The chief inspector of the financial intelligence can at any time
implement check or to assign to an inspector
from the Ministry of Finance the implementing of check of the activity
of the Agency for financial intelligence as
well as to require report from the director of the agency. The director
shall be obliged to present the report within the
term, defined by the chief inspector of the financial intelligence.
(11) The chief inspector of the financial intelligence cannot take decisions
or give instructions on issues, which are
within the competence of the director of the Agency for financial intelligence
or affect directly the implementation of
his functions.
(12) The Minister of Finance shall approve the annual report of the
activity of the Agency for financial intelligence,
which is prepared by the director of the agency.
(13) In the Agency for financial intelligence can be attracted as experts
representative s of the Bulgarian National
Bank, the Ministry of Interior, the Ministry of Justice, of the bodies
of the judicial power and other specialists.
(14) The interaction between the Agency for financial intelligence,
the Bulgarian National Bank, the services for
security and public order, the National investigation service and the
prosecutor's office shall be provided with
instructions by the Minister of Finance and respectively the governor
of the Bulgarian National Bank, the Minister of
Interior, the Minister of Defence, the director of the National intelligence
service, the director of the National
investigation service and the Chief Prosecutor.
(15) The interaction between the Agency for financial intelligence and
the administrative structures at the Minister of
Finance shall be implemented by a order, defined by the Minister of
Finance.
Art. 11. (1) (amend,. SG 1/01, amend. SG 31/03) For
suspicion of money laundering the persons of art. 3, para 2 and 3 shall
be obliged to immediately notify the Agency for financial intelligence
before the implementation of the operation or the transaction, delaying
its fulfilment within the admissible term according to the normative
acts damaging the respective type of activity.
(2) (amend., SG 1/01, amend. SG 31/03) In the cases when the delay of
the operation or transaction is objectively
impossible the person of art. 3, para 2 and 3 shall notify the Agency
for financial intelligence immediately after its
fulfilment.
(3) (new, SG 1/01) The notification of the Agency can also be carried
out be employees of the persons under art. 3,
para 2 and 3 who are not in charge of the implementation of the measures
against money laundering. The Agency
shall keep the anonymity of these employees.
Art. 11a. (new - SG 31/03, in force from January 1,
2004) (1) The persons of art. 3, opara 2 and 3 shall notify the Agency
for financial intelligence about each payment with value over 30 000
levs or the equivalent in foreign currency, implemented by or to their
client.
(2) The Agency for financial intelligence shall keep a register of the
payments of para 1. The register can be used
only for the purposes of counteraction to money laundering.
(3) The order and the terms for presenting information of para 1 shall
be determined with the regulation for
implementation of the Law.
Art. 11b (new - SG 31/03) (1) Agency "Customs"
shall concede to the Agency for financial intelligence information about
the commercial credits for import and export, the financial leasing
between local and foreign persons and the import and export of levs
and foreign currency in cash, collected under the conditions and by
the order of the Currency law. (2) The order for conceding of the information
of para 1 shall be determined by the Minister of Finance.
Art. 11c. (new - SG 31/03) (1) The Agency for financial
intelligence and the services for security and public order shall exchange
classified information, connected with the lawfully established functions,
implemented by them. The decision about the amount of information, which
should be conceded for each concrete case, shall be taken by the director
of the agency, respectively by the director of the service for security
or public order.
(2) The conditions and the order for exchange of information as well
as the techniques for its protection shall be determined in the joint
instructions of art. 10, para 14.
Art. 12. (amend., SG 1/01) (1) (amend. SG 31/03) In
the cases of art. 11, para 1 and 3 the Minister of Finance, upon proposal
of the director Agency for financial intelligence shall be able to stop
with a written order certain operation or transaction for a term of
3 working days from the day following the day of issuance of the order.
If till the expiration of this term no preventive measure, distraint
or prohibition are imposed the person of art. 3, para 2 and 3 shall
be able to implement the operation or the transaction.
(2) (amend. SG 31/03) Agency for financial intelligence shall immediately
inform the prosecution for the stopping of
the operation or transaction by presenting the necessary information,
preserving the anonymity of the person under
art. 3, para 2 and 3, who has made the notification under art. 11 or
18.
(3) The prosecutor can impose a preventive measure or extend a request
before the respective court for imposing a
distraint or prohibition. The court shall rule on the request not later
than 24 hours from its receipt.
(4) (amend, and suppl. SG 31/03) For established data indicating crime
Agency for financial intelligence shall inform
the prosecution, preserving the anonymity of the person under art. 3,
para 2 and 3 who has made the notification
under art. 11 or 18, or the respective services for security and public
order.
Art. 13. (amend., SG 1/01) (1) (amend. SG 31/03) In
the case of notification under art. 11 or 18 Agency for financial intelligence
can require from the persons under art. 3, para 2 and 3, without the
Bulgarian National Bank, the banks and the banks with headquarters abroad,
received permission (license) from the Bulgarian National Bank to implement
activity in the country through a branch, information regarding doubtful
operations, transactions or clients. The requested information shall
be submitted within a period determined by the Agency.
(2) (amend. SG 31 /03) In case of a written notification under art.
11 or 18 by a person under art. 3, para 2, item 1, 2,
5 and 23 and in case of request under art. 22 Agency for financial intelligence
can request from the Bulgarian
National Bank, from the banks and the banks with headquarters abroad,
received permission (license) from the
Bulgarian National Bank to implement activity in the country through
a branch, information regarding doubtful
operations, transactions or clients. The requested information shall
be submitted within the period determined by the
agency.
(3) (amend. SG 31/03) Agency for financial intelligence can request
from the state and municipal bodies information
under the conditions of para 1 which cannot be refused to it. The requested
information shall be submitted within the
period determined by the agency.
(4) When determining the period under para 1 - 3 the agency shall consider
the volume and the contents of the
requested information.
(5) (amend. SG 31/03) For the needs of the analysis Agency for financial
intelligence shall receive from the
Bulgarian National Bank information collected under the Currency Law.
(6) (amend. SG 31/03) Agency for financial intelligence shall have the
right to a gratuitous access to the information
registers created and maintained by budget resources.
(7) The submitting of information under para 1 - 6 cannot be refused
or restricted for considerations of official, bank or trade secret.
Art. 14. (amend., SG 1/01, suppl. SG 31/03) The persons
of art. 3, para 2 and 3, the persons, who manage and represent them
as well as their employees shall not be able to notify their client
or third persons about the revealing of information in the cases of
art. 9, 11, 1 la, 13, 17 and 18.
Art. 15. (suppl., SG 1/01, suppl. SG 31/03) The revealing
of information in the cases of art. 9, 11, lla, 13, 17 and 18 shall
not create responsibility for breaching other laws or contract.
Section V.
Protection of the information (new — SG 1/01)
Art. 15a. (new - SG 1/01) (1) (amend, and suppl. SG
31/03) Agency for financial intelligence can use the information constituting
official, bank or trade secret, as well as the protected personal information
obtained under the conditions and by the order of art. 9, 11, 1 la,
13, 17 and 18 only for the purposes of this law.
(2) (amend. SG 31/03) The employees of Agency for financial intelligence,
the chief inspector of the financial
intelligence, the inspectors, to whom is assigned check of art. 10,
para 10, and the experts under art. 10, para 13
cannot import, use for personal or related persons' benefit information
and facts constituting official, bank or trade
secret having become known to them in fulfilment of their official duties.
(3) (amend. SG 31/03) The employees of the agency, the chief inspector
of the financial intelligence, the inspectors,
to whom is assigned check under art. 10, para 10, as well as the experts
under art. 10, para 13 shall sign declaration
for preserving the secret under para 2.
(4) (amend. SG 31/03) The provision of para 2 shall also regard the
cases when the appointed persons are not on duty
or the fulfilment of the task for which they have been drawn in under
art. 10, para 13 was concluded.
Chapter three.
INTERNAL ORGANISATION AND CONTROL
Art. 16. (1) (amend., SG 1/01, amend. SG 31/03) The
persons of art. 3, para 2 and 3 shall in 4 months term after their registration
shall approve internal rules for control and prevention of money laundering
which shall be approved by director of the Agency for financial intelligence.
(2) The internal rules of para 1 shall ascertain clear criteria for
detection of suspicious operations or transactions and
clients, the order for training of the staff and the use of the technical
means for prevention and revealing of money
laundering.
(3) (new, SG 1/01, amend. SG 31/03) The internal rules under para 1
shall be sent to the director of Agency for
financial intelligence for approval within 14 days from their adoption.
(4) (new - SG 31/03) The professional organisations and associations
of the persons of art. 3, para 2 and 3, in co
ordination with the Agency for financial intelligence, can approve unified
internal rules for control and prevention of
money laundering, to which the members of these organisations and associations
can join in the term of para 1 with a
declaration. The unified internal rules and the declarations shall be
sent to the Agency for financial intelligence in the
term of para 3.
Art. 17. (1) (prev. art. 17 - amend., SG 1/01, amend.
SG 31/03) The control over the implementation of the law shall be exercised
by the Minister of Finance and the director of Agency for financial
intelligence.
(2) (new, SG 1/01, amend. SG 31/03) The control bodies of Agency for
financial intelligence shall carry out
inspections on the spot of the persons under art. 3, para 2 and 3 for
applying the measures for prevention and
detecting the money laundering, as well as in cases of doubting money
laundering.
(3) (new, SG 1/01, amend. SG 31/03) Control bodies of Agency for financial
intelligence shall be the officials of its
personnel appointed by the director of the agency.
(4) (new, SG 1/01) The inspections under para 1 can be carried out jointly
with the bodies to whom a special law
assigns the control over the persons under art. 3, para 2 and 3.
(5) (new, SG 1/01, amend. SG 31/03) The inspections shall be carried
out on the grounds of a written order of the
Minister of Finance or of the director of Agency for financial intelligence,
stating the purpose, the term and the place
of the inspection, the inspected person, as well as the name and the
occupation of the inspecting persons.
(6) (new, SG 1/01, amend. SG 31/03) The persons under art. 3, para 2
and 3, the state bodies, the bodies of the local
independent government and their employees shall be obliged to render
assistance to the control bodies of Agency
for financial intelligence in fulfilment of their functions.
(7) (new, SG 1/01) In carrying out the inspections on the spot the control
bodies under para 3 shall have the right to a
free access to the official premises of the persons under art. 3, para
2 and 3, as well as to require documents and
collect information related to the fulfilment of the assigned task.
Art. 17a. (new, SG 1/01) (1) (amend. SG 31/03) The
Minister of Finance, upon proposal of the director of Agency for financial
intelligence, shall appoint the employees entitled to an extra payment
for work in the system of the financial intelligence, as well as its
individual amount for every employee.
(2) (amend. SG 31/03) The resources under para 1 shall be determined
in amount of 25 percent of the annual amount
for salaries of the budget of the Agency for financial intelligence
for the respective year and shall be included in the
Law for the state budget for the same year.
(3) (amend. SG 31/03) Resources amounting to 30 percent, raised from
imposed sanctions under this law, shall be
received as revenue to the budget of Agency for financial intelligence
and shall be used for capital investments for
improvement of the material base, for training and for participation
in international events.
(4) The order of calculating and spending the resources under para 3
shall be determined by an ordinance of the
Minister of Finance.
(5) The employees of the agency shall obligatorily be insured for accident
and for "Life".
Art. 18. (1) (prev. art. 18 - SG 1/01, amend. SG 31/03)
When the persons of art. 3, para 2 and 3 establish data about money
laundering they shall immediately notify the Agency for financial intelligence.
(2) (new, SG 1/01, amend. SG 31/03) Agency for financial intelligence
can receive data for money laundering from both the subjects under para
1 and from state bodies or through international exchange.
Art. 19. When a person of art. 3, para 2 and 3 does
not fulfil his obligations under this law the Minister of Finance shall
be able to:
1. oblige him to undertake concrete measures necessary for removing
the breaches;
2. take away the issued permission if he has issued it or to require
this from the body that has issued the permission
for exercising the corresponding activity.
Art. 20. The acts of art. 19, item 2, shall be possible
to be appealed against by the order of the Law for the Supreme Administrative
Court.
Chapter four.
INTERNATIONAL COOPERATION
Art. 21. (amend., SG 1/01) (1) (amend. SG 31/03) Agency
for financial intelligence, through the bodies of the
judiciary authority and the Ministry of Justice notify the interested
bodies abroad about the received data about the
initial crimes and the crimes of money laundering connected with them
about which the Bulgarian Penal Code is not
implemented.
(2) (amend. SG 31/03) In the cases when, in the process of a procedural
or court procedure data are received
regarding initial crime related to money laundering and the Ministry
of Justice informs the competent bodies abroad,
a copy of the notification shall be sent for reference to Agency for
financial intelligence.
Art. 22. (1) (amend., SG 1/01, prev. art. 22, amend.
SG 31/03) Agency for financial intelligence, upon its initiative
and upon requirement shall exchange information on cases related to
a doubt about money laundering with the
respective international bodies and with bodies of other countries on
the grounds of international agreements and
mutuality.
(2) (new - SG 31/03) The director of the agency shall conclude, change
and terminate international agreements about
the exchange of information on cases, connected with doubt for money
laundering, under the conditions and by the
order of the Law of the international agreements of the Republic of
Bulgaria.
Chapter five.
ADMINISTRATIVE PUNITIVE PROVISIONS
Art. 23. (1) (amend., SG 1/01, suppl. SG 31/03) Who
commits or admits to be committed a breach of art. 4, 5, 6, 7, 8, 9,
13 and 15a, art. 17, para 6 and 7 or refuses to render co-operation,
to concede documents or data or to ensure access under art. 17, para
7, shall be punished with a fine from 500 to 10 000 Iv if the act does
not constitute crime.
(2) (suppl. SG 31/03) Who commits or admits the committing of a breach
of art. 11, 1 la, 14 and 18 shall be punished
with a fine from 5 000 to 20 000 Iv except the act does not constitute
a crime.
(3) (suppl., SG 1/01) Who commits or admits a breach of art. 16 shall
be punished with a fine from 200 to 2 000 Iv
except the act does not constitute a crime.
(4) When the breach of para 1, 2 and 3 has been committed by a corporate
body to it shall be imposed proprietary
sanction from 2 000 to 50 000 Iv.
Art. 24. (1) (amend., SG 1/01, amend. SG 31/03) The
acts for establishing of the breach shall be compiled by the
control bodies of the Agency for financial intelligence and the punitive
decisions shall be issued by the Minister of
Finance.
(2) The compiling of the acts, the issuing, appealing against and the
implementation of the punitive decisions shall be
implemented by the order of the Law for the administrative breaches
and penalties.
Additional provisions
§ 1. In the sense of this law:
1. "Possessions acquired with crime" in the sense of art.
1 and 2 are the possessions ensuing from the commitment
of a crime.
2. "Possessions acquired on the occasion of a crime" in the
sense of art. 1 and 2 are the possessions received in order
to be committed or because of which have been committed a crime.
3. "Initial crime" is any crime the benefits of which are
subject to money laundering.
4. (new - SG 31/03) "Services for security" are the National
intelligence service, National service "Security" -
Ministry of Interior, directorate "Protection of the means for
communication" - Ministry of interior, and service
"Security - military police and military counterintelligence"
- Ministry of Defence.
5. (new - SG 31/03) "Services for public order" are National
service "Police" - Ministry of Interior, National service
"Fight with organised crime" — Ministry of Interior,
and National service "Border police" — Ministry of Interior.
6. (new - SG 31/03) "Body for supervision" is a state body,
authorised with a law or other normative act to exercise
general control over the activity of a person under art. 3, para 2 and
3.
Transitional and concluding provisions
§ 2. This law shall repeal the Law for the measures
against money laundering (SG 48/96).
§ 3. (amend. SG 31/03) In three months term after
the law enters into force the persons of art. 3, para 2 and 3 shall
be obliged to submit to the Agency for financial intelligence the available
information about money laundering.
§ 4. In five months after the law enters into
force the persons of art. 3, para 2, items 1, 2, 3, 4, 5, 9, 11, 13
and 18 shall be obliged to bring their organisation and activity in
compliance with the requirements of this law and to present their internal
rules of art. 16 to the Minister of Finance.
§ 5. In art. 10 of the Law for administrative
breaches and penalties (prom. SG 92/69, amend. SG 54/78, SG 28/82, SG
28, 101/83, SG 89/86, SG 24/87, SG 94/90, SG 105/91, SG 59/92, SG 102/95,
SG 12, 110/96, SG 11, 15, 59/98) after the words "the concealers"
shall be put a comma and shall be added "as well as the admitters".
§ 6. The implementation of the law is assigned
to the Council of Ministers which shall approve a regulation for its
implementation in two months term after the law enters into force.
The law is passed by the 38th National Assembly on July 9, 1998 and
is affixed with the official seal of the National Assembly.
Transitional and concluding provisions (SG31/03)
§ 20. (1) The persons of art. 3, para 2 and 3,
for whom the obligation to apply measures against money laundering has
occurred before the passing of this law, shall bring their internal
rules of art. 16 in compliance with the requirements of this law and
send them to the Agency for financial intelligence in 4 months term
after this law enters into force.
(2) The persons of art. 3, para 2 and 3, for whom the obligation to
apply measures against money laundering occurred by force of this law,
shall approve and send to the Agency for financial intelligence the
internal rules of art. 16 in the term of para 1.
§ 28. (1) (amend. SG 31/03) The assets, the liabilities,
the archive as well as the other rights and obligations of Agency "Bureau
for financial intelligence" shall be undertaken by the Agency for
financial intelligence. (2) The existing employment and official legal
relations shall not be terminated, applying respectively art. 123 of
the Labour Code.
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