Document ID: chunk:federal_register_of_legislation:F2024C01198:body:0:p25
Version: federal_register_of_legislation:F2024C01198
Segment Type: other
Provision Reference: 
Character Range: 68677–71634

of paragraphs 4.2.3 to 4.2.8, and 4.9.1 to 4.9.3 of these Rules in another way where the relationship with the customer is of medium or lower ML/TF risk.

    4.2.11 An AML/CTF program that requires the reporting entity to do the following will be taken to meet the requirements of paragraphs 4.2.3 to 4.2.8 and 4.9.2 to 4.9.3 of these Rules in respect of a customer, where a reporting entity determines that the relationship with that customer is of medium or lower risk:

        (1) collect the KYC information described in paragraph 4.2.3 or 4.2.4 (as the case may be);

        (2) verify the customer's name and either the customer's residential address or date of birth, or both, from:

           (a) an original or certified copy of a primary photographic identification document; or

           (b) both:

               (i) an original or certified copy of a primary non‑photographic identification document; and

               (ii) an original or certified copy of a secondary identification document; and

        (3) verify that any document produced about the customer has not expired (other than in the case of a passport issued by the Commonwealth that expired within the preceding two years).

Electronic‑based safe harbour procedure where ML/TF Risk is medium or lower

    4.2.12 Paragraph 4.2.13 sets out one procedure for electronic verification which a reporting entity may follow to comply with its obligations under paragraphs 4.2.3 to 4.2.8, and 4.10.1 of these Rules where the relationship with the customer is of medium or lower ML/TF risk. Paragraph 4.2.13 does not preclude a reporting entity from meeting the requirements of paragraphs 4.2.3 to 4.2.8, and 4.10.1 of these Rules in another way where the relationship with the customer is of medium or lower ML/TF risk.

    4.2.13 Part B of an AML/CTF program that requires the reporting entity to do the following will be taken to meet the requirements of paragraphs 4.2.3 to 4.2.8 and 4.10.1 of these Rules in respect of a customer, where a reporting entity determines that the relationship with the customer is of medium or lower risk:

         (1) collect the KYC information described in paragraph 4.2.3 or 4.2.4 (as the case may be) about a customer;

         (2) verify, having regard to the matters set out in subparagraph 4.10.2(1):

(a) the customer's name; and

(b) either:

                  (i) the customer's residential address; or

             (ii) the customer's date of birth; or

             (iii) both (i) and (ii); or

             (c) that the customer has a transaction history for at least the past 3 years.

    4.2.14 For subparagraphs 4.2.13(2)(a) and (b), verification must be undertaken by the reporting entity through the use of reliable and independent electronic data from at least two separate data sources.
          Part 4.3 Applicable customer identification procedure with respect to companies

    4.3.1 In so