HOW TO PREPARE FOR THE CUSTOMS DECLARATION SERVICE (CDS) REPLACING CHIEF FROM AUGUST 2018

On 11th July, HMRC published information on how it intends to introduce CDS.  It says that you will need to prepare for CDS if you or your agent make customs declarations for goods imported from and exported outside the EU through CHIEF or a software provider.  HMRC will introduce CDS in 3 stages –

  • a group of importers will start making declarations on CDS from August 2018 HMRC will contact anyone in the group of importers who’ll be using CDS from August 2018;
  • all importers will be able to use CDS from November 2018; and
  • exports will be able to use CDS from a later date – and HMRC will provide more information on when this is going to happen.

https://www.gov.uk/guidance/how-hmrc-will-introduce-the-customs-declaration-service#later

EU MOST WANTED FUGITIVES

Europol has a “most wanted” page with photos and details.

https://eumostwanted.eu/

https://www.europol.europa.eu/newsroom/news/blow-final-whistle-europe’s-most-wanted-fugitives

Meanwhile, Europol is running an online game where you have to collect the cards of all 25 Most Wanted Fugitives and complete Europe’s Most Wanted Criminals team.  To complete the team you need to collect 25 cards.  Cards are unlocked by entering codes found on social media.  There are 9 codes in total and each code will reveal 2 or 3 players.  Codes will be randomly distributed via the social media profiles of European law enforcement agencies and Europol.  25 winners will receive a Europol goody bag.  The game runs on 12th and 14th July.

https://eumostwanted.eu/crimeleague

UK GAMBLING COMMISSION REPORT ON GAMBLING-RELATED HARM

On 11th July, Calvin Ayre reported that the Gambling Commission has released a report that it claims will help measure the social cost of gambling-related harm.  The Commission has put consumer protection at the heart of its regulatory environment.  The report proposes to define gambling-related harm as “the adverse impacts from gambling on the health and wellbeing of individuals, families, communities and society.” These impacts on resources, relationships and health can be both short-lived and persistent.

https://calvinayre.com/2018/07/11/business/uk-gambling-commission-measure-gambling-related-harm/

The report: “Measuring gambling-related harms: A framework for action” is available at –

http://www.gamblingcommission.gov.uk/PDF/Measuring-gambling-related-harms.pdf

DO UMBRELLA COMPANIES HAVE TO REGISTER FOR AML IN THE UK?

Contractor UK carries a response to a reader’s question on whether or not umbrella companies have to register with one of the supervisory bodies in the UK.  It says that interpretation of the regulations suggests that this is not necessary in practice, as government guidance sets out that umbrellas are exempt.   However, for own peace of mind, it advises one refers to the section ‘Payroll businesses that do not need to register’ in the government guidance.  That guidance says that “if you’re a payroll services provider to a third party, you’re not an accountancy service provider for the purposes of the Money Laundering Regulations if you” –

  • provide software or hardware service support for payroll data processing, as long as you do not analyse or prepare any financial information;
  • pay invoiced service fees to self-employed people, umbrella companies, partnerships or other corporate service providers;
  • operate as a body like an umbrella company or a managed service company and carry out payroll functions for employees who are working on assignments for an end-user client;
  • provide recruitment or human resources management services and carry out payroll functions as a small part of your main business activity (for example, you might be an employment business that supplies or manages temporary or contract workers).

https://www.contractoruk.com/umbrella_company/are_new_aml_regulations_threat_umbrellas.html

https://www.gov.uk/guidance/money-laundering-regulations-accountancy-service-provider-registration

ON THE HORNS OF A COMPLIANCE DILEMMA: RETURNING US SECONDARY SANCTIONS AND THE EU BLOCKING REGULATION

On 2nd July, Dentons published a briefing providing a useful and succinct summary of the problems in having both the imminent re-imposition of US sanctions on Iran and the adoption of the so-called blocking regulation by the EU to minimise their effects.

https://www.dentons.com/en/insights/alerts/2018/july/2/on-the-horns-of-a-compliance-dilemma

INTERNATIONAL ONLINE EDUCATIONAL PROGRAMMES: KNOW THE PITFALLS, INCLUDING US SANCTIONS

On 9th July, law firm Hogan Lovells published a briefing about the potential pitfalls where US universities and their respective business partners offer degree or non-degree programmes entirely online around the world.  The article raises several important US and non-US legal and compliance issues.  However, the alert concerns online-only programmes; the compliance challenges are very different and more complex if a university also establishes a physical presence abroad.   It points out that US sanctions may include restrictions on enrolling online students from certain countries and says that institutions often need policies and procedures to identify, verify, and limit student enrolment on the basis of geographic location or require third-party vendors who are handling enrolment to do so.  In addition, it cautions, higher education institutions must adhere to the Foreign Corrupt Practices Act (FCPA) whenever engaged in international activities, and this prohibits directly or indirectly offering or giving payments or anything of value to foreign government officials in order to gain an improper business advantage.  Amongst the other matters discussed are the potential tax (including VAT) implications in the foreign country.

http://www.hoganlovells.com/~/media/hogan-lovells/pdf/2018/2018_07_09_education_alert_international_online_programs_alert.pdf?la=en

US DROPS PROHIBITION ON FILES FOR 3D PRINTED GUNS

Reason.com and others reported on 10th July that the State and Defense Departments had settled a lawsuit and agreed to end their prior restraint of distribution of computer files for the production of 3D printed firearms.  The US Munitions List had come to include computer files for 3D printing of ordinary firearms.  In 2015, a lawsuit against the ban on distributing 3D printing files within the US was lodged citing the Second Amendment.  However, the US Government having by then prevailed in the courts, in May 2018, the Trump Administration proposed revising revise the relevant ITAR export regulations.  It has now been announced that if a particular firearm is no longer covered by ITAR, then it would be illogical for ITAR to be applied to instructions for making it.  Hence, now one may freely publish 3D printing instructions for firearms that are not covered under ITAR, but the restrictions on the distribution of 3D printing information for items that are still under ITAR, such as machine guns or rifles over .50 calibre, remain in place.  Wired.com reports that one of the plaintiffs in the case, Defense Distributed, is relaunching their its Defcad.com as a repository of firearm blueprints that it has been creating and collecting, from the original single-shot 3D-printable pistol to AR-15 frames and more exotic DIY semi-automatic weapons.  The relaunched site will be open to user contributions, and is intended to become a searchable, user-generated database of practically any firearm imaginable.

https://reason.com/volokh/2018/07/10/us-government-drops-prohibition-on-files

https://www.wired.com/story/a-landmark-legal-shift-opens-pandoras-box-for-diy-guns/