New Reporting Obligations

The Swiss parliament passed into law last December the Act on the implementation of the Financial Action Task Force's Recommendations (FATF Implementation Act). The Act aims to align Swiss law with international standards against money laundering and the financing of terrorism. In a nutshell, this legislation introduces several important changes, including characterising tax fraud as a new predicate offence, an expanded definition of PEPs (politically exposed persons) including Swiss politicians, leaders and officials of international and sports organisations (such as FIFA, the International Olympic Committee, or the International Cycling Union) and an expanded obligation for financial intermediaries to identify the beneficial owners of their customers by looking at operational companies and not only private investment vehicles.