Dominican Republic and its definition of PEP

Politically exposed persons are a group of individuals on which anti-money laundering regulations focus. Over the years, as a result of intergovernmental cooperation promoted by various entities, including the FATF, states have been strengthening their regulations concerning politically exposed persons. In this article, we will examine the case of the Dominican Republic and the definition given by this country on PEPs.

The Dominican Republic, like its Latin American neighbors such as Argentina, Ecuador, or Uruguay, also includes space in its anti-money laundering regulations for publicly accountable persons. The regulatory framework of reference in this case will be:

The Law nº155-17 on Money Laundering and Terrorism Financing
and the Regulation implementing Law nº155-17 against money laundering, terrorism financing, and the proliferation of weapons of mass destruction

The Dominican Republic’s law, in paragraph nineteen of Article 2, provides a generic definition of PEPs, which will serve as the basis for defining PEPs. However, this definition indicates a specificity that will allow us to analyze a list of positions that will be considered PEPs. Paragraph 19 states that PEPs will be “all those officials required to submit an asset declaration.”

Article 2, Paragraph 19, of Law nº155-17.

“Politically Exposed Person or PEP: Any individual who has held, or holds, during the last three (3) years, high public office by election or executive appointment, in a foreign country or within the national territory, including high-ranking officials of international organizations. This includes, but is not limited to, heads of state or government, senior government, judicial or military officials, senior executives of state-owned enterprises or officials, as well as those determined by the National Anti-Money Laundering Committee in consultation with the Ministry of Public Administration. PEP positions include all those officials required to submit an asset declaration. It assimilates all individuals who have held or currently hold equivalent positions for foreign governments.”

It is important to analyze the existence of PEPs among the customer base since, according to Dominican law in Article 46, Politically Exposed Persons will be considered risk factors. Once the existence of a PEP is identified, Dominican law requires enhanced due diligence, similar to reinforced due diligence measures.

List of PEPs in the Dominican Republic

For this, we should refer to the Law nº311-14 on Asset Declaration or analyze Article 19 of the Regulation implementing Law nº155-17 against money laundering. These legal bodies enumerate a list of positions required to submit asset declarations, and under the prevention law, these must also be considered PEPs. These positions include:

The President and Vice President of the Republic.
Senators and deputies, as well as the administrative secretaries of the Senate and the House of Representatives.
Judges of the Supreme Court of Justice, of higher administrative courts, and other judges in the judiciary.
Judges of the Constitutional Court.
Judges of the Superior Electoral Court.
The Attorney General and deputies, as well as other members of the Public Ministry.
Ministers and vice-ministers.
The Ombudsman.
The Governor, Vice-Governor, Manager, and Comptroller of the Central Bank.
Members of the Chamber of Accounts of the Dominican Republic.
Members of the Central Electoral Board.
The National Director of Elections.
The National Director of Civil Registry.
The Comptroller General of the Republic.
Administrators and managers of state banks.
Mayors, deputy mayors, councilors, and municipal treasurers.
Directors and treasurers of municipal districts.
The Secretary-General and Deputy Secretaries of the Dominican Municipal League.
Ambassadors and Consuls General of the Dominican Republic accredited to other countries and representatives to international organizations.
General Administrators and Deputy Administrators.
National Directors, General Directors, and Deputy Directors of centralized and decentralized state bodies.
Presidents, Vice Presidents, Superintendents, and Administrators of state-owned companies.
Members of the Boards of Directors of autonomous state bodies.
Provincial Governors.
The Chiefs and Deputy Chiefs of Staff of military institutions, as well as general officers and other officers in positions of operational command or administration.
The Chief and Deputy Chief of the National Police, department heads, and regional commanders and other officers in positions of operational command or administration.
Heads of the state’s specialized security and intelligence bodies, department heads, regional commanders, and other officers in positions of operational command or administration.
The President of the National Drug Control Directorate and department heads, regional commanders, and other officers in positions of operational command or administration.
Members of the National Drug Council.
Members of the National Social Security Council, the General Manager, the Treasurer, and the Comptroller of Social Security.
The National Treasurer.
The Rector and Vice Rectors of the Autonomous University of Santo Domingo.
Members of the Monetary Board.
The heads of procurement for the legislative chambers, the Supreme Court of Justice, the ministries, and the general directorates and other bodies established in the implementing regulation of this law.
Officials of any other autonomous, centralized, or decentralized state institution created in the future that administers public funds.

Below, we detail the main sources used by Pibisi to extract the PEPs of the Dominican Republic:

List of PEPs in the Dominican Republic

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