Which two statements are true regarding the European Union Money Laundering Directives? (Choose two.)
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A. B. C. D.AB
https://eur-lex.europa.eu/legal-content/EN/TXT/HTML/?uri=CELEX:32015L0849&from=FRThe European Union (EU) Money Laundering Directives are a set of regulations created by the European Union to combat money laundering and terrorist financing. The directives establish the minimum standards that EU member states must adhere to in order to prevent, detect, and investigate money laundering.
Answer A: True. The EU Money Laundering Directives apply to all EU member states. This means that any country that is a member of the EU is required to implement these directives into their national laws.
Answer B: True. The EU Money Laundering Directives require member states to implement the necessary laws and regulations to comply with the directives. This means that each member state must create their own specific laws and regulations to meet the minimum requirements of the directives.
Answer C: False. The EU Money Laundering Directives do not set forth non-binding best practices for financial institutions. Rather, they establish legally binding rules and regulations that financial institutions must follow to prevent, detect, and report money laundering and terrorist financing.
Answer D: False. The EU Money Laundering Directives do not have extraterritorial impact. They only apply to EU member states and do not extend to other states that have diplomatic relations with the EU.
In summary, the EU Money Laundering Directives are a set of legally binding regulations that apply to all EU member states, requiring each state to create its own specific laws and regulations to comply with the directives. They do not set forth non-binding best practices for financial institutions, nor do they have extraterritorial impact.