The Rada proposed creating a "drops register": what is the main idea of the bill, and when will the committee consider it?
The Verkhovna Rada registered bill No. 14161, which provides for the creation of a Register of persons whose payment transactions require enhanced control ("drops register") for enhanced control over financial transactions. This initiative is aimed at combating illegal money circulation, which reaches UAH 200 billion, and reducing the use of payment infrastructure by criminals. The Verkhovna Rada Committee on Finance, Tax and Customs Policy currently does not know when the bill can be considered, as the two-week period for submitting alternative draft laws has not yet ended.
Who are drops and how do they work in financial schemes
Drops or "money mules" are people who, for a fee, provide criminals with access to their bank details: cards/accounts, including PIN codes and access to online banking.
There are those who knowingly sell their details and access, and those who act under the influence of deception and social engineering.
The remuneration for drops is paid depending on how their bank account will be used: these can be transactions between accounts, cash withdrawals at ATMs, account replenishment through payment terminals, etc.
What is the idea of the bill on the drops register
At the end of October, a group of people's deputies submitted to the Verkhovna Rada bill No. 14161 "On Amendments to Certain Laws of Ukraine Regarding the Creation and Maintenance of a Register of Persons Whose Payment Transactions Require Enhanced Control."
The explanatory note indicates that the problem of increasing cases of using banking services, payment infrastructure, and electronic payment instruments in activities that do not comply with legal requirements has recently become very important.
"This concerns, in particular, the organization of schemes for accepting payments using electronic payment instruments when conducting gambling and betting activities without an appropriate license, with subsequent transfer of funds received within the specified activities, or transfer to other accounts - for paying for hosting services, advertising, etc., necessary to support the functioning of resources and sites where gambling, betting activities are conducted without an appropriate license. The appeals also concern the organization of schemes for accepting non-cash transfers when selling excisable goods, gray import goods, prohibited substances," the people's deputies argue in the bill.
People's deputies indicate that there are cases when the payment infrastructure is used in activities that do not comply with the requirements of payment legislation, namely:
- the provision by a user-individual (drop) without complying with legal requirements of the right to dispose of funds/electronic money in his current/payment account/electronic wallet to a third party or the transfer of his payment instrument to a third party for use;
- the actual activity of the merchant, which does not correspond to the activity specified by him in the agreement with the acquirer, and the merchant category code established by the acquirer (miscoding).
Rada proposed to create a "drop register": what is envisioned28.10.25, 15:36 • [views_2770]
In the first 6 months of 2024, only two largest banks, within the framework of financial monitoring, identified and terminated business relations with more than 80 thousand clients due to their use in "drops" schemes. Data obtained within the framework of the supervisory activities of the National Bank of Ukraine indicate that about 200 billion hryvnias per year can pass through the cards of such "drops"
The main goal of the document is to create a legal mechanism for accumulating and exchanging information about persons whose payment transactions require enhanced control, its storage and access to it by payment service providers in order to prevent the activities of those persons that do not comply with the requirements of Ukrainian legislation.
Who will administer the register
As already noted, it is envisaged to create a Register of persons whose payment transactions require enhanced control, which is created and maintained by the National Bank of Ukraine.
Accordingly, it is proposed to supplement the law "On Payment Systems" with a new article - "Article 79-1. Register of persons whose payment transactions require enhanced control."
According to the article, the NBU creates and maintains the Register of persons whose payment transactions require enhanced control within the framework of the implementation of state policy on national security of Ukraine in the economic sphere in order to protect the financial system from risks.
Payment service providers, including banks, payment institutions, branches of foreign payment institutions, electronic money institutions, financial institutions that have the right to provide payment services, postal operators, non-financial payment service providers are obliged to enter information into the Register, and also to use information from it in the manner determined by the NBU.
How data will get into the drops register
Payment service providers are obliged to enter information about individuals and individual entrepreneurs into the Register if signs established by the National Bank of Ukraine are found, indicating that:
- the person, without complying with legal requirements, granted the right to dispose of funds/electronic money in his current/payment account/electronic wallet to a third party or transferred a payment instrument to a third party for use;
- the merchant accepted electronic payment instruments for payment for goods or services (including cash withdrawal services) in violation of requirements.
Banks and financial institutions are obliged to check for information about persons in the Enhanced Control Register in the following cases:
- before establishing business relations;
- when changing user data - an individual or merchant, the list of which is established by regulatory legal acts of the National Bank of Ukraine;
- when authenticating in remote communication tools (including re-registration with a periodicity determined by the National Bank of Ukraine), logging into a payment application from a new device;
- when carrying out payment monitoring and other forms of interaction between payment service providers in accordance with legal requirements;
- with each change/addition of a new merchant category code.
Responsibility and punishment for participation in drop schemes
Banks and financial institutions are obliged to apply to persons whose information is contained in the Enhanced Control Register:
- for individuals - limits on payment transactions, as well as restrictions on the number of payment instruments and/or current, payment accounts and/or electronic wallets opened with one payment service provider;
- for the merchant - limits on payment transactions, in particular on the volume of acquiring operations, the size of which is determined by the National Bank of Ukraine.
The size of limits on payment transactions and restrictions on the number of payment instruments, current, payment accounts, electronic wallets, as well as the procedure for their establishment, are determined by the NBU.
The National Bank of Ukraine sets a period during which limits and restrictions are applied to persons whose information is contained in the Enhanced Control Register, but this period cannot be longer than 2 years.
Protection of citizens' rights and appeal mechanism
In case of disagreement with the information contained in the Register regarding him, a person has the right to apply to the bank or other financial institution that entered information about him into the Register with an application for making changes.
After receiving the application from the National Bank, the NBU sends this application to the bank or financial institution that entered the information into the Register within five working days. Banks and financial institutions are obliged to make changes to the information within 15 working days or notify the applicant of a motivated refusal to make changes.
If the applicant does not agree with his inclusion in the Register, he can apply to the court.
Prospects for adoption
As MP, member of the relevant committee Nina Yuzhanina told UNN, the period for submitting alternative draft laws only began on October 30, and therefore the draft law cannot be considered by the committee until at least November 12.
According to her, a committee meeting is planned for next week, where it is planned to consider bills on banks.