Request exemption from documenting a risk analysis for money laundering

As an obligated party under the German Money Laundering Act (GwG), you must identify and assess the risks of money laundering and terrorist financing for the transactions you conduct and properly document them in a risk analysis.

Provided that specific risks in your business area are clearly identifiable and

1. existing concrete risks are clearly recognizable and

1. the risks are understood,

be exempted from the obligation to document a risk analysis upon request.

Please note that the exemption from documenting a risk analysis does not exempt you from the obligation to prepare a risk analysis. Exemption can only be granted for the documentation.

You must continue to identify and assess money laundering and terrorist financing risks on an ongoing basis and take suitable internal security measures to prevent them. You can only be exempted from the regular documentation obligation.

Re 1. the existing specific risks may be clearly recognizable if, for example, your business activities

• do not involve complex business activities,
• the transactions you carry out are of a manageable size,
• your customer structure is homogeneous and
• there are no other risk-increasing circumstances.

Re 2: A sufficient understanding of the specific risks can be assumed if the internal security measures you have taken (e.g. regular briefings of the staff deployed and security checks) are appropriate to the risk.

Requirements

• Only natural or legal persons who are active as:
  
  • Financial undertakings within the meaning of Section 1 (24) GwG (obliged entities pursuant to Section 2 (1) No. 6 GwG),
  • Insurance intermediaries pursuant to § 59 of the Insurance Contract Act, insofar as they broker the activities, transactions, products or services covered by § 2 para. 1 no. 7 GwG, with the exception of insurance intermediaries operating pursuant to § 34d para. 6 or 7 no. 1 of the Trade, Commerce and Industry Regulation Act, and branches of such insurance intermediaries based abroad and located in Germany,
  • Service providers for companies and for trust assets or trustees if they provide the services specified in Section 2 (1) no. 13 GwG for third parties (obliged entities pursuant to Section 2 (1) no. 13 GwG),
  • Real estate agents (obliged entities pursuant to Section 2 (1) no. 14 GwG),
  • Bookmakers within the meaning of Section 2 (1) RennwLottG (obliged entities pursuant to Section 2 (1) no. 15 GwG),
  • casinos (obliged entities pursuant to Section 2 (1) no. 15 GwG),
  • betting agencies (obliged entities pursuant to Section 2 (1) no. 15 GwG),
  • the acceptance points within the meaning of Section 3 (5) of the State Treaty on Gambling, insofar as they offer the Oddset sports bet (obliged entities pursuant to Section 2 (1) no. 15 GwG),
  • Organizers of online games of chance (virtual slot machines and online poker) within the meaning of Sections 22a and 22b of the State Treaty on Gambling 2021 (obliged entities pursuant to Section 2 (1) no. 15 GwG)

• Authorized representatives must be proven:
  
  • The person submitting the application must be a member of management or an internal/external money laundering officer of the company.
• The risks must be clearly recognizable:
  
  • what risks is your company exposed to and
  • how vulnerable it is to abuse against money laundering or terrorist financing.

• Sufficient understanding of the risks must be demonstrated:
  
  • For example, presentation of the safeguarding measures taken based on the specific risks identified.