TABLE OF CONTENTS


Summary

This article will explain why your information is required, with links to relevant Anti-Money Laundering legislation for New Zealand, Australia and United Kingdom.


Why do I have to provide information?

In New Zealand, Australia, and the United Kingdom, reporting entities (also known as relevant people) are legally obligated to conduct customer due diligence (CDD) on their clients before entering into a business relationship with them. 


Reporting entities are businesses in certain sectors such as real estate, law, accounting and investment. Examples of when AML may be required are when you are selling or leasing a property, establishing a relationship with a lawyer, or looking to invest with an investment agency. 




AML Legislation: 

Australia

The Anti-Money Laundering and Counter-Terrorism Financing Act 2006 Part 2 Section 1 (27):


 A reporting entity must carry out a procedure to verify a customer’s identity before providing a designated service to the customer. 


The AUSTRAC definition of a reporting entity is "an entity that provides any designated services listed under section 6 of the AML/CTF Act. These entities generally provide financial, gambling, bullion or digital currency exchange services. All reporting entities must meet obligations under the AML/CTF Act."


New Zealand 

The Anti-Money Laundering and Countering Financing of Terrorism Act 2009 Section 11 Clause 1:


A reporting entity must conduct customer due diligence on—

  1. Their customer
  2. Any beneficial owner of their customer
  3. Any person acting on behalf of their customer



United Kingdom

The Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 Part Three R27:


A relevant person must apply customer due diligence measures if the person—


(a) Establishes a business relationship;

(b) Carries out an occasional transaction that amounts to a transfer of funds within the meaning of Article 3.9 of the funds transfer regulation exceeding 1,000 euros;

(c) Suspects money laundering or terrorist financing; or

(d) Doubts the veracity or adequacy of documents or information previously obtained for the purposes of identification or verification.