Section 8 GwG – Record-keeping and retention requirement
(1) 1The obliged entity is required to record and retain
- data collected and information gathered in the fulfilment of its due diligence requirements
a) on the contracting parties, the parties to the contract governing the object of purchase as defined in section 11 (2) and, where applicable, on the persons representing the contracting parties or the parties to the contract governing the object of purchase, and on beneficial owners,
b) on business relationships and transactions, particularly proof of transaction documents insofar as they could be necessary for the investigation of transactions,
- sufficient information about the implementation and the results of the risk evaluation under section 10 (2), section 14 (1) and section 15 (2) and about the suitability of the measures taken on the basis of these results,
- the results of the examination under section 15 (5) no. 1 and
- the reasons considered and a plausible explanation of the evaluation result for a matter in respect of the reporting obligation under section 43 (1).
2The records under sentence 1 no. 1 (a) include records about the measures taken to identify the beneficial owner and to document the ownership and control structure within the meaning of section 11 (52) sentence 1.
3In the case of persons deemed to be beneficial owners under section 3 (2) sentence 5, the measures taken to verify identity under section 11 (5) and any difficulties encountered during the verification process must be recorded.
(2) 1To comply with the obligation under subsection (1) sentence 1 no. 1 (a), the type, number and issuing authority of the document presented for verification of identity are required to be recorded in the cases set forth in section 12 (1) sentence 1 no. 1. 2Where documents under section 12 (1) sentence 1 1 or 4 are presented for the verification of the identity of a natural person, or documentation under section 12 (2) is presented for the verification of the identity of a legal person, or where documents specified as a result of a statutory instrument under section 12 (3) are presented or used, the obliged entities have the right and the duty to make copies of these documents or documentation or to optically digitise them or, in the case of an on-site read-out under section 18a des Act on Identity Cards and Electronic Identification (Personalausweisgesetz), under section 78 (5) sentence 2 of the Residence Act (Aufenthaltsgesetz) or under section 13 of the eID Card Act (eID-Karte-Gesetz), the service and card identifier must be recorded, together with the fact that the data was imported by means of an on-site read-out. 3These qualify as a record within the meaning of sentence 1. 4The record-keeping and retention requirement under subsection (1) sentence 1 no. 1 (a) also covers records of video and audio made to comply with due diligence requirements under anti-money laundering and counter terrorist financing law. 5If a repeat identification is dispensed with under section 3 (1), the name of the person to be identified and the fact that the person was identified on a previous occasion must be recorded. 6In the cases set out in section 12 (1) sentence 1 no. 2, instead of the type, number and issuing authority of the document presented for identification, the service and card identifier must be recorded, as well as the fact that verification was carried out by means of an electronic proof of identity. 7When the verification of identity is carried out by means of a qualified signature pursuant to section 12 (1) sentence 1 no. 3, the validation thereof must also be recorded. 8Where data and information are gathered by consulting electronically managed registers or directories under section 12 (2), a printout qualifies as a record of the data or information contained therein.
(3) 1The records may also be stored digitally on a storage medium. 2The obliged entities must ensure that the stored data
- is consistent with the data and information gathered,
- is available for the duration of the retention period and
- can be made readable within a reasonable period of time at any time.
(4) 1The records and other evidence under subsections (1) to (3) are required to be retained for five years, unless other statutory provisions governing record-keeping and retention requirements stipulate a longer period. 2In all cases, the records and other evidence must be destroyed after no later than ten years. 3In the case under section 10 (3) sentence 1 no. 1, the retention period begins upon conclusion of the calendar year in which the business relationship is terminated. 4In all other cases, it begins upon conclusion of the calendar year in which the respective information was gathered.
(5) Where documents to be retained are required to be presented to a public agency, section 147 (5) of the Fiscal Code (Abgabenordnung) applies, with the necessary modifications, with regard to the readability of the documents.