Are Beneficial Ownership AML Rules an Implementation Nightmare?
May 24, 2016
Last week the Treasury Department's Financial Crimes Enforcement Network (FinCEN) released new rules which mean advisors need to identify not only their clients for anti-money laundering purposes, but also anyone who is a "beneficial owner" or influencer of any legal entity represented – like trusts or private companies. The rule applies to new accounts and the implementation period starts in July, ending in May 2018. But how easy will this new AML function be to perform?
|Easy. It's the sort of info you'd collect anyway. And if you don't, you should.|
|Hard. This will mean extra probing, discomfort and paperwork. The client mightn't even have this info.|