Laws and regulations

The main preventive law in the AML/CFT area is the Law on the Prevention of Money Laundering and the Financing of Terrorism (Official Gazette of RS, Nos. 113/17 and 91/19, AML/CFT Law). Among other things, this law establishes the Administration for the Prevention of Money Laundering (APML) as the financial intelligence unit (FIU) of the Republic of Serbia. The AML/CFT Law lays down customer due diligence (CDD) that the obliged entities listed in the AML/CFT Law are required to apply when establishing and during the course of a business relationship. It also sets out the responsibilities and powers of the APML and those of other authorities when applying this law. The AML/CFT Law also identifies AML/CFT supervisory authorities which are examining compliance with this law by obliged entities, and stipulates sanctions for non-compliance

One of the most important APML’s prevention-related responsibilities (Article 84) is to monitor the implementation of the AML/CFT Law and use its powers to remove the observed irregularities. APML takes part in the preparation of concept papers aiming to improve the AML/CFT legislative framework. It also drafts and provides opinions concerning the uniform application of the AML/CFT Law and regulations.

The APML plays a key role in developing of the list of indicators for recognizing transactions and persons with respect to which there are reasonable grounds to suspect money laundering or terrorism financing.

Another important piece of legislation applied by the APML is the Law on Freezing of Assets with the Aim of Preventing Terrorism and Proliferation of Weapons of Mass Destruction. It lays down, for the purpose of preventing terrorism and proliferation of WMD, the procedure for designation and freezing of assets of designated persons; the responsibilities and powers of state authorities concerning the application of these measures, and rights and obligations of natural and legal persons under this Law. APML has a significant role in the process of implementing UN Security Council lists of designated persons, passing the domestic list of terrorists, freezing of their assets and supervision of compliance with this law.


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Targeted financial sanctions