Document ID: chunk:federal_register_of_legislation:F2024C01198:body:0:p53
Version: federal_register_of_legislation:F2024C01198
Segment Type: other
Provision Reference: 
Character Range: 147627–150803

the tipping off offence in section 123 of the Act.
          Part 6.2 Verification of identity of pre-commencement customers

    6.2.1 This Part is made for subsection 29(2) of the Act.

    6.2.2     If a suspicious matter reporting obligation arises for a pre-commencement customer, the reporting entity must take one or more of the following actions as appropriate:

          1.                carry out the applicable customer identification procedure unless the reporting entity has previously carried out, or been deemed to have carried out, that procedure or a comparable procedure;

          2.                collect additional KYC information about the customer;

          3.                verify the KYC information obtained under subparagraph (2) from reliable and independent sources;

    so that the reporting entity is reasonably satisfied that the customer is the person that the customer claims to be.

    6.2.3    The reporting entity must take the required action or actions as soon as practicable after the day on which the suspicious matter reporting obligation arose.

         Note: A reporting entity is not required to take any measures that would contravene the tipping off offence in section 123 of the Act.
          Part 6.3 Verification of identity of low-risk service customers

    6.3.1 This Part is made for subsection 31(2) of the Act.

    6.3.2     If a suspicious matter obligation arises for a low-risk service customer, the reporting entity must take one or more of the following actions as appropriate:

          1.                carry out the applicable customer identification procedure unless the reporting entity has previously carried out, or been deemed to have carried out, that procedure or a comparable procedure;

          2.                collect additional KYC information about the customer;

          3.                verify the KYC information obtained under subparagraph (2) from reliable and independent sources;

    so that the reporting entity is reasonably satisfied that the customer is the person that the customer claims to be.

    6.3.3     The reporting entity must take the required action or actions as soon as practicable after the day on which the suspicious matter reporting obligation arose.

         Note: A reporting entity is not required to take any measures that would contravene the tipping off offence in section 123 of the Act.

CHAPTER 7 Reliance on third parties
          Part 7.1 Reliance

     7.1.1  This Part is made for paragraphs 37A(1)(a) and 38(b) of the Act.

Other procedures that may be relied on for customer identification

     7.1.2 The procedures in paragraph 7.1.3 are prescribed.

     7.1.3 Customer due diligence procedures (however described) that comply with one or more laws of a foreign country giving effect to the FATF Recommendations relating to customer due diligence and record-keeping and require the other person to:

         (1) identify the customer and verify the customer's identity using reliable and independent sources, so that the other person is satisfied that it knows who the customer is; and

         (2)