Every Bulgarian legal entity which is owned by other legal entity is obliged to declare in the Bulgarian Trade Register the real owner-physical person who is standing behind the company owning the Bulgarian legal entity /the Ultimate Beneficiary Owner/.

The procedure includes submitting of a special declaration /by sample/ which must be signed and notary verified by the real owner - individual. The declaration could be verified in the Bulgarian Consulate abroad, resp. provided with apostil, if necessary.

The declaration of the UBO under the Anti-Money Laundering Measures Act should be entered into the Trade register during the legal deadline. It is a mandatory requirement for all legal entities owned by other companies, including foreign ones, and non-profit legal entities.

If the obligation is not fulfilled or the declaration is refused to be accepted by any reason, a fine is imposed on the Bulgarian legal entity under a special administrative court procedure initiated by the Registry Agency.

We strongly recommend the legal entities which hold the capital of other legal entity or entities to contact a legal representative in Bulgaria as to receive an advice whether if it is necessary the money laundering declaration to be submitted. Respectively, if an administrative procedure has been initiated, the sanction could be appealed before the relevant court.