Anti-Money Laundering - Ongoing Customer Due Diligence Requirements Commencing 12 December 2008

The "ongoing customer due diligence" component of the Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) regime commences on 12 December 2008.

Those entities who are a Reporting Entity will now be required to monitor customers to whom they provide designated services and their transactions on an ongoing basis.

The AML Rules specify three mandatory components of "ongoing customer due diligence":

1. Collection and verification of additional "know your customer" (KYC) information:
   Reporting Entities are already required to collect and verify information about a customer's identity before providing a designated service to that customer. As part of the "ongoing customer due diligence" obligations, Reporting Entities must also determine when it is necessary to collect further KYC information, or update or verify existing KYC information. All Reporting Entities must address this in their AML/CTF programs.