While the deadline for registration has already been extended to 1 November, only 66% of associations and entities registered with the Trade and Companies Register have taken the trouble to make themselves known. However, this is a legal obligation in the context of the fight against money laundering.
From 1 March to 31 August 2019: this was the deadline initially agreed for companies and associations to make themselves known to the Register of Beneficial Owners. An RBE, defined by the law of January 13, and whose primary purpose is to identify the people who "ultimately" own such a company, run such an association. In other words, a transparency operation from which no one should escape under penalty of a fine. These penalties can be between 1,250 euros and 1.25 million euros.

Obviously, the amount of the penalty did not encourage foundations, mutual funds, companies of various forms to rush to the form - paper or electronic - proposed by the Ministries of Justice and Finance.

91,788 registrations
Thus, at the end of August, a decision had already been taken to grant an additional quarter so that each of the 138,899 entities concerned would comply with this law, application of a text in force throughout the European Union. In the middle of the summer, it was clear that just 40% of companies and associations had complied with this legal obligation.

Today, the rate has risen to 66%, have just unveiled the new Minister of Justice Sam Tanson (Déi Gréng), the Minister of State Xavier Bettel (DP) and the Minister of Finance Pierre Gramegna (DP).

In the parliamentary reply addressed to CSV MP Octavie Modert, it is possible to note the significant delay taken by associations of all types. Of the non-profit organisations, for example, only 3,646 carried out the process out of the 11,518 expected (i.e. 31%). Obviously, the communication campaign around the Register has not been heard.

Suspicious deafness?
But this deafness is more suspicious with regard to other entities that must be much more attentive to this type of initiative. While the 1,535 registered special investment funds reacted positively (92% are now listed), the commitment of Luxembourg branches of civil partnerships under foreign law (20%), branches of legal persons abroad (26%), general partnerships (22%) clearly lowered the average number of registrations.

Suspicious because the measure aims to establish more transparency on the "who directs what", in other words to know who is hiding behind the nominees behind whom sometimes unsavory investors are sheltered or for tax optimization needs.

Deadline: 31 November
Thus, the Register of Beneficiaries is clearly a tool in the fight against money laundering but also the financing of terrorism.

At present, the government has not decided on a possible new deadline for latecomers. The deadline therefore remains 30 November 2019.