On 1 July 2020, amendments to the Law on the Prevention of Money Laundering and Terrorism and Proliferation Financing ('the Law') will enter into force, which provides for special arrangements for the exchange of information between public authorities and entities such as outsourcing accountants, lawyers, insolvency administrators, banks, etc.

In order to establish a common approach to the conduct of the Law's entities, as well as the Supervisory and Control Authorities (UKI), where it is established that the information recorded in the registers carried by the Register regarding the true beneficiaries (PLG) is likely to be false, the Register has developed a methodology:

Clerical and other errors that do not change information on THE substance of THE PLG must be reported permanently to the Register

Information on clerical errors detected in the registers carried by the Register may be submitted to the register both at the present time and in the future. Such errors shall be corrected in accordance with the procedures specified in the Law On the Enterprise Register of the Republic of Latvia. An application may be informed of errors by signing it with a secure e-signature and sending it to an e-mail pasts@ur.gov.lv or by using an e-service Application to the Authority at www.latvija.lv.

The subjects of the Law and THE UKI shall inform the Register of the found non-compliance by sending the information to the e-mail address kludas@ur.gov.lv.

(!) No error should be reported if:

1. Transcription or clerical errors in personal data:
   1. Transcription of personal data from a foreign language, p ieram, Jakrin and Y akrin.
   2. Rendition of the name of the institution which issued the personally identifiable document. For example, the identity document was issued by the services of the Russian Federation, but the register registers the name of the institution, FMC or ФMC, or the Federal Migration Service, or its most recent name.
2. Transliteration errors or clerical errors in foreign entity data :
   1. The name of the foreign entity was reproduced using the national alphabet (Slavic/Arabic, etc.), but the register registered a foreign entity using the Latin alphabet, Руссиан Воод registered as Russian Vood.
   2. Identifying information of a foreign entity The register is registered by replacing individual letters in Latin letters. For example, the legal address of a foreign entity is Germany, Alsleben, Bernburger Straβe, the letter 'β' is replaced by the letters 'ss' or the address is reproduced in Latvian.
3. Differences in the data of personally identifiable documents - for example, an ID card is registered in the Register for information on THE PLG as a personal identification document, but the subject of the law has personal passport data at his or her disposal.
4. Differences in information on the nationality of a person — , for example, a natural person has a double nationality, but only one nationality is registered in the Register.

    

   (!) The Register draws attention to the fact that, in accordance with paragraph 41 of the Transitional Provisions of the Act, if a legal person had not submitted a separate application for PLG registration by 1 July 2019, as well as if the information regarding its PLG had been submitted within the scope of other statutory duties and the way in which the control of the legal person was exercised was derived, respectively, only from the member of the SIA, the status of a member of the partnership, individual company or farm owner or member of the foundation's board of directors was deemed to have been notified BY the legal person TO ITS PLG, and the Register, without taking a separate decision, registered THOSE persons AS PLG in the relevant registers.

   If, as a result of THE automatic registration OF THE PLG (records made during the period 05.07.2019. – 31.7.2019.), information on the nationality/country of residence of a foreign natural person [1] differs from the actual situation, the legal person must apply to the Register for changes in the information concerning THE PLG.

   Given that the Register has registered the information on the basis of the Law, the Register may not rectify the relevant information on its own initiative. Registration of relevant information (including automatic registration) is the responsibility of the legal person.

5. Differences in personal identifiable data – for example, a foreign natural person has completed a maintenance permit granted in the Republic of Latvia, resulting in a non-active personal code (no personal code), but a personal identity number is registered in the Register for individual statuses (Board/Member/PLG).

   In this case, the legal person shall apply to the Register for changes to the information on personal data.

6. Differences in the data of persons exercising control in the legal person — , for example, the entity through which THE PLG exercises control in the legal person, has changed its name and registered office or, for example, it has been liquidated/reorganised.

   In this case, the legal person shall apply to the Register for changes to the information concerning THE PLG or, if necessary, the membership.

Information on reports of possibly false reporting is not available to all

The new arrangement provides that the Register will provide the State Police with information on cases in which potentially false information has been identified by the subjects of the Law, as well as BY THE UKI. These persons will have access to a separate section on the Register information website for https://info.ur.gov.lv reporting on the relevant cases, since it is essential for the Register to distinguish between who the rapporteur is.

[1] in accordance with Paragraph 42 of the Transitional Provisions of the Law on the Prevention of Money Laundering and Terrorism and Proliferation Financing - the Enterprise Register of the Republic of Latvia shall register the information regarding the nationality of THE PLG and the country of residence as follows:

1) if the person has a personal identity number, how THE nationality of THE PLG and the country of residence are registered in Latvia;

2) if a person does not have a personal identity number, the country which issued the personal identification document shall be registered as the nationality of the true beneficiary and the country of residence.