Česky

Anticorruption barometer


Update history

Transparent and effective public investment — #116 Exemptions from the ownership structure disclosure rule

Exemption should be granted only to companies whose shares are traded on the stock market (stocks are trade too fast for anyone to be able to monitor the owners and it is not technically possible neither) as well as for banks and insurance companies (their ownership structure is controlled by Czech National Bank and all shareholder change is subject to its approval).

Justification and sources

Selected update

Updated: 08/2015 Parameter update history

Effectiveness:
50%
Progression:
30%
Political promise to solve the problem

The exemption from the requirement of disclosure of ultimate beneficial owners of companies for those owners who acquired their ownership interest through stock exchanges (regulated markets) is not a part of the proposal amending the Act on public register nor in the proposal amending the Act against money laundering, however, it can be practically applied since it is foreseen by the fourth EU Anti-money laundering Directive and certain but unspecified exemptions are foreseen in the Action plan and Conception for fighting corruption.

Compared to current state

Updated: 10/2016 Parameter update history

Effectiveness:
25%
Progression:
90%
The law is in force

The exception from the requirement of disclosure of ultimate beneficial owners of companies for those owners which acquired their interest via stock markets (regulated markets) is not being dealt with either in the new Act on public procurement, which entered into force, nor in the proposal of law amending the Act on public registers, which is in the Lower Chamber of the Parliament. Nevertheless, the exception can be possibly applied if read in conjunction with the definition of the beneficial owner contained in the EU Anti-money Laundering Directive. The exception for banks and insurance companies whose ownership structures and ultimate beneficial owners are under surveillance of the Czech National Bank, is not foreseen.