Reforms to the Public Records Law and the Nicaraguan Commercial Code are approved
The National Assembly of the Republic of Nicaragua approved Law No. 1035, Law of Reforms to Law No. 698, General Law of Public Registries and the Code of Commerce of Nicaragua, which according to its article four will enter into force as of its publication in La Gaceta.
The reform consists in the creation of the Registry of Final Beneficiaries related to the commercial companies. For the legislators this reform responds to the recommendations made by the FATF to Nicaragua to improve its standards for the prevention of money laundering and financing of terrorism.
The Special Registration Commission will issue the specific Regulations of the Registry of the Final Beneficiary, which will include the fundamental aspects, as well as the terms and cycles to initiate the process of declaration or report and update the information related to the Final Beneficiary of the Corporations.
For the time being, and taking into consideration the above mentioned, the Mercantile Companies are not obliged to make or send any kind of report regarding the final beneficiary to the country’s registry offices, but, until the entry into force of the corresponding regulations.
Valeska Fonseca Torrez
García & Bodán