After the Danske bank scandal, the Commission wants to draw up a list of third countries at risk.
EUROPE After scandals like the one, revealed in 2018, of the Danske bank, which leached
billion euros of dubious money, the fight against money laundering has established itself as a
priority of the European Commission. Its objective: to establish a blacklist of (non-European) countries
with serious shortcomings and oblige European banks to better control the financial flows
originate. A first list, proposed last March, was rejected by the Member States. Some
were opposed to seeing Saudi Arabia, a strategic partner of France in particular, appear there. The
European Commission has therefore reviewed its copy and prepared a new methodology.
“The biggest failing of the proposal was the very weak engagement with the listed countries, which
were only informed a few days in advance", explains a diplomat. The EU executive learned of the
lesson. The new methodology proposes a dialogue in three stages. The Commission will start by
consult the third countries pointed out by the preliminary results of the assessments, then will draw up “criteria
reference points" which would be specific to each country. Finally, she will ask them to commit to
apply corrective measures before they are considered for indexing. Third countries would have
then twelve months to fall into line. They would only be listed if they failed to complete all of the
criteria. The flexibility is therefore much higher. However, in the event of refusal to cooperate or failure to
meet the deadline, the Commission will automatically register them on the list. The capitals wanted
also more transparency, demanding to have their say. From now on, the European Commission
ensures that it will consult national experts at each stage of the process.
The sensitive Saudi case
With this new method accepted by the Ministers of Finance of the 28, meeting in Luxembourg on Thursday, the
Commission will begin work to draw up a new list. The grind at the start of the year was 23
jurisdictions including Saudi Arabia, which had embarrassed some of its partners. The criteria used
by the Commission, going further than those of the Financial Action Task Force (FATF, the international organization
responsible for coordinating efforts to clean up international finance), must make the European list
the most ambitious.
At the same time, Europeans are thinking about strengthening the fight against money laundering in
within the Union itself. For a better exchange of information, the idea of coordinating the cells of
Member States' financial intelligence seems to be on the right track. At the legislative level, some countries
wish to convert current directives (whose implementation is not mandatory) into regulations
binding. Last track: set up a community control body. A political decision is
expected for December.

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