Document ID: chunk:federal_register_of_legislation:C2024A00110:clause:2_32
Version: federal_register_of_legislation:C2024A00110
Segment Type: clause
Provision Reference: sch 2 cl 32
Character Range: 80819–82568

32  Enhanced customer due diligence obligation
  In complying with the obligation imposed on a reporting entity under subsection 28(1) or 30(1) in relation to a customer, the reporting entity must apply enhanced customer due diligence measures appropriate to the ML/TF risk of the customer if one or more of the following apply to the customer:
 (a) the ML/TF risk of the customer is high;
 (b) if:
 (i) a suspicious matter reporting obligation arises for the reporting entity in relation to the customer; and
 (ii) the reporting entity proposes to continue to provide a designated service or designated services to the customer;
 (c) the customer, any beneficial owner of the customer, any person on whose behalf the customer is receiving the designated service, or any person acting on behalf of the customer, is a foreign politically exposed person;
 (d) the customer, any beneficial owner of the customer, any person on whose behalf the customer is receiving the designated service, or any person acting on behalf of the customer, is:
 (i) an individual who is physically present in a high risk jurisdiction for which the international body known as the Financial Action Task Force has called for enhanced due diligence to be applied; or
 (ii) a body corporate or legal arrangement that was formed in a high risk jurisdiction for which the international body known as the Financial Action Task Force has called for enhanced due diligence to be applied;
 (e) the designated service provided or proposed to be provided to the customer is provided or proposed to be provided as part of a nested services relationship;
 (f) the customer is of a kind specified in the AML/CTF Rules.
Note: For suspicious matter reporting obligation, see section 41.