Chapter 31& 32 Flashcards
What does the MRLO have a duty to consider?
all internal SARs
if MRLO suspects MLTF?
external SAR to the NCA must be made
what is ‘suspicion’
-a state of mind more definite than speculation but falling short of evidence-based knowledge
-a positive feeling of actual apprehension or mistrust
-an opinion with some foundation
what is suspicion NOT?
a mere idle wondering or a vague feeling of unease
what is the overseas conduct exception?
conduct reasonable believed to have taken place overseas, lawful where it took place and had the max sentence happened in the UK it would be less than 12 months (NO EXEMPTION FOR REPORTING WHEN IT COMES TO TERRORIST FINANCING)
when should individuals report to the MRLO?
as soon as practicably possible
defences against failure to disclose?
overseas conduct exemption, privilege reporting exemption, employee didnt know and hasnt had training
what is reasonable excuse defence?
reporter is under duress or there is a threat to their safety, law enforcement already aware/it is already in the public domain
what is the moratorium period?
the 31 days following refusal of DAML… may be extended up to 186 days by the court
what are the key elements required for SAR?
suspicion, crime and proceeds
a correctly made external SAR provides immunity from breach of confidentiality unless…
it is not based on knowledge or suspicion or it is intended to be merely defensive
when does privilege reporting exemption apply?
where info was received in privileged circumstances (legal advice/litigation (can also include tax advisory work)
what may NCA grant to allow a tax person to continue to act when there is a SAR?
A DAML where continuing to act would ordinarily be a ML offence
What are the required components for good CDD?
identifying the client and verifying their identity, identifying any beneficial owners and verifying their identity on a risk-sensitive basis, gathering information on the nature and purpose of the business relationship
what are the 3 stages of CDD?
identification, risk assessment and verification
are certified documents acceptable for CDD purposes?
yes, but the standing of the person certified and the inherent risks of copy documents must be considered
when are delays to CDD permitted?
where there is little risk of MLTF and it is necessary to avoid interrupting the normal conduct of business
if a client refuses to provide CDD info?
the work must not proceed and any existing relationship with the client must be terminated
must obtain proof of clients registration on…
PSC, TRS and register of overseas entities before establishing a business relationship
any discrepancies between info collected from a client and that shown on the PCS, TRS etc must be reported…
within 15 days of being discovered
