The approval of a political agreement on the introduction of a European Anti-Money Laundering Authority.

The continuous battle of the European Commission against money laundering and terrorist financing within the EU has been widely known over the past years. In fact, back in May 2020, an Action Plan had been set in place for the proper implementation of the AML/CTF framework, by reinforcing the legal framework and by proposing back in July 2021 the introduction of a new authority for the assistance and supervision of Member States in such procedures.

 

On December 13th of 2023, the Commission approved the provisional agreement which was reach between the European Council and the European Parliament regarding the Commissions’ initial proposal for the establishment of an EU anti-money laundering and countering terrorism financing Authority, hereinafter referred to as AML/CFT in the form of a decentralized EU regulatory agency, hereinafter referred to as AMLA. The newly introduced authority shall coordinate and regulate the cooperation among Financial Intelligence Units (FIUs) and control the lawful and proper application of the EU rules. AMLA shall provide direct supervision over the national financial entities and assistance to FIUs for the enhancement of their analytical capacity in terms of illicit flows, prioritizing financial intelligence and cooperation among Member States, In terms of reporting and exchange of information, as well as joint operational analyses and the hosting of the central online system within the EU.

 

The AMLA legislative packaged proposed by the European Commission also contains a draft of a new Regulation on the functioning of the AML/CFT, as well as a new AML/CFT Directive, which are to this date under discussion. The procedure is expected to be finalized and AMLA to be formally established, once the agreement is officially adopted by the European Council and the European Parliament and its’ members. In addition, the domicile of the AMLA is still under discussions.

 

The present article is for informational purposes only and does not, under any circumstances, constitute legal advice. For further information on the subject, please contact our law firm and one of our attorneys shall be glad to assist you.

 

Nika Kalifatidou

Advocate – Legal Consultant

Managing Partner

T.K. & Associates Law Firm

 

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ETIAS: The new European Travel Information and Authorisation System Explained.

On September 12th of 2018, The European Parliament along with the European Council established a European Travel Information and Authorisation System, hereinafter referred to as ETIAS, by introducing Regulation (EU) 2018/1240 as well as Regulation (EU) 2018/1241 amending Regulation (EU) 2016/794 for the purpose of establishing ETIAS. Such measures were taken in order to provide a stronger security control at the boarders and ensure safety within the Schengen Area, by reducing the possibility of potential threats.

First and foremost, it is important to understand what ETIAS really is; it consists of an automated IT system designed to identify potential security and/or migratory risks deriving from Non-EU visa-exempt travelers to the Schengen area. The ETIAS travel authorisation constitutes an entry requirement for such travelers and is linked to their passport, with a validity for up to three (3) years or until the expiration date of the passport in use. ETIAS grants but does not guarantee multiple entries to thirty (30) European countries, for short-term stays which cannot exceed the timeframe of ninety (90) days within a period of a hundred and eighty (180) days. The entry is not guaranteed as upon approaching the border, officers shall review the traveler’s passport and other documents for the verification of entry conditions. In the event a request for entry is refused, the individual concern is entitled to appeal.

The countries which shall require the ETIAS travel authorisation are the EU Schengen Member States, Member States of the European Free Trade Association (EFTA), European Microstates with Open Borders and Future Schengen Member States.

The objectives of the introduction of this European Travel Authorisation are the following:

  • Effective management of border controls;
  • Increased security;
  • Prevention of illegal immigration;
  • Protection of public health;
  • Prevention, detention and investigation of terrorist offences and/or other serious crimes;
  • Improvement of the Schengen Information System.

While ETIAS aims to enhance security within the Schengen Area and prevent potential migratory threats, the new travel authorisation has been created in such way that it can operate all necessary controls while safeguarding all fundamental rights and data privacy in compliance with the GDPR regulations. The IT system is being developed by the European Union Agency for the Operational Management of Large-Scale IT Systems in the Area of Freedom, Security and Justice and it is expected to be launched in 2025.

 

The present article is for informational purposes only and does not, under any circumstances, constitute legal advice. For further information on the subject, please contact our law firm and one of our attorneys shall be glad to assist you.

 

Nika Kalifatidou

Advocate – Legal Consultant

Managing Partner

T.K. & Associations Law Firm

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The importance of consent in the scope of personal data protection.

In times when the term “personal data” has been widespread both in the media, as well as the corporate world, perhaps it might be a brilliant opportunity to remember what it actually means in legal terms, and why is it so important. Pursuant to the Charter of Fundamental Rights of the European Union in its’ article 8(1) and the Treaty on the Functioning of the European Union (TFEU) in its’ article 16(1), personal data protection of all physical persons, regardless of their nationality or residence, is a fundamental right. Therefore, the General Data Protection Regulation of the EU, Regulation (EU) 2016/679,   aims to protects such rights, securing justice, safety and the well-being of all individuals. While the protection of personal data is a fundamental right, it does not constitute an absolute right, as it must be balanced against other fundamental rights as well as its’ function within the society, in line with the principle of proportionality. Due to the acceleration in technological advances and globalization, the collection and sharing of such sensitive information has increased, requiring as a result stronger legal protection of this fundamental right, where individuals can have control over their personal data, by giving their “consent” whenever appropriate for such processing.

According to the definitions, as explicitly laid out in paragraph 11 of article 4 of Regulation (EU) 2016/679 of the European Parliament and of the Council, as published in the Official Journal of the European Union on April 27th of 2016, consent is defined as “any freely given, specific, informed and unambiguous indication of the data subject’s wishes by which he or she, by a statement or by a clear affirmative action, signifies agreement to the processing of personal data relating to him or her”.  Moreover, for the consent to be considered to be valid, in accordance to article 4 and article 7, the following prerequisites must be fulfilled:

  1. The consent must be given freely; the subject must be able to refuse or withdraw his/her consent without the risk of being at disadvantage;
  2. The consent must be informed;
  • The consent must be given for a specific purpose;
  1. All reasons for processing must be clearly stated;
  2. The consent must be explicit and given via a positive act;
  3. The language used must be clear and plain and clearly visible;
  • The subject must be able to withdraw his/her consent at any time and such fact must be explained.

Moreover, where consent is given for processing, it must only be processed for the purposes for which it was given and for no other purpose.  Therefore, it is so important for the consent to be informed prior to be given, as the subject must be able to have knowledge of the following information:

  • The identity of the data processor and/or controller;
  • The purposes of the data processing;
  • The type of data to be processed;
  • The choice of consent withdrawal;
  • Where necessary, it must be stated that the processed data shall be used only for automated-based decision-making, including profiling of the subject;
  • In case of international transfers of data, the possible risks of data transfers to third countries outside the EU must be stated.

Another interesting question is, what happens with data processing related to minors? Who must give the consent in order for it to be valid and lawful? The answer is explicitly stated in article 8 of the Regulation, where the conditions applicable to such consent are thoroughly explained.

In the event that the offer of information is directed to the child, the processing of personal data of the underage subject shall only be considered as lawful if the minor is at least 16 years old. Otherwise, consent must be given or authorized by the holder of parental responsibility of the minor in question. Certain EU Member States may allow by national legislations such direct consent by the minor to be given at a lower age than 16 years old, however it can never be below the age of 13 years old.

Furthermore, the data controller must make reasonable efforts to verify if the consent is indeed given or authorized by the holder of parental responsibility over the minor, with the use of technology.

In conclusion, consent is a very important element not only in data processing, but also in Contract Law and Law in general. Therefore, it is highly recommended to read thoroughly and evaluate legal documents, including consent forms, prior to signing anything or clicking on a digital button, and ask for legal advice, where necessary.

 

The present article is for informational purposes only and does not, under any circumstances, constitute legal advice. For further information on the subject, please contact our law firm and one of our attorneys shall be glad to assist you.

 

Nika Kalifatidou

Advocate – Legal Consultant

Managing Partner

T.K. & Associations Law Firm

 

 

 

 

 

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MiCA: a highly anticipated new era in Crypto-Assets

Back in September of 2020, the European Commission had presented a proposal for a Regulation on Markets in Crypto-Assets, otherwise referred to as MiCA, in addition to an amendment to the Directive (EU) 2019/1937. The foundations of such initiative find their source in Article 114 of the Treaty on the Functioning of the European Union (TFEU), according to which the EU is competent in suggesting provisions for the legal approximation of its’ Member States, as well as in Article 26 of the same text, which establishes the functioning of the internal market. While in March of 2019, the EU Commission, in an effort to promote a “more competitive and innovative European financial sector”, suggested the FinTech Action Plan, which would prepare the EU for the new digital era, by supporting innovation and competition in terms of digital finance, while offering investors significant protection from potential risks.

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Post-trade transparency according to the EU legislation

The European Markets Infrastructure Regulation (EMIR) (EU) No. 648/2012 on OTC entered in vigor on August 16th of 2012 is an EU Regulation on OTC derivatives, central counterparts and trade repositories which has been adopted for the optimization of transparency in derivative markets. The Regulation was inspired by the G20 commitments as agreed upon in Pittsburgh back in September of 2009.

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Golden Visa Greece: Last call for the 250.000!

Golden Visa Greece

Following the amendments suggested by the Hellenic Government earlier in September and approved this week by the Ministry of Development and Investments, the minimum amount of investment has been doubled  in the most popular and expensive areas of the Hellenic Republic.

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The Greek Residency Program: Why invest into the Hellenic Republic

Over the past few years Greece has become an attractive pole for investors due to the countrys’ unique location, history, climate and natural resources. Situated at the crossroad of three continents, Greece is a major business center, particularly within the shipping and tourism sectors, while it is considered to be the number 1 holiday destination. Most investors choose the Hellenic Republic for their permanent residency for the entire family, in order to live, travel, study or just have a secondary home in the EU.

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The Double Tax Treaty between the UK and Spain and its’ post-Brexit effects

TK LAW

A Double Tax Treaty (DTT) is a bilateral agreement between two countries which has as its’ main purpose the avoidance of double taxation on the same benefit and/or profits. Although DTTs are part of the International Public Law, as they govern the relations between two countries, they affect directly the physical persons who are either holders of a double citizenship or reside in one country  and/or produce income in the other country. More concretely, this type of agreements are designed for the protection of both governments’ taxation rights, in terms of the avoidance of tax evasion, as well as the citizens’ rights, as physical persons and private legal entities are secured before the potential risk of double taxation on the same taxable income.

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