{"id":1158,"date":"2024-12-16T10:45:40","date_gmt":"2024-12-16T10:45:40","guid":{"rendered":"https:\/\/www.gsl.lu\/?p=1158"},"modified":"2024-12-16T10:58:18","modified_gmt":"2024-12-16T10:58:18","slug":"register-of-beneficial-owners-rbe-why-staying-compliant-is-essential","status":"publish","type":"post","link":"https:\/\/www.gsl.lu\/en\/register-of-beneficial-owners-rbe-why-staying-compliant-is-essential\/","title":{"rendered":"Register of Beneficial Owners (RBE): Why staying compliant is essential"},"content":{"rendered":"
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The Register of Beneficial Owners (RBE) is a key tool to enhance financial transparency and combat money laundering and the financing of terrorism. Established by Luxembourg law on January 13, 2019, it requires legal entities to declare the beneficial owners who hold or control their activities.<\/span><\/p>\n

What is the RBE?<\/strong><\/p>\n

The RBE lists individuals with significant influence over a legal entity, including those who:<\/span><\/p>\n

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  • Hold more than 25% of shares or voting rights;<\/span><\/li>\n
  • Exercise control through other means (veto rights, contractual agreements);<\/li>\n
  • Directly benefit from the entity\u2019s revenues.<\/li>\n<\/ul>\n

    The information collected includes the name, date and place of birth, nationality, address, and the rights held.<\/span><\/p>\n

    Why is proper management crucial?<\/strong><\/p>\n

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    • Compliance with legal obligations<\/span><\/li>\n
    • Entities must declare any changes within one month.<\/li>\n
    • Non-compliance can result in fines of up to \u20ac1,250,000.<\/li>\n<\/ul>\n

      Transparency and trust<\/strong><\/p>\n

      An up-to-date register ensures clarity in financial relationships, strengthening trust with business partners and investors.<\/span><\/p>\n

      Combatting financial crimes<\/strong><\/p>\n

      The RBE helps prevent money laundering, tax fraud, and the financing of terrorism by making financial flows traceable.<\/span><\/p>\n

      How to stay compliant?<\/strong><\/p>\n

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      • Accurately identify beneficial owners, including both direct and indirect holdings. <\/span><\/li>\n
      • Regularly update the register within the required timeframe.<\/li>\n
      • Document and ensure traceability of declared information.<\/li>\n
      • Provide internal training on legal requirements.<\/li>\n
      • Consult an expert for complex structures.<\/li>\n<\/ul>\n

        Risks of non-compliance<\/strong><\/p>\n

        Beyond financial penalties, poor management can lead to a loss of trust from partners, banking restrictions, and reputational damage.<\/span><\/p>\n

        Conclusion<\/strong><\/p>\n

        More than just a legal obligation, the RBE is a strategic tool to build trust, enhance transparency, and avoid costly sanctions. By maintaining it diligently, businesses demonstrate their commitment to responsible practices and a secure financial environment.<\/span><\/p>\n

        If you want to learn more or need assistance, feel free to contact us.<\/p>\n<\/div>

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