Multiple measures to prevent money laundering risks

This article is reproduced from: China Consumer News

Shaoxing, Zhejiang

Multiple measures to prevent money laundering risks

Author: Shi Benyun

Hangzhou, Zhejiang Daily report (Reporter Shi Benyun). Recently, to thoroughly implement national requirements for improving market transparency and effectively prevent financial risks such as money laundering, the Shaoxing Municipal Administration for Market Regulation of Zhejiang Province, together with the Shaoxing Sub-branch of the People’s Bank of China, advanced the beneficial owner information filing process through measures such as data sharing, digital empowerment, and coordinated efforts between government and banks. These actions help enterprises complete the filing efficiently and in a standardized manner, and build a solid firewall for regional financial security.

To ensure that no entity is missed and no individual is overlooked in the filing process, the Shaoxing Municipal Administration for Market Regulation and the Shaoxing Sub-branch of the People’s Bank of China established a cross-departmental data-sharing and joint governance mechanism. By conducting in-depth matching and analysis of data on operating entities, and relying on key factors such as registered capital and shareholder structure, the two departments precisely identified 59,400 companies, partnership enterprises, and foreign company branches that had not yet completed beneficial owner information filing. They compiled a clear list of entities requiring filing, laying the foundation for carrying out targeted services and ensuring full policy coverage.

Based on getting a clear understanding of the underlying situation, the Shaoxing Municipal Administration for Market Regulation and the Shaoxing Sub-branch of the People’s Bank of China leveraged their advantages in digital reform. Relying on the integrated service platform “Zhejiang Enterprises Online,” they precisely pushed filing reminder information to enterprises on the list. This service uses an “embedded” reminder model. It not only clearly informs enterprises of the policy basis and filing deadlines, but also embeds the application link directly. After receiving the reminder, enterprises can simply click lightly to jump to the “Beneficial Owner Information Filing” module with one click, achieving a seamless connection from “receiving the reminder” to “online filing.”

To address potential difficulties that some enterprises may encounter during online operations, the two departments actively built an offline “government–bank–enterprise” coordinated service network. On the one hand, leveraging the extensive branch network layout of the People’s Bank of China’s partner commercial banks, they turn bank counters into filing service outposts. Each commercial bank strictly implements the principle of “who opens the account, who is responsible,” and assigns dedicated personnel to provide professional guidance ranging from policy interpretation to system data entry. On the other hand, the market regulation registration window and bank branches link up efficiently, guiding enterprises that need to file to choose nearby bank branches or government affairs service halls for办理, thereby forming a one-stop service matrix that complements online and offline processes and integrates government and financial services.

According to incomplete statistics, since the beginning of this year, Shaoxing has successfully guided 35,700 enterprises to complete beneficial owner information filing. From the source, it effectively prevents violations such as shell companies and fictitious capital contributions, providing strong support for maintaining a fair and secure market transaction environment and optimizing the business environment.