AMENDMENTS TO THE FINANCIAL INTELLIGENCE AND ANTI-MONEY LAUNDERING REGULATIONS 2003

 

Amending regulations have been adopted in response to new international practices.  The Financial Intelligence and Anti-Money Laundering Regulations 2003 have been amended by the Financial Intelligence and Anti-Money Laundering (Amendment) Regulations 2005 which will come into operation as from the date of publication in the Government Gazette.

 

The main changes to the Regulations relate to omnibus accounts and to introduced business.  In line with international AML/CFT standards as set out in the revised Recommendations of the Financial Action Task Force (FATF), where a financial institution relies on customer identification documentation in the possession of an eligible or group introducer (based in Mauritius or in an equivalent jurisdiction), he will no longer be required to obtain copies of the customer identification documentation where he is satisfied that these will be made available to him by the introducer upon request.  Further, in respect of omnibus accounts held in the name of a regulated financial institution based in Mauritius or in an equivalent jurisdiction, the verification of identity of the client will be limited to the financial institution in whose name the account is held.  Financial institutions will not be required to “drill down” through the omnibus account holder to identify and verify all of the account holder’s clients.  Pursuant to these new regulations, non-bank financial institutions (NBFIs) subject to the supervision of the FSC must comply with such additional requirements pertaining to introduced business and omnibus accounts as the FSC may issue.

 

The FSC is also announcing the imminent issue of revised Codes on the Prevention of Money Laundering and Terrorist Financing.  The revised Codes contain specific requirements relating to omnibus accounts and introduced business–which complement the requirements of the Regulations in these two respects, and will also reckon with the international AML/CFT standards as contained in the FATF Forty Recommendations 2003.

 

Financial Services Commission

08 July 2005