Who holds the reins? The government wants to know by 30 September 2019 at the latest.

Adverit AntwerpAntwerp, Belgium

The Belgian Anti-Money Laundering Act of 18 September 2017 transposes the 4th European Anti-Money Laundering Directive into Belgian law.

Article 73 of this Anti-Money Laundering Act provides for the introduction of a central register of ultimate beneficiaries, called the UBO register (Ultimate Beneficial Owner).

According to Article 74 of the Anti-Money Laundering Act, the purpose of the UBO register is to make adequate, accurate and up-to-date information available on the owner or the person who directly exercises control over the company, foundation, non-profit organisation, trust or legal entities comparable to fiduciary arrangements or trusts.

This ‘making available’ must be interpreted very broadly, as every citizen (!), whether or not subject to restrictions and whether or not having a legitimate interest, may gain access to this UBO register.

In other words, the government wants to know who holds the reins and is happy to sell this information to its citizens. An extremely strange situation following all the commotion surrounding the GDPR regulation.

The concrete operating modalities of this UBO register were laid down in the Royal Decree of 30 July 2018, which entered into force on 31.10.2018. However, the Federal Public Service Finance has granted an extension until 30.09.2019 at the latest.

If you fail to enter the requested data in the UBO register, you risk a criminal administrative fine of €250 to €50,000.

So mark 30 September 2019 in your diary as the final registration date, and do not hesitate to contact Alis Advocaten should you require further clarification or assistance for your existing or soon-to-be-established undertaking, including non-profit organisations (!).

Related practice areas

Corporate law Commercial law

Other insights from this firm

View all legal insightsView all
Clear agreements, a worry-free transfer. Commercial lawCorporate law This article discusses the risks of unclear agreements when transferring a client portfolio. Using an example, it shows how disputes can arise after the transfer and how clear contractual agreements can prevent this. Will banks or investment groups deny you capital because your ecological footprint is too large? Corporate lawCommercial law This article discusses whether banks and investment groups can refuse companies capital based on their ecological footprint, focusing on the EU climate agenda, ECB stress tests and the emergence of ESG scores.
Penalties for failing to comply with UBO registration. Corporate lawCommercial law The article discusses the obligation for companies, non-profit organizations (vzw's) and foundations to register their ultimate beneficial owners (UBOs) under the Anti-Money Laundering Act. It explains who is considered a UBO and what fines (ranging from 250 to 50,000 euros) companies risk for failing to comply with this registration obligation… General Terms and Conditions, fine print of great importance … Commercial lawCorporate law This article discusses the usefulness and advantages of general terms and conditions in agreements and explains under what conditions they are enforceable against a contracting party.
Data Security Tips for self-employed entrepreneurs and businesses Commercial lawCorporate law This article provides practical tips for self-employed entrepreneurs and businesses to improve their data security within the framework of the GDPR, such as an internal privacy policy, management of access rights, backups, two-factor authentication and encryption. Attachment of trading goods: can a sale proceed while the ownership dispute is still pending? Commercial law An attachment of trading goods can place a company in considerable practical and financial difficulties. Goods remain stored, costs keep rising, and commercial opportunities risk being lost. But must a company wait until a court has definitively decided who owns the goods? Not necessarily.
Obligation to withhold payment on invoices in the event of social security and tax debts Construction lawFiscal law Since 1 January 2026, businesses in the construction and cleaning sectors must verify whether their clients or (sub)contractors have social security or tax debts before paying invoices, and withhold a prescribed percentage if so. Failure to comply can trigger joint and several liability for the unpaid debts. Goodwill at the end of a franchise agreement: is there a right to compensation? Commercial lawCivil law This article examines whether a franchisee is entitled to goodwill compensation upon termination of the franchise agreement. It discusses the absence of statutory regulation in Belgium, relevant European trends, and the importance of a clear contractual arrangement.

Learn more about Adverit Antwerp

This article was contributed by Adverit Antwerp. Visit their website to learn more or discuss your situation with their legal team.

Visit local website (opens in a new tab)