An important update was recently announced on the 17th of January 2021 by the Department of the Registrar of Companies and Intellectual Property of the Ministry of Energy, Commerce and Industry of Cyprus (the "Registrar of Companies"), extending the deadline for submission of the details and information of beneficial owners to the Register of Beneficial Owners.
New Submission Deadline
The updating of the Register of Beneficial Owners on the upgraded digital platform, has been extended to the 31st of March 2024.
Penalties involved
Following the expiration of the deadline, penalties will apply for non-compliant companies and other legal entities according to the provisions of the Prevention and Suppression of Money Laundering and Terrorist Financing Law 188(I)2007, enacted by the House of Representatives on 23rd of February 2021.
More specifically, as from the 01st of April 2024, a fine of Two Hundred Euros (€ 200) and a further fine of One Hundred Euros (€ 100) for each day of non-compliance with a maximum charge of twenty thousand Euros (€20,000) will be applied. Additionally, criminal liability or prosecution of any person might also arise in the case of non-compliance with the abovementioned obligation.
The officers of a corporate and/or other legal entity will not be subject to any penalty if they had acted with due diligence in complying with the provisions of the Prevention and Suppression of Money Laundering Activities Law 188(I)/2007 (as amended) and of the Anti-Money Laundering Directive 2018/843 and provided that failure to comply with the aforementioned obligation was not due to inaction, omission or negligence on their part.
Refund on any previous penalties imposed and paid
Additionally, with respect to the initial deadline for the submission of the Register of Beneficial Owners, namely the 31st of December 2023, the Registrar of Companies announced on the 08th of February 2024, that any penalties imposed and paid for the period from 01/01/2024 until 16/01/2024 for late submission, have been fully refunded.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
