You might have seen us celebrating the UK government’s decision last week to require British overseas territories to introduce public registers of beneficial ownership. This means that companies based in places like Bermuda, the Cayman Islands, Turks and Caicos and the British Virgin Islands will soon have to reveal the identity of the real individuals behind companies — the beneficial owners. We’ve called this “a major victory in the fight against cross-border corruption”...in order to effectively fight money laundering, corruption and tax evasion, authorities need to be able to trace money. This means having timely access to sufficient, accurate and up-to-date information about companies and the people who ultimately own and benefit from them...Company registers and bank records often aren’t enough. When conducting investigations into company ownership, authorities often rely on company registers and information recorded by financial institutions. Our new research into beneficial ownership transparency in G20 member countries and guest countries found that in 15 of the 23 countries assessed, investigators rely almost solely on the information collected by financial institutions and so-called “designated non-financial businesses and professions” (or DNFPBs), such as lawyers and accountants, to identify the beneficial owner of companies. But these sources often aren’t enough, and investigators that depend on them alone face significant obstacles when it comes to identifying, tracking and tracing illicit activities. Company registers around the world record a range of information, but most do not actually include beneficial ownership information. Some of them...do not even include information on shareholders...Banks can complicate things further. Relying on information collected by financial institutions and DNFBPs brings its own set of challenges...Registers could solve these problems — but verification remains an issue. A public, central register is the most effective and practical way to record information on beneficial ownership and facilitate access for the authorities. A central register also supports the harmonisation of the country’s legal framework, avoiding double standards, and facilitates cross-border investigations and international cooperation.