MAY 2020

Panama approves the publication of the final and effective beneficiaries of companies domiciled in Panama

Panama recently approved Law 129 of March 17, 2020, in which it is agreed that all Panamanian legal persons must register, through their resident agent, the identity and contact information of natural persons who directly or indirectly control the minus 25% of the voting rights or exercise significant control or influence over the legal person.

Officials may only enter the database for limited terms, to locate information that can only be provided to local or foreign authorities legitimately authorized to investigate illegal activities, so the information will not be fully public.

The resident agent will have to register the final beneficiary information of each company only once, and will only be responsible for renewing it within 30 days after a change of final beneficiary.

The Law establishes fines for the legal person and the resident agent that do not comply with the registration or update of the final beneficiaries in the established terms.