Financial Regulatory Developments (FReD) - 2 August 2013

European Commission (Commission)

Data Protection WP warns on MLD4 risks to privacy: The Article 29 Data Protection Working Party (Data Protection WP) has published a letter it wrote in April to the European Parliament expressing its concerns over the impact on privacy and data protection of certain aspects of the fourth Money Laundering Directive (MLD4). The Data Protection WP recommends that the EU should specify more clearly:

• that the ban on tipping off extends only to suspicious transaction reports or investigations being carried out, and that Member States cannot gold-plate this provision to include information gathered in Know Your Customer or Customer Due Diligence (CDD) profiling operations;