Politically exposed person

A politically exposed person (PEP ) is a politician or a person in the immediate vicinity of a politician, the subject with respect to money laundering requirements more stringent than a normal citizen.

Legal

In November 2000, a meeting with the G -7 countries in Lausanne was held on the initiative of Switzerland on which it came to the definition and use of PEP. Following the document Supervisors ' PEP working paper was 2001. In this the first time the term " PEP " has been clearly defined and the Swiss Federal Banking Commission the term before, especially used in conjunction with the Abacha funds. He was back in 2002 (or possibly earlier) fixed and defined in the MLO SFBC.

Subsequently, the term was established in the policy. The ( somewhat vague ) definition was carried out in the Directive 2005/60/EC of the European Parliament and of the Council of 26 October 2005 on the prevention of the use of the financial system for the purpose of money laundering and terrorist financing. Article 3 No. 8 of the Directive as politically exposed persons " means natural persons who are entrusted with prominent public functions exercised, and their immediate family members or persons known to be close associates".

This definition is provided in Article 2 of the Directive 2006/70/EC implementing rule. There you will find a detailed list of the groups affected.

Swell

• Banking