Supervision
Fight against money laundering: New EU authority starts in Frankfurt
Frankfurt becomes Europe’s center in combating money laundering. The EU is launching an authority against billions of dark channels. Germany is considered to be money laundering paradise.
Crime, corruption, undeclared work: billions of billions from illegal sources in Europe are encouraged to the regular economy annually. Now a new EU authority in Frankfurt is supposed to combat money laundering more effectively. In addition, the European Union has created a new instance – the “Anti -Money Laundering Authority” (AMLA). Now she takes up her work.
The task of the AMLA is to directly supervise around 40 cross-border banks with high money laundering risks, including providers of crypto values. In addition, the EU authority based in the Frankfurt Messeturm with more than 400 employees should coordinate and support the national supervisory authorities.
“We currently have 27 different systems all over Europe with which money laundering is to be combated,” said Amla boss Bruna Szego in an interview with “Tagesschau.de”. The system must become uniform. “There must be no gaps that can use criminals.” The AMLA will help to reduce serious crimes such as organized crime, drug or human trafficking and terrorism.
Germany screamed as money laundering paradise
When applying for the seat of the Amla, Frankfurt was awarded the contract in February 2024 and prevailed against the competitors Rome, Vienna, Dublin, Madrid, Brussels and Paris.
Germany has a bad reputation on the matter: the Federal Republic is considered a paradise for money laundering – also because there is traditionally paying cash in this country.
According to a study by the Nasdaq subsidiary Verafin, around $ 750 billion (currently around 635.6 euros) of illegal funds was closed by the European financial system in 2023. In Germany alone, almost $ 130 billion or almost a fifth of money laundering activities (17 percent).
The Federal Republic of the Federal Republic in Europe is ahead of Great Britain and France, analyzed the company, which specializes in technology for fraud recognition and money laundering control.
Enrichment for financialplace
The new EU authority is a prominent access for banking space Frankfurt, which plays a leading role in Europe anyway in terms of financial supervision. Hesse’s Prime Minister Boris Rhein (CDU) sees the start of the AMLA the financial center for another important player.
“From now on, the important fight against money laundering is being run from Frankfurt across Europe,” said Rhein of the German Press Agency. Hesse’s state government has set itself the clear goal of strengthening the financial center and becoming undisputedly number one with Frankfurt. “In this way, the settlement of the AMLA is another important component.”
dpa
Source: Stern
