Have you appointed your AML-responsible yet?
Norwegian and Swedish anti-money laundering legislation requires all companies falling under its scope, including managers of alternative investment funds, to appoint an “AML-responsible”.
This person shall either be a member of the management team, the managing director or an equivalent executive. The responsibility entails to ensure that the company carries out all measures required to comply with national AML-legislation. Some of the most important requirements for AIF-managers are to:
- carry out an annual business-operations related risk assessment;
- establish know your customer-routines (KYC) and carry out such measures before accepting any new clients;
- establish routines for assessing risks with any potential client-relationships and carry out such measures before commencing service deliveries and/or transactions;
- establish routines for monitoring and reporting suspicious transactions undertaken by clients;
- plan and carry out education of employees in AML-legislation and internal principles and routines; and
- on an annual basis, report data to local FSA enabling it to assess the risk that the company will be used for money laundering and financing of terrorism (as of this date, this is only required in Sweden).
The AML-responsible may of course delegate tasks to other persons employed in the company, but the ultimate responsibility for ensuring compliance with the legislative requirements rests with this person. Not only is the company required to appoint an AML-responsible, but also to actually establish internal routines ensuring compliance with national AML-legislation. All AIF-managers need to ensure that this is done, as breaching AML-legislation comes with strict sanctions and high fees and establishing good routines enhances effectiveness for their business operations.
Permian ere experts on AML-legislation and internal control-routines. We are ready to assist your business in establishing routines enabling AML-legislation-compliance and discussing any issues your business may face in relation to AML-legislation- and routines. Do not hesitate to contact Permian if your business has not yet appointed an AML-responsible, established AML-routines or if you think it should improve its AML-routines – or you have any questions to this newsletter!
Stockholm, 9 March 2018
Espen Iversen Størseth, firstname.lastname@example.org
Agata Sniecikowska, email@example.com