LEY 526 DE 1999 (ACT 526 OF 1999) (August 12) Diario Oficial No , dated as of August 15, 1999

Transcription

1 LEY 526 DE 1999 (ACT 526 OF 1999) (August 12) Diario Oficial No , dated as of August 15, 1999 THE CONGRESS OF COLOMBIA In virtue of which the Unidad de Información y Análisis Financiero (Information and Financial Analysis Unit) is created. DECREES: FIRST ARTICLE. SPECIAL ADMINISTRATIVE UNIT. ARTICULO 1o. UNIDAD ADMINISTRATIVA ESPECIAL. To Create the Unidad de Información y Análisis Financiero (Information and Financial Analysis Unit), as a Unidad Administrativa Especial (Special Administrative Unit) with its own legal representation number (personería jurídica), administrative autonomy, independent patrimony and special regimes in what respects to personnel management, nomenclature, classification, salaries and legal and fringe benefits, of technical nature, adscribed to the Public Finance and Credit Ministry Bureau, whose functions will be of State intervention with the purpose of detecting practices that are associated or tied with Money Laundering. The employments of the Unidad de Información y Análisis Financiero (Information and Financial Analysis Unit) will not be of carrera administrativa (administrative career). The government official work at the Unidad Administrativa Especial (Special Administrative Unit) that is created in virtue of the present law will be of free appointment and removal. SECOND ARTICLE. ORGANIC STRUCTURE. (ARTICULO 2o. ESTRUCTURA ORGANICA) The Unit that is created in virtue of this law, will have the following organic structure: 1. Dirección General (General Direction) Oficina de Control Interno (Internal Control Office). 2. Subdirección de Análisis Estratégico. (Second Direction of Strategic Analysis) 3. Subdirección de Análisis de Operaciones. (Second Direction of Analysis of Operations) 4. Subdirección Administrativa y Financiera. (Second Direction of Financial and Administrative Matters) The Director General (General Director) of the Unit will be appointed by the President of the Republic. The rest of the officials of the Unit that are named or considered within this law will be appointed by the Director General (General Director). THIRD ARTICLE. FUNCTIONS OF THE UNIT. ( ARTICULO 3o. FUNCIONES DE LA UNIDAD ) Indentations 1o., 2o. and 3o. Modified by the Third Article of the Act 1121 of 2006: The Unit will have as its objective the prevention and detection of operations that may be used as an instrument for concealing, managing, investing or benefiting in any form of money or other goods or assets that come from criminal activities or that are intended to its financing, or to give the appearance of legality to the criminal activities or to the transactions and funds that are associated to the same, mainly to the Money Laundering and the Financing Terrorism. For doing so, it will systematize and analyze by using financial intelligence activities the collected data, while performing or developing what is foreseen under the Articles 102 to 107 of the Estatuto Orgánico del Sistema Financiero (Organic Statute of Financial System) and its remissory or complementary rules, the tax laws, customs laws and the rest of information that the State entities or the private ones that could result to be relevant for the practice and exercise of its functions. Said entities Página 1 de 7

2 will be obligated to provide in an official manner or by request of the Unit, the data that this article refers to. In the same way, the Unit may receive information from natural persons (personas naturals) The Unit in fulfilment of its objective, will communicate to the competent authorities and to the entities that are duly legitimated to practice the extinction of ownership or right of dominion, any and all information that is pertinent within the framework of the integral fight against Money Laundering, the Financing Terrorism and the activities that give way to the action of extinción del dominio (extinction of ownership or right of dominion). Indentation that was modified by the Article 11 of the Act 1121 of 2006: The Unit to which this Article refers to, within the area of its competence, may execute covenants of cooperation with entities of similar nature from other States and any and all pertinent international instances and also with the public or private institutions as may be required, without prejudice to the obligations found under the present law. FIRST PARAGRAPH. (PARAGRAFO 1o.) The National Government, in order to facilitate the fulfilment of what is provided under Articles 102 to 107 of the Organic Statute of the Financial System ( Estatuto Orgánico del Sistema Financiero ) by the other sectors, may establish the necessary modifications according to the economic activity of the same. SECOND PARAGRAPH. (PARAGRAFO 2o.) The Unit may undertake the follow-up of capitals abroad if it coordinates to do so with entities of similar nature in other States. FOURTH ARTICLE. FUNCTIONS OF THE GENERAL DIRECTION BUREAU. (ARTICULO 4o. FUNCIONES DE LA DIRECCION GENERAL) The following will be the general functions of the General Direction bureau (Dirección General): 1. Numeral modified by the Fifth Article of the Act 1121 of 2006: Participate in the formulation of policies for the prevention and detection, and in general, for the fight against Money Laundering and the Financing Terrorism in all of its forms. 2. Numeral modified by the Fifth Article of the Act 1121 of 2006: Centralize, systematize and analyze the information provided by those that are obligated to fulfil with what is established under the Articles 102 to 107 of the Estatuto Orgánico del Sistema Financiero (Organic Statute of the Financial System) and its remitting rules and complementary ones, the tax laws, custom laws, FOREX (Foreign Exchange) ones and the rest of information that the State and private entities know that may result associated with Money Laundering operations or of Financing Terrorism, which may be found in the databases of each entity if it was not necessary to keep it on a permanent basis at the Unidad (Unit). 3. Numeral modified per the Fifth Article of the Act 1121 of 2006: Coordinate the study by the Unidad (Unit) of new sectors being affected or susceptible of being employed for Money Laundering or the Financing Terrorism. 4. Numeral modified by the Fifth Article of the Act 1121 of 2006: Communicate to all competent authorities and to the entities that are legitimated to exercise the action of extinction of ownership or right of dominion any pertinent information within the framework of the integral fight against Money Laundering, the Financing Terrorism and the activities that originate the action of extinction of ownership. Página 2 de 7

3 5. Request to/from any public or private entity the data that it considers necessary for the adequate fulfilment of its own functions, except the one that is subject to secrecy since it is in the hands of the Attorney General s Office (Fiscalía General de la Nación). 6. Numeral modified per the Thirteenth Article (13 ) of the Act 1121 of 2006: Execute within the areas of its competence, cooperation covenants with entities of similar nature from other States and pertinent international instances and with the national public or private institutions as may be needed. 7. Numeral modified by the Fifth Article of the Act 1121 of 2006: Participate in the legal amendments that may occur in order to make an effective control of the Money Laundering and of the Financing Terrorism. 8. Numeral that was changed by the Fifth Article (artículo 5) of the Act 1121 of 2006: Render the reports that are requested to it by the Public Finance and Credit Minister and/or by the Homeland (Interior) & Justice Minister, with respect to the Money Laundering and the Financing Terrorism. 9. Numeral modified in virtue of the Fifth Article (artículo 5) of the Act 1121 of 2006: Evaluate and decide about the pertinence of sending to the Attorney General s Office (Fiscalía General de la Nación) and to the rest of competent authorities, for their verification, the information that it learns while performing its lawful purpose and objectives. 10. The rest that are assigned to it by the National Government according to its nature. FIFTH ARTICLE. FUNCTIONS OF THE INTERNAL CONTROL OFFICE (ARTICULO 5o. FUNCIONES DE LA OFICINA DE CONTROL INTERNO) The following will be the functions of the Oficina de Control Interno (Internal Control Office): 1. Serve as an Advisor to the Dirección General in the formulation of the policies, plans and programs. 2. Exercise the financial management control and the control over its results. 3. Design the internal control systems, methods and procedures that are required in the Unit. 4. Collaborate in designing the management and performance indexes and indicators for the evaluation of compliance and fulfilment of the ends and goals established by the Unit. 5. The rest that the Constitution and the law indicate. SIXTH ARTICLE. FUNCTIONS OF THE SECOND DIRECTION OF STRATEGIC ANALYSIS (ARTICULO 6o. FUNCIONES DE LA SUBDIRECCION DE ANALISIS ESTRATEGICO). The following will be the general functions of the Second Direction of Strategic Analysis: 1. Provide support to the Dirección General in the definition of the policies of the Unit. 2. Numeral modified per the Sixth Article of the Act 1121 of 2006: Realize the necessary studies to maintain the Unit up to date in what refers to the practices, techniques and typologies employed for Money Laundering and Financing Terrorist activities, along the different sectors of the economy, as well as identifying the profiles of the assumed/presumed responsible individuals of these criminal activities. 3. To suggest to the Dirección General (General Direction) the inclusion of information of new sectors of the economy to the Unit. Página 3 de 7

4 4. To design and submit to the General Direction for its consideration and review new control systems, reporting instruments or adjustments that are needed to be made to the existing ones in order to optimize the quality of the data that is to be collected. 5. Prepare for the Dirección General (General Direction), proposals of adjustments to the rules, regulations and necessary sets of instructions or guides for the adequate fulfilment of the purpose of the Unit. 6. Numeral modified by the Article 14 of the Act 1121 of 2006: Prepare the cooperation covenants with entities of similar nature in other countries, with the pertinent international instances and with the public or private domestic (national) institutions as may be required or needed. 7. The rest that are assigned to it by the Dirección General. SEVENTH ARTICLE. FUNCTIONS OF THE SECOND DIRECTION OF ANALYSIS OF OPERATIONS. The following will be the general functions of the Second Direction of Analysis of Operations: 1. To collect, integrate and analyze the data that the Unit learns or knows about. 2. Realize the analysis to unusual or suspicious operations that it knows about. 3. Numeral modified in virtue of the Seventh Article (artículo 7) of the Act 1121 of 2006: Prepare the reports about possible events or cases of detected Money Laundering or Financing Terrorism, and present them before the General Direction bureau (Dirección General) for its due consideration, according to the data flows that were received and the analysis that it undertakes. 4. Prepare the necessary sets of instructions for reporting the information that is of interest for/to the Unit. 5. Prepare or draft out the instructions, resolutions, and circular letters that are needed for fulfilling the purpose of the Unit. 6. Numeral modified by the Article 7 of the Act 1121 of 2006: To Cooperate and serve as a link with the existing anti-laundering units or against the Financing Terrorism or with the offices that perform and develop this function at the national entities. Interact with the sectors that may be involved in the issue of the prevention and control of Money Laundering and the Financing Terrorism. 7. Numeral modified per the Article 15 of the Act 1121 of 2006: To develop information exchange covenants executed with the units of similar nature abroad, with the pertinent international instances and with the domestic or national public or private institutions as may be required. 8. The rest as may be assigned to it by the General Direction bureau (Dirección General). EIGHTH ARTICLE. FUNCTIONS OF THE ADMINISTRATIVE AND FINANCIAL SECOND DIRECTION BUREAU (ARTICULO 8o. FUNCIONES DE LA SUBDIRECCION ADMINISTRATIVA Y FINANCIERA) Here below are the general functions of the Administrative and Financial Second Direction bureau: Página 4 de 7

5 1. Provide Advise to the Dirección General in the adoption of policies, aims and strategies that are related with the HR administration, and also with the administration of the physical and financial resources of the Unit. 2. Direct and prepare the Budget Project of the Unit, the annual cash flow /cashbox program and the process of administrative contracting, in conformance to the legal rules in force and the policies as established by the Dirección General. 3. To control the budget execution, issue certificates of budgetary availability and the rest of the paperwork that correspond to it in the performance of the functions of the Unit. 4. Verify and keep the general accounting per the legal rules in force. 5. Elaborate the reports and financial statements of the Unit. 6. To execute the policies and personnel administration programs, social and family wellbeing, training and development of the servants of the Unit. 7. To elaborate the manuals of functions, requisites and procedures. 8. Execute and oversee the acquisition processes, also those of storage, custody, maintenance and distribution of the goods that are necessary for the good functioning of the Unit. 9. To elaborate, execute and control the general program of purchases of the Unit. 10. Coordinate the records room and the correspondence of the Unit. 11. The rest that are assigned to it by the Dirección General (General Direction bureau). NINTH ARTICLE. INFORMATION MANAGEMENT. (ARTICULO 9o. MANEJO DE INFORMACION) The Unit created in virtue of the present law may request to any and all public entity, except for the secret information that is in the hands of the Attorney General s Office (Fiscalía General de la Nación), the information that it considers necessary for the fulfilment of its functions. The entities that are obligated to fulfil with what is foreseen under the Articles 102 to 107 of the Organic Statute of the Financial System (Estatuto Orgánico del Sistema Financiero) shall immediately make available of/to the Unit considered under this law, the information related to the knowledge on a certain or particular customer or transaction or operation whenever it is requested by it. Indentation modified by the Eighth Article (artículo 8) of the Act 1121 of 2006: For the issues that are of the competence of the UIAF, the bank secrecy will not operate, nor the Forex one, stock market or tax secrecy clause regarding the taxable bases and the private determination of the taxes that appear within the income tax forms, as well as the one that exists over the data of subscribers and equipment that are provided by the concessionaries and licensees that render the telecom services foreseen under the thirtysecond Article (32) of the Act 782 of 2002, the database of foreigners, the data about judicial information and investigations of migratory character, the migratory movement, both of nationals as well that of foreigners, criminal antecedents and background checks and notes, and data regarding the existence and the status of the investigations at the Página 5 de 7

6 control entities, all the above without prejudice of the obligation of the public entities and of the private citizens to provide officially or per request made by the Unit, the data that Article Third of this law talks about. Indentation that was modified by the Eighth Article of the Act 1121 of 2006: The information that is gathered/collected by the Unit (Unidad) that the present law talks about in the fulfilment of its functions and the one produced as a result of its analysis, will be submitted to the secrecy, except the request made by the competent authorities and the entities that are legitimated to practice the secrecy that is foreseen here. PARAGRAPH. (PARÁGRAFO) Paragraph added by the Eighth Article of the Act 1121 of 2006: To gain access to the secret information to which the UAIF has access to per the present law, and that is under the custody of another authority, the UIAF may execute covenants in which the conditions are detailed for the access to the information and to guarantee the maintenance of the secrecy clause. TENTH ARTICLE. OBLIGATIONS OF THE STATE ENTITIES. (ARTICULO 10. OBLIGACIONES DE LAS ENTIDADES DEL ESTADO) The authorities that exert functions of inspection, surveillance and control, will instruct their watched over entities or individuals about the characteristics, periodicity and controls with regards to the information to be collected by the Special Administrative Unit (Unidad Administrativa Especial) that this law refers to, per the criteria and indications that they receive about the particular. ELEVENTH ARTICLE. MODIFICATIONS. (ARTICULO 11. MODIFICACIONES) From the date of enactment and enforcement of this law, the literal d), numeral 2 of the Article 102 of the Decree 663 of 1993, will now read as this: "d) To immediate and sufficiently report to the Unidad de Información y Análisis Financiero (Information and Financial Analysis Unit) any relevant information about the handling and management of funds whose amount or characteristics do not match the economic activity of their customers, or over transactions of their users that due to their frequency, number, and the quantities being transacted or due to the particular characteristic of the same, may reasonably lead to feel suspicious that the same are using the entity to transfer, manage, benefit or invest monies or recourses that come from criminal activities." In the same way, the Article 105 of the Decree 663 of 1993, will be left as follows: "Secrecy over the reported information. Without any prejudice of the obligation of immediate and sufficiently reporting to the Unidad de Información y Análisis Financiero (Information and Financial Analysis Unit) the information to which the literal d) refers to of the numeral 2 of the Article 102, the financial institutions will only be obligated to provide information obtained in development of the mechanisms foreseen in the former articles whenever it is so requested by the Unidad de Información y Análisis Financiero and the regional or sectional directors of the Attorney General Office (Fiscalía General de la Nación). The authorities that learn about or have knowledge of the information and documents to which the former articles refer to shall keep the secrecy over the same. The entities and their officials or officers will not be able to let persons know that have made or tried to make suspicious operations, that they have informed to the Unidad de Página 6 de 7

7 Información y Análisis Financiero information about the same, and they shall keep secrecy about that information." ARTICLE TWELFTH. BUDGETARY ADJUSTMENTS. (ARTICULO 12. AJUSTES PRESUPUESTALES) For the effects of the organization of the Unit that is created in virtue of the present law, the Ministerio de Hacienda y Crédito Público (Public Finance and Credit Ministry Bureau) will make the necessary budgetary adjustments in order to finance with the appropriations that are in force, the expenses that the Unit demands. In the same way, it will make the corresponding adjustments on the plants of personnel of the Ministerio de Hacienda y Crédito Público (Public Finance and Credit Ministry Bureau), the Dirección de Impuestos y Aduanas Nacionales (Colombian Tax and Customs Authority) to create and promote the necessary employments. THIRTEENTH ARTICLE. (ARTICULO 13). The Attorney General s Office (La Fiscalía) may give to the Unidad de Información y Análisis Financiero (Information and Financial Analysis Unit) judicial police functions in a transitory manner in the terms of the numeral 4 of the Article 251 of the Constitution. FOURTEENTH ARTICLE. ENACTMENT AND DURATION OF THIS LAW. (ARTICULO 14. VIGENCIA). This law is enacted and enforceable from its date of promulgation and nullifies the rules and laws that are contrary to it. (Original is/was signed by the here below listed individuals) FABIO VALENCIA- COSSIO The President of the Honorable Senate of the Republic MANUEL ENRIQUEZ -ROSERO The Secretary General of the Honorable Senate of the Republic EMILIO MARTINEZ -ROSALES The President of the Honorable House of Representatives GUSTAVO BUSTAMANTE- MORATTO The Secretary General of the Honorable House of Representatives REPUBLIC OF COLOMBIA THE NATIONAL GOVERNMENT DO PUBLISH AND EXECUTE. Issued in Bogotá, D. C., on August 12,1999. ANDRES PASTRANA ARANGO. NESTOR HUMBERTO MARTINEZ -NEIRA. The Interior or Homeland Minister, in charge of the functions of the Office of the Minister of Justice and the Law JUAN CAMILO RESTREPO SALAZAR. The Public Finance and Credit Minister Página 7 de 7