The General Data Protection Regulation (GDPR) is a law that governs how organisations process personal data.
AML Policies and Procedures
Anti-Money Laundering Regulations
Anti Money Laundering (AML) is a legislative requirement for most businesses that process financial transactions. It is necessary to register for supervision by an authorised regulator or HMRC. Click here for more information on whether you need to register.
If you are a business that is required to register for AML purposes and you do not, it is a criminal offence. Furthermore, a breach of the Money Laundering regulations carries a possible custodial sentence. It is, therefore, essential that businesses register or secure appropriate advice to be certain about their status.
Once the need to be regulated has been established, and the appropriate authorisation has been granted, a business must then ensure it complies with The Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 and The Money laundering and terrorist financing (amendment) regulations.
The outline requirements for a business are to:
- Appoint a Money laundering compliance and reporting officer (MLCO and MLRO)
- Ensure appropriate measures are in place to identify all clients using appropriate resources.
- Ensure client due diligence (CDD) is undertaken on all clients (private and commercial)
- Apply enhanced CDD where appropriate (high risk matters)
- Keep CDD up to date for all clients – annually
- Undertake random file audits to evidence compliance with the AML policies and procedures
- Interview staff as part of understanding AML application
- Implement file checklists to be completed before opening or closing a file
- Provide a forum to receive Suspicious Activity Reports (SAR) from staff and provide access to the MLRO
- Maintain a central register of money laundering issues raised by staff
- Make appropriate reports made to the NCA
- Notify Companies House of irregularities on the public register and the reality
- Provide training to all staff annually and as policies change
- Review the AML policies annually
- Undertake a business risk assessment, annually
At AML and Compliance, we work with businesses to create the necessary documentation and have the processes in place to ensure the business and its staff are protected and compliant.
It is a regulatory requirement for most businesses operating in the regulated sector to carry out an ‘Independent Audit of Anti-Money Laundering (AML) Policies, Controls and Procedures’ to comply with Regulation 21 of the Money Laundering Regulations 2017.