Anti-Money Laundering and Countering Financing of Terrorism – AML
Money laundering is how criminals disguise the illegal origins of their money. Finances of terrorism use similar techniques to money launderers to avoid detection by authorities and to protect the identity of those providing and receiving the funds.
The Anti-Money Laundering and Countering Financing of Terrorism Act 2009 (AML/CFT) Act places obligations on New Zealand’s financial institutions and casinos to detect and deter money laundering and terrorism finance.
The Act ensures that businesses take appropriate measures to guard against money laundering and terrorism financing. Taken from the New Zealand Government website.
WHAT DO BUSINESSES NEED TO DO?
If you operate a business that falls within the definition of a reporting entity under Section 5 of the Act you need:
a. A risk assessment of the Money Laundering and Financing of Terrorism that you could
expect in the course of running your business – Omni Risk AML Risk Assessment.
- An AML/CFT programme that includes procedures to detect, deter, manage and mitigate money laundering and the financing of terrorism.
- A compliance officer.
- Customer due diligence processes.
WHO IS AFFECTED BY THIS LEGISLATION?
The first phase of the Act covered financial institutions.
The AML/CFT Amendment Act 2017 puts in place ‘Phase 2’ of New Zealand’s AML/CFT laws.
The new laws are extended to cover more businesses. The Omni Risk AML risk assessment is the perfect tool for the second phase businesses.
Businesses have varying dates when the Act comes into operation. Businesses need to have their processes and procedures in place a considerable time before the implementation of their legislation. The businesses affected are:
- Lawyers – from 1 July 2018.
- Conveyancers – 1 July 2018.
- Business that provide Trust and Company Services – 1 July 2018.
- Accountants – 1 October 2018.
- Real Estate Agents – 1 January 2019.
- Businesses trading in high value goods – 1 August 2019.
- Sports and Racing Betting – 1 August 2019.
WHAT WILL THE OMNI RISK ASSESSMENT PROVIDE?
A total risk score in the format used by ISO 31000 (www.iso.org).
- Individual risk scores for each separate area included in the risk assessment.
- All non-compliant or substandard policies, processes and procedures.
- Recommendations for improvement.
- And most importantly ‘PEACE OF MIND’.
FOR PEACE OF MIND
Mobile: +64 (0)21616651
Phone – 0800 666446