Law No. 15-06 of 15 February 2015 amending and complementing Law No. 05-01 on the prevention and fight against money laundering and terrorist financing

4 JOURNAL OFFICIAL OF THE ALGERIAN REPUBLIC No. 08 25 Rabie Ethani 1436 15 February 2015 LAWS Law No. 15-06 of 25 Rabie Ethani 1436 corresponding to 15 February 2015 amending and complementing Law No. 05-01 of 27 Dhou El Hidja 1425 corresponding to 6 February 2005 on the prevention and fight against money laundering and terrorist financing.

The President of the Republic, Having regard to the Constitution, particularly Articles 28, 119, 120, 122 (7, 9 and 15), 125 (2), 126 and 132; Having regard to the International Covenant on Economic, Social and Cultural Rights as well as the International Covenant on Civil and Political Rights and the Optional Protocol to the International Covenant on Civil and Political Rights ratified by Presidential Decree No. 89-67 of 16 May 1989; Having regard to Ordinance No. 66-155 of 8 June 1966, as amended and supplemented, establishing the Code of Criminal Procedure; Having regard to Ordinance No. 66-156 of 8 June 1966, as amended and supplemented, establishing the Penal Code; Having regard to Legislative Decree No. 93-10 of 23 May 1993, as amended and supplemented, on the securities exchange; Having regard to Law No. 05-01 of 27 Dhou El Hidja 1425 corresponding to 6 February 2005, as amended and supplemented, on the prevention and fight against money laundering and terrorist financing; Having regard to Law No. 08-09 of 18 Safar 1429 corresponding to 25 February 2008 establishing the Code of Civil and Administrative Procedure; Having regard to Law No. 13-07 of 24 Dhou El Hidja 1434 corresponding to 29 October 2013 on the organization of the legal profession; After opinion of the Council of State; After adoption by Parliament; Promulgates the law whose text follows:

Article 1st. - This law aims to modify and complement certain provisions of Law No. 05-01 of 27 Dhou El Hidja 1425 corresponding to 6 February 2005, as amended and supplemented, on the prevention and fight against money laundering and terrorist financing.

Art. 2. - Article 3 of Law No. 05-01 of 27 Dhou El Hidja 1425 corresponding to 6 February 2005, cited above, is modified, supplemented and drafted as follows:

"Art. 3. - The offense of terrorist financing is committed and is punishable by the penalties provided for in Article 87 bis 4 of the Penal Code, whoever, by any means whatsoever, directly or indirectly, lawfully or unlawfully, provides, collects or manages, deliberately, funds with the intention of using them personally, in whole or in part, to commit or attempt to commit offenses qualified as terrorist acts, or knowing that they will be used: 1- by a terrorist or a terrorist organization to commit or attempt to commit offenses qualified as terrorist acts; 2- by or in the interest of a terrorist or a terrorist organization. The offense is established independently of the existence of a link between the financing and a specific terrorist act. The offense is committed, whether the terrorist act occurs or not, or whether the funds have been or have not been used to commit this act. Terrorist financing is a terrorist act."

Art. 3. - Law No. 05-01 of 27 Dhou El Hidja 1425 corresponding to 6 February 2005, cited above, is supplemented by Articles 3 bis, 3 bis 1, and 3 bis 2 drafted as follows:

"Art. 3. bis - Participation, association, conspiracy, attempt, incitement or complicity by providing assistance, aid or advice, with a view to committing the acts cited in Article 3 cited above, is punishable by the penalties provided for in Article 87 bis 4 of the Penal Code."

JOURNAL OFFICIAL OF THE ALGERIAN REPUBLIC No. 08 5 25 Rabie Ethani 1436 15 February 2015 "Art. 3. bis 1 - Without prejudice to other penalties provided by law, the legal entity that commits the offense of terrorist financing referred to in Article 3 above is punishable by the penalties provided for in Article 18 bis of the Penal Code."

"Art. 3. bis 2. - Algerian courts are competent to hear cases of terrorist financing:

• committed in Algeria even if the terrorist act was committed abroad or if the terrorist or terrorist organization is located abroad;
• committed abroad by an Algerian or a foreigner, when the terrorist act to which the financing is destined is committed in Algeria or when the terrorist or terrorist organization to whom the funds are destined are located in Algeria;
• when the terrorist act to which the financing is destined is committed against the interests of Algeria abroad or when the victim of the act is of Algerian nationality."

Art. 4. - The provisions of Article 4 of Law No. 05-01 of 27 Dhou El Hidja 1425 corresponding to 6 February 2005 cited above, are modified, supplemented and drafted as follows:

"Art. 4. - For the purposes of this law, the following terms are understood as:

• 'Non-financial businesses and professions': ............................ (unchanged) .............................
• 'Terrorist act': Offenses qualified as terrorist acts in accordance with Article 87 bis and following of Section IV bis of Chapter I of Title I of Book Three of the Second Part of the Penal Code and in accordance with current legislation as well as international conventions related thereto, ratified by Algeria. ........................... (unchanged) ..............................
• 'Freezing and/or seizure': temporary prohibition of the transfer, conversion, disposal or movement of assets, or the act of temporarily ensuring the custody or control of assets by judicial or administrative decision.
• 'The Court of Algiers': the Sidi M'hamed Court."

Art. 5. - The provisions of Article 10 bis 3 of Law No. 05-01 of 27 Dhou El Hidja 1425 corresponding to 6 February 2005, cited above, are modified, supplemented and drafted as follows:

"Art. 10. bis 3. - Regulations issued by the Monetary and Credit Council as well as the guidelines of the Bank of Algeria in matters of prevention and fight against money laundering and terrorist financing apply to banks, financial institutions and financial services of Algeria Poste and exchange offices which are subject to the control of the Banking Commission."

Art. 6. - Law No. 05-01 of 27 Dhou El Hidja 1425 corresponding to 6 February 2005, cited above, is supplemented by Article 10 bis 5 drafted as follows:

"Art. 10. bis 5. - Obligated entities other than those designated in Article 10 bis 3 above, and notably non-financial businesses and professions and insurance companies, are subject to the guidelines of the specialized authority."

Art. 7. - Article 18 bis of Law No. 05-01 of 27 Dhou El Hidja 1425 corresponding to 6 February 2005, cited above, is modified, supplemented and drafted as follows:

"Art. 18. bis - The Public Prosecutor at the Court of Algiers receives requests emanating from the specialized authority, the judicial police or competent authorities as well as those communicated by States in the framework of international cooperation aimed at freezing and/or seizing funds and their proceeds linked to offenses provided for by this law, belonging or destined to a terrorist or a terrorist organization. The Public Prosecutor transmits the request, accompanied by his requisitions, to the President of the Court of Algiers. When the request for freezing and/or seizure is supported by sufficient grounds or reasonable elements showing that the person concerned by the measure is a terrorist, a terrorist organization or a person who finances terrorism, the President of the Court orders, immediately, the freezing and/or seizure of the funds and assets subject to the request, subject to the rights of bona fide third parties. The freezing and/or seizure also includes funds originating from assets belonging to or controlled, directly or indirectly, by them or by persons acting on their behalf or under their instructions.

6 JOURNAL OFFICIAL OF THE ALGERIAN REPUBLIC No. 08 25 Rabie Ethani 1436 15 February 2015 This order is subject to challenge before the same instance within two (2) days of its notification. It is executed in accordance with the provisions of paragraph 4 of Article 18 above. The measure of freezing and/or seizure taken pursuant to paragraph 3 of this article produces its effects until the criminal jurisdiction seized of the procedure orders its lifting or maintenance in accordance with the provisions provided by the Code of Criminal Procedure."

Art. 8. - Law No. 05-01 of 27 Dhou El Hidja 1425 corresponding to 6 February 2005, cited above, is supplemented by Articles 18 bis 1, 18 bis 2, 18 bis 3 and 18 bis 4 drafted as follows:

"Art. 18. bis 1. - The President of the Court of Algiers may authorize the person who was the subject of the freezing and/or seizure decision, and after opinion of the Public Prosecutor, to use a part of these funds to cover their essential needs, those of their family as well as dependents."

"Art. 18. bis 2. - Subject to the rights of bona fide third parties, the funds of persons, groups and entities listed on the summary list of the Sanctions Committee of the Security Council created by Resolution 1267 (1999) are frozen and/or seized immediately. The freezing and/or seizure also includes funds originating from assets belonging to or controlled, directly or indirectly, by them or by persons acting on their behalf or under their instructions. The decision to freeze and/or seize is taken by decree of the Minister in charge of Finance. The Minister in charge of Finance, when deciding on the freezing and/or seizure, designates the authority in charge of managing the frozen and/or seized funds and may authorize the person who was the subject of the freezing and/or seizure decision to use a part of their funds to cover their essential needs, those of their family as well as dependents. The implementation modalities of this article are fixed by regulatory means."

"Art. 18. bis 3. - The freezing and/or seizure of funds taken in application of Article 18 bis 2, cited above, is lifted upon the removal of the person, group or entity from the list referred to in Article 18 bis 2 cited above."

"Art. 18. bis 4. - Any person concerned by the administrative decision of freezing and/or seizure as well as any person having an interest may file an appeal with the Minister in charge of Finance within a period of ten (10) days from the date of notification made to them or from their knowledge of the freezing and/or seizure decision. The silence maintained by the authority seized of the appeal for one (1) month constitutes a decision of rejection which may be subject to an appeal before the competent administrative jurisdiction. In no case may said appeal be based on grounds related to the inscription on the unified list established by the Sanctions Committee referred to in Article 18 bis 2 above."

Art. 9. - Article 20 of Law No. 05-01 of 27 Dhou El Hidja 1425 corresponding to 6 February 2005, cited above, is supplemented and drafted as follows:

"Art. 20. - Without prejudice to the provisions of Article 32 of the Code of Criminal Procedure, obligated entities are required to declare to the specialized authority any operation when it involves capital appearing to originate from an offense or seems destined for money laundering and/or terrorist financing. This declaration must be made as soon as there is suspicion, even if it was impossible to postpone the execution of the operations or after their realization. Obligated entities are required to inform the specialized authority of any attempt at suspicious operations. (..................... the rest unchanged......................)".

Art. 10. - This law will be published in the Official Journal of the Algerian Democratic and Popular Republic. Made in Algiers, on 25 Rabie Ethani 1436 corresponding to 15 February 2015. Abdelaziz BOUTEFLIKA.