Anti-money laundering - everything you need to know about AML Accountants and bookkeepers need to protect themselves and stay ahead on AML legislation We know from talking to Senta clients, that AML legislation is a constant source of worry. Here’s all the relevant info so you can be assured you’re on top of things. This article is
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ccountants and bookkeepers are legally obliged to follow anti-money laundering (AML) rules as criminals and fraudsters often target their firms for money laundering – which makes money generated from illegal activities look legitimate and “clean”. But while many in the profession know that it’s important to prevent, recognise and report money laundering, many accountants are leaving themselves vulnerable because they lack detailed information about AML.
Client checks and documents We know you know this already – but it is important to know your client, and be able to verify that they are exactly who they say they are. These checks should be carried out at the very start of your business relationship, before you carry out any work, and performed again after appropriate periods of time. Most Senta clients set a reoccurring task to remind them to update the checks every 12 months. Using software to assist you with some of the checks you need to do can make your AML obligations easier, and quicker. Senta’s practice management software, for example, has a built-in credit
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Amy Spillard, Head of Partnerships, Senta Amy is Senta’s Head of Partnerships and is responsible for building meaningful relationships that provide value to our clients. Amy’s been with the team for a year and nurtures partnerships with other software providers, industry associations, influencers and networks of accountants and bookkeepers. Leading to world-class integrations, educational content and a close relationship with our clients that ensures we’re always improving.
check function which integrates with Transunion. Assessing potential risks Some things you need to consider when conducting a risk assessment on your client are: • Your client’s geographic location. Are they based in an area of high risk? (for example, countries identified as having ineffective counter money laundering systems, significant levels of corruption or terrorism or financing of terrorism) • Is there anything unusual about the client’s choice of you as accountants/auditors/tax advisors? • The size and structure of
Checks and documents you may need include: • A document confirming identity such as a passport or driving licence • A document confirming address, such as a utility bill • A check on who is the beneficial owner, officer or manager (BOOM) of a business or company • Criminal records check on directors • A politically-exposed persons check
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• A way of establishing your client’s sources of funds, business activities and/or legal structure • Credit checks • Company director disqualification checks Documents or copies should be stored securely and in compliance with relevant data protection regulations - Senta can help with this!
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