French Monetary and Financial Code
In forceThe orders referred to in Article L. 561-11 shall provide for at least one of the following measures:
1° Prohibiting the establishment in France of subsidiaries, branches or representative offices of persons equivalent to those mentioned in Article L. 561-2 domiciled, registered or established in the State or territory mentioned in 3° of Article L. 561-10 or otherwise take account of the fact that the person concerned is from a State or territory that does not have satisfactory arrangements for combating money laundering and terrorist financing;
2° Prohibit the persons mentioned in Article L. 561-2 from establishing subsidiaries, branches or representative offices in the State or territory referred to in 3° of Article L. 561-10 or otherwise take account of the fact that the branch or representative office in question would be established in a State or territory that does not have satisfactory arrangements for combating money laundering and terrorist financing;
3° Impose on the persons referred to in Article L. 561-2 enhanced external control or audit obligations for subsidiaries and branches established in a State or territory mentioned in 3° of Article L. 561-10;
4° Impose enhanced external audit obligations for subsidiaries and branches of the persons mentioned in Article L. 561-2 whose parent undertakings or registered offices are located in a State or territory mentioned in 3° of Article L. 561-10;
5° Without prejudice to the measures provided for in Article L. 561-10-3, require the persons mentioned in 1° to 1°c, 5° and 6° to 6°a of Article L. 561-2 to adapt their correspondent relationships with client institutions in the country concerned or, if necessary, to terminate them.
The decrees mentioned in Article L. 561-11 may also limit or exclude the use of a third party mentioned in Article L. 561-7 that is located in a country that does not have satisfactory anti-money laundering and anti-terrorist financing systems.
