Part 1: Registration of Overseas Entities Exemptions Section 18: Exemptions
The Secretary of State may exempt a person from certain requirements of Part 1 if it is necessary to do so: (a) in the interests of national security, or (b) for the purposes or preventing or detecting serious crime (subsection (1)).
	In subsection (2) the effects of an exemption are set out. Overseas entities are not required to take steps to identify or obtain information about an exempt person or give notices to an exempt person; should such a notice be received the exempt person does not have to comply with the notice requirements if that brings the existence of the exemption to the attention of the entity. Others are not required to provide information about the exempt person, and the exempt person is not regarded as a ‘registrable beneficial owner’ for the purposes of the Part 1 and the Schedules to the Act.
	Subsection (3) defines the meaning of ‘crime’ and explains that it is means conduct that is either a criminal offence, or would be a criminal offence if it took place in any one part of the United Kingdom. It is ‘serious crime’ if it would lead, on conviction, to a maximum prison sentence of 3 years or more, or if the conduct involves the use of violence, results in substantial financial gain or is conduct by a large number of persons in pursuit of a common purpose.