Recently the new legal framework contains measures that will modify how these current problems will be treated, namely in the field of fight against corruption and money laundering.
Law no. 5/20 applies particularly to financial and non-financial entities, accountants, lawyers, law firm partners and auditors acting (including intermediation) in representation of its Clients in transactions that involve real estate’s acquisition/sale, incorporation of companies and bank accounts’ opening, management or movement.
To achieve its purposes, the new regulation establishes duties such as:
- Risk Evaluation;
- Identification (Client, money’s provenience and destination);
- Diligence;
- Refusal (in foreseen cases, entities must refuse to open accounts or perform a transaction);
- Communication (when suspects that is being practiced or was practiced any money laundering crime, must inform immediately Financial Information Unity);
- Control;
- Conservation (entities must preserve documentation, registry and communications of all transactions in which they participated, for ten years).
Incorporation of shell banks (banks that do not have any physical presence in Angola neither are connected to any financial group), is expressly prohibited. Also, capitals’ movement in Commercial Banks exceeding USD 1.000 must be reported.
PEP (Politically Exposed People), that comprehend public positions’ holders and their parents up to third degree, are now submitted to a reinforced scrutiny.
Law no. 5/20’s violation triggers transgressional and criminal liability:
- In transgressional field, may be applied fines superior to, in some cases, KZ 4.000.000.000,00 (around USD 8.000.000,00), and negligence is always sanctioned;
- In criminal field, money laundering crime has now a penal framework of prison sentence, between 2 and 8 years. Legal persons can have a sentence stipulated between 100 and 1.000 days penalty, with a daily value between KZ 45.000,00 and KZ 4.500.000.000,00 (around USD 9.100.000,00).
