On 29 August 2019, the CSSF issued a communication on the relevance of money
laundering and terrorist financing
("AML/CTF") risks in prudential
supervision in addition to AML/CTF supervision. The CSSF addresses
this communication to credit institutions, CRR1
investment firms, payment and e-money institutions, Luxembourg
branches of regulated entities having their head office in the EEA
or in a third country, and the other professionals of the financial
sector ("Supervised Entities").
With regard to its supervisory procedures, the CSSF will
consider, in particular, concerns about the AML/CTF in the areas of
authorisation, ongoing and prudential supervision, including any
administrative measures to be undertaken (e.g. imposition of
sanctions). The assessment made by the CSSF includes, among other
things, the acquisition of qualifying holdings, the evaluation of
the risk management systems and controls implemented by the
Supervised Entities, and the suitability of the
