Ethics - Bribery / AML General Flashcards
What are the key components of Part 1 related to bribery and corruption?
RICS regulated firms must:
- Not offer or accept anything that could constitute a bribe
- Have procedures in place to comply with the law
- Report suspicion to the relevant authority
- Act with due diligence to perform periodic written evaluations of the risks the firm faces
- Retain records to show have the firm has met the requirements of this Professional Statement
What are the key components of Part 1 related to money laundering and terrorist financing?
RICS regulated firms must:
- Not facilitate or be complicit in ML and TF
- Have systems in place to comply with the laws
- Report suspicion
- Evaluate and review the risks presented to the firm
- Use third party reliance for checks only where there is a level of confidence for the quality of information provided by the third party
- Take appropriate measures to understand the client and the purpose of the instruction
- Verify the client by undertaking basic ID checks
- Retain records to show have the firm has met the requirements of the Professional Statement
What are the key components of Part 2 related to guidance?
Practical guidance is provided such as:
- Have a written policy in place for, and senior management to take control of, the procedures
- Publish a code of behaviour for staff and provide staff training
- Encourage transparency
- Set up a gifts register
- Keep up to date with the legislation
What are the key components of Part 3 related to supplementary guidance?
Supplementary guidance is provided on a range of issues, including:
- Establishing a ‘risks-based approach’: Consider the three Ws’ when assessing risks to your business: Who you act for, What you are doing, and Why you are being asked to do something
- Dealing with politically-exposed persons (PEPs): They are higher risk as they hold positions of influence and enhanced due diligence is required
- The need to identify the beneficial ownership of a company, partnership or trust - such as by requesting a recent Certificate of Incorporation or Annual Return for a company
