We would like to remind you that in connection with the 4th AML Directive (4th Anti-money laundering EU Directive), Amendment No. 368/2016 Coll. to Act No. 253/2008 Coll. on certain measures against the laundering of the proceeds of crime and terrorist financing has been adopted. The changes introduced by this amendment were also reflected, inter alia, in Act No. 304/2013 Coll., on public registers of legal and natural persons, as of 1 January 2018.
Based on this amendment, the registry court now keeps a non-public register of beneficial owners. Legal entities registered in the Commercial Register must register their beneficial owner by 1 January 2019; other legal entities registered in other public registers (including trusts registered in the register of trusts) must register their beneficial owner by 1 January 2021.
For completeness, the registration of the beneficial owner (or change of registration) is not subject to a court fee until 1 January 2019. After this period, the fee for registration of the beneficial owner will be CZK 1,000. However, legal entities not entered in the commercial register, trusts and entries of data pursuant to Section 118f(d) of the Registration Act will still be exempt from the fee.
Information on this obligation, including the form for submitting an application for entry in the register of beneficial owners, can be found on the website: https://issm.justice.cz/
In conclusion, the Public Registers Act does not provide for any penalties for failure to comply with the obligation to register. However, it can be assumed that the situation will evolve and it seems appropriate to comply with this obligation. For example, because failure to comply with this obligation could lead to an increase in the risk of inspections carried out in connection with Act No. 253/2008 Coll. and, in particular, because it could also be interpreted as a contradiction with the relevant provisions of Act No. 134/2016 Coll., on public procurement, according to which – in the event of failure to provide information on the beneficial owner – the automatic exclusion of the participant from the tender procedure could occur.