Insider dealing and money laundering etc

I134Application of money laundering regulations to overseas trustees

1

Schedule 2 to the Sanctions and Anti-Money Laundering Act 2018 (money laundering and terrorist financing: further provision about section 49 regulations) is amended as follows.

2

In paragraph 22(2) (extra-territorial application of section 49 regulations: meaning of “United Kingdom person”)—

a

in paragraph (b), omit the “or” at the end, and

b

after paragraph (c) insert

, or

d

a person—

i

who does not fall within any of paragraphs (a) to (c), and

ii

who is a trustee with links to the United Kingdom (see paragraph 22A).

3

After paragraph 22 insert—

22A

1

Sub-paragraphs (2) and (3) have effect for the purposes of paragraph 22(2)(d).

2

A person who is a trustee of a trust has links to the United Kingdom if—

a

any property subject to the trust is situated in the United Kingdom,

b

a trustee of the trust enters into a business, professional or commercial relationship with a relevant person, or

c

the income of the trust includes income which, directly or indirectly, is from a source in the United Kingdom.

3

A person who is a trustee of a trust also has links to the United Kingdom if—

a

at least one other person is a trustee of the trust,

b

the other trustee (or at least one of the other trustees if the trust has more than two trustees) is resident in the United Kingdom, and

c

a person makes, at a time when the person is resident in the United Kingdom, a gift of property which becomes subject to the trust.

4

In this paragraph “property” has the meaning given by section 436 of the Insolvency Act 1986.