The Cyprus Securities and Exchange Commission (CySEC) today informed the entities it regulates, including Cyprus investment firms (CIFs) about an extension to certain reporting deadlines.

The regulator explains that, due to the developments related to the Coronavirus disease 2019 (COVID-19) the deadlines for the submission to CySEC of the 1) Internal Auditor’s Annual Report, 2) AMLCO’s Annual Report and the 3) Form of the Monthly Prevention Statement provided in the AML/CFT Directive are extended.

In this respect:

• 1. The Internal Auditor’s Annual Report and the relevant Board of Directors minutes (paragraph 6 of AML/CFT Directive) should be submitted to CySEC by the end of June 2021 at the latest.
• 2. The AMLCO’s Annual Report and the relevant Board of Directors minutes (paragraph 10(3) of AML/CFT Directive) should be submitted to CySEC by the end of May 2021 at the latest.
• 3. The Form of the Monthly Prevention Statement (paragraph 11 of AML/CFT Directive) of January, February and March 2021 should be submitted within 15 days from the end of April 2021.

CySEC has warned that, as the world is focusing on responding to the COVID-19 pandemic, it is impacting on the ability of government and the private sector to implement anti-money laundering and counter terrorist financing (AML/CFT) obligations in areas including supervision, regulation and policy reform, suspicious transaction reporting and international cooperation.

In July 2020, CySEC Chairperson Demetra Kalogerou notified regulated financial institutions in the country of increased money laundering and terrorist financing activities taking place during the current Covid-19 crisis.

Ms. Kalogerou noted that she expects brokers to take heed of proposals made by a recent paper issued by the Financial Action Task Force (FATF), an independent inter-governmental body. The FATF develops and promotes policies to protect the global financial system against money laundering, terrorist financing and the financing of proliferation of weapons of mass destruction. FATF recommendations are recognized as the global anti-money laundering (AML) and counter-terrorist financing (CFT) standard.