Public Compliance Communications 23
PCC 52 - Authorised users and CDD
This PCC is applicable to authorised users of an exchange as referred to in item 4 of Schedule 1 to the FIC Act. (page 4)
This public compliance communication cross-references 5 linked laws.
Relationships in
No relationships recorded.
Relationships out
Cross-references
Low confidenceGuidance Note 7
"The inherent risk that the FSP's client presents to the authorised user can be taken into account as part of the client risk indicator, (refer to Guidance Note 7, part 11, which sets out the various indicators that should be taken into account when assessing the ML/TF risk a client presents)."
Linked legislation
Cross-references
Low confidenceFinancial Intelligence Centre Act 38 of 2001 2
""The Centre" means the Financial Intelligence Centre established in terms of section 2 of the FIC Act."
Cross-references
Low confidence
Document
FIC
Financial Intelligence Centre
PUBLIC COMPLIANCE COMMUNICATION
PUBLIC COMPLIANCE COMMUNICATION 52 (PCC52)
ON THE IDENTIFICATION OF MONEY LAUNDERING AND TERRORIST FINANCING RISKS AND ASSOCIATED CUSTOMER DUE DILIGENCE FOR CLIENTS OF AUTHORISED USERS OF AN EXCHANGE IN TERMS OF THE FINANCIAL INTELLIGENCE CENTRE ACT, 2001 (ACT 38 OF 2001)
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PCC SUMMARY
The client of an authorised user of an exchange, is the person who provides the authorised user of an exchange (authorised user) with a mandate. An authorised user must first identify and assess the money laundering and terrorist financing (ML/TF) risks their client presents prior to determining if they will enter into a business relationship or single transaction with the client and perform the associated customer due diligence (CDD).
Where an authorised user determines that a client is an financial services provider (FSP), and this FSP has its own clients that are not party to the single transaction or business relationship, the authorised user must obtain sufficient information regarding the ML/TF risks of the FSPs client in order to identify and assess what inherent ML/TF risks the client (FSP) presents holistically.