SARAJEVO, September 24 (FENA) – Participants in the roundtable discussion “Aligning with European Standards: Comparison of Regulatory Approaches in Bosnia and Herzegovina and the Czech Republic in the Fight Against Money Laundering,” organized by Transparency International in Bosnia and Herzegovina (TIBiH), highlighted the importance of introducing a public register of beneficial owners of companies and analyzing politically exposed persons.

Comparative analyses of laws were presented in collaboration with partners from TI Czech Republic, aiming to identify similarities and differences in the legal frameworks of both countries.

The goal of the roundtable, as stated by TIBiH manager Emsad Dizdarević, is to initiate further debate on the Law on Preventing Money Laundering and Financing of Terrorist Activities, which was adopted this year.

”We found two main shortcomings in our law: the register of beneficial owners and provisions related to politically exposed persons, which are set very broadly, and their implementation could be quite ‘varied’.” said Dizdarević.

He explained that the register of beneficial owners is very poorly defined by law and represents a key prerequisite for effectively combating corruption, organized crime, and terrorism financing.

Therefore, Dizdarević added, they are discussing with experts in the fields of law, finance, and economics, as well as representatives from relevant institutions and non-governmental organizations, to jointly consider current issues and ”see in which direction the current situation needs to develop and how we can improve the state of affairs.”

TI Czech Republic representative Marek Chromy stated that in the Czech Republic, the register of beneficial owners of companies is established under the Ministry of Justice and is open to the public.

”This is especially important for companies with complex ownership structures, where one company owns another. It requires tracing the origins to identify the actual owner of the company. Business registers in the Czech Republic provide a good insight that can be investigated by civil society and journalists. This helps prevent money laundering,” he said.

To be part of the EU, Chromy reminded that the law must be aligned to some extent with EU legislation, as entry is impossible if minimum conditions and criteria are not met.

”While a lot has been done in Bosnia and Herzegovina, it is crucial to have a register of beneficial owners of companies because we have 70 percent of illegal activities involving organized crime that are linked to legitimate businesses and entities. Another very important aspect is the analysis of politically exposed persons,” Chromy emphasized.

Thus, today’s analysis and comparison cover key aspects of the legal system, with a particular focus on the practical application of the law.