Irish Tánaiste Simon Harris has expressed optimism regarding a potential EU-US trade agreement, despite recent threats from US President Donald Trump to impose tariffs that could significantly disrupt transatlantic trade. During an interview with Pat Kenny on Newstalk, Harris emphasized the importance of maintaining a composed approach as negotiations continue.

Negotiations and Tariff Threats

Harris stated that a draft document exists between the White House and the European Commission, aiming to establish a framework for an agreement. He described the escalating rhetoric surrounding Trump’s potential tariffs on EU goods, set to take effect on August 1, as a major challenge. “We’ve been here before where President Trump has talked about 50 percent tariffs and hasn’t implemented them,” Harris noted, emphasizing a history of fluctuating threats from the US administration.

The Tánaiste underscored that tariffs at such high levels would not only disrupt trade but could effectively halt it altogether. “In his heart of hearts, he knows, as a businessman, that tariffs of that level would stop trade as we know it functioning between Europe and the US,” he added.

The Importance of Trust in Trade Relations

Addressing the broader implications of Trump’s actions, Harris highlighted the “constant level of volatility and uncertainty” that affects trust in US trade commitments. He pointed to instances where the US has withdrawn from significant agreements, such as the Paris climate agreement, and suggested that these actions have eroded confidence among EU negotiators.

“There are people who voted for President Trump whose jobs and livelihoods depend on that trading relationship,” Harris stated, pointing to the mutual dependency in transatlantic trade.

The Tánaiste called for a balanced dialogue, urging European leaders to communicate clearly to Trump that they aim to avoid retaliatory tariffs. “Of course, we’re not going to just sit idly by and allow our economy and the European economy be hit by very significant tariffs,” he warned.

Harris expressed confidence in Maroš Šefčovič, the European trade commissioner, who has previously collaborated with Ireland during the Brexit negotiations. He noted that Ireland is in a strong position, with full employment and budget surpluses, which could bolster its negotiating power.

In a scheduled online meeting with representatives from multinational pharmaceutical companies, Harris plans to illustrate the interdependence of US and EU economies. He stated, “A lot of what the pharma companies in Ireland send back to the US actually requires further work in US factories, so it creates jobs right across the United States.”

Harris concluded by emphasizing the need for a successful trade agreement, stating, “We have to get a deal. We have to work hard, but we do have to prepare for all eventualities.”

This article was originally published on BusinessPlus.ie.

Almost 40,000 companies in Ireland are at risk of being struck off due to non-compliance with regulations requiring the disclosure of beneficial ownership details. The Companies Registration Office (CRO) now holds the authority to take action against these firms, which have failed to submit the necessary information as mandated by law.

The Register of Beneficial Ownership (RBO) was established under the EU’s fourth money laundering directive, known as MLD4. This directive aims to enhance transparency in the corporate sector across the European trading bloc. All companies and societies within member states are required to maintain accurate records of their beneficial owners. The initial deadline for submitting this information was in November 2019, yet a significant percentage of firms have still not complied.

Currently, between 10 and 12 percent of companies and societies in Ireland have not filed their required ownership details. This oversight could lead to fines of up to €500,000. Individuals who knowingly make false statements to the RBO may face prison sentences of up to 12 months.

At a recent stakeholder meeting, the CRO indicated that the process for initiating strike-offs would begin soon, although no specific timeline was provided. Initially, non-compliant firms will receive warnings before the CRO proceeds with any necessary sanctions.

While the number of firms failing to file ownership details is significant, prosecutions remain relatively rare. The RBO began taking legal action against non-compliant entities in the second quarter of 2022. That year, five companies were charged for not meeting filing requirements, each receiving a fine of €3,000. In the subsequent year, cases against 15 entities were heard, resulting in eight convictions and seven guilty pleas, with the Probation Act applied in several instances.

During the CRO’s stakeholder meeting last month, it was noted that one case was recently heard, leading to a conviction, while five additional cases were scheduled for discussion. The enforcement process for striking off companies due to failure to file ownership details is expected to follow a similar structure to that used for companies that do not submit annual returns on time. Typically, this involves a 10-week warning issued via email, followed by a formal strike-off notice sent to directors at their home addresses.

In a significant change, public access to the Irish RBO was restricted in 2022 following a ruling by the European Court of Justice. The court determined that unrestricted access to such registers conflicted with privacy rights protected under the General Data Protection Regulation. As a result, the public currently has limited access to the Irish RBO. Last year, only one request was made to obtain details of a company, which was subsequently denied.

The impending crackdown on non-compliant firms highlights the ongoing efforts to enhance transparency and accountability within the corporate sector in Ireland.

Almost 40,000 companies in Ireland face the risk of being struck off for failing to submit mandatory details regarding their beneficial ownership. This enforcement action is spearheaded by the Companies Registration Office (CRO), which has the authority to sanction firms that do not comply with legal reporting requirements.

The Register of Beneficial Ownership (RBO) was implemented in accordance with the EU’s fourth money laundering directive, known as MLD4. This regulation mandates that all businesses within the EU submit information about their beneficial owners, contributing to enhanced transparency in corporate governance. The initial deadline for companies to file these ownership details was in November 2019.

According to the CRO, approximately 10% to 12% of companies in Ireland have not complied with this requirement. As a result, these firms are now at risk of sanctions, which may include fines of up to €500,000. Individuals who knowingly provide false information to the RBO could face imprisonment for up to 12 months.

At a recent stakeholder meeting, the CRO did not disclose an exact timeline for initiating strike-offs. However, officials confirmed that the process will commence shortly. Initially, non-compliant entities will receive a warning, after which the CRO will manage any necessary strike-offs.

Despite the significant number of companies at risk, prosecutions remain relatively rare. The RBO began legal actions against non-compliant firms in the second quarter of 2022. During that year, five companies were charged for failing to file the required details, each receiving a fine of €3,000. Furthermore, cases against 15 entities were heard in 2023, resulting in eight convictions and seven guilty pleas.

The enforcement process for striking off companies for not submitting ownership details is expected to follow a similar protocol used for those that have failed to file annual returns. This typically involves a 10-week warning letter sent to the company’s email address, followed by an involuntary strike-off notice dispatched to directors at their home addresses.

In a notable shift, public access to the Irish RBO was restricted in 2022 following a ruling by the European Court of Justice. The court determined that unrestricted public access to beneficial ownership registers conflicted with privacy rights outlined in the General Data Protection Regulation (GDPR). Consequently, public access to the RBO is now limited, with only one request made last year for details about a company, which was ultimately rejected.

The CRO is taking steps to ensure that compliance with the RBO is enforced and that businesses understand the importance of reporting ownership details accurately. As the process unfolds, further updates regarding timelines and actions against non-compliant entities are anticipated.

Almost 40,000 companies risk being struck off due to non-compliance with ownership disclosure laws. The Companies Registration Office (CRO) now has the authority to address this issue, as these firms have failed to submit details regarding their beneficial owners, a requirement established under the EU’s fourth money laundering directive, known as MLD4.

The Register of Beneficial Ownership (RBO) was introduced to enhance transparency across the EU. It mandates that all companies and societies operating within member states provide comprehensive ownership information. The initial deadline for compliance was set for November 2019, yet a significant proportion of entities, estimated at between 10% and 12%, have not filed the necessary details.

Fines for non-compliance can reach up to €500,000, and individuals who knowingly submit false information to the RBO could face imprisonment for up to 12 months. The CRO indicated that the enforcement process will commence shortly, although specific timings for the strike-offs remain undisclosed. Initially, non-compliant entities will receive a warning from the RBO before the CRO proceeds with any strike-off actions.

Despite the large number of firms at risk, prosecutions for failing to file ownership details have been limited. Since the RBO began legal actions against non-compliant entities in the second quarter of 2022, only five companies were charged that year, each convicted and fined €3,000. Additionally, four other companies pleaded guilty, benefiting from the application of the Probation Act. In 2023, cases against 15 entities were heard, resulting in eight convictions and seven guilty pleas, with similar leniency applied.

At a recent stakeholder meeting, the CRO confirmed that the procedure for striking off companies will align with the existing protocol for entities that have failed to submit annual returns. This typically involves a 10-week warning issued via email, followed by a formal strike-off notice sent to the directors at their home addresses.

Public access to the Irish RBO was restricted in 2022 following a landmark ruling by the European Court of Justice, which determined that unrestricted access conflicted with privacy rights under the General Data Protection Regulation. Consequently, the public now has limited access to RBO information, with only one request made last year for details on a firm, which was subsequently denied.

As the CRO prepares to initiate strike-off procedures, the spotlight remains on the significant number of companies that have yet to comply with ownership reporting regulations. This upcoming crackdown aims to enforce transparency and adherence to EU directives, marking a critical step in the ongoing efforts to combat money laundering and enhance corporate governance across the region.