Document ID: chunk:federal_register_of_legislation:F2024C01198:body:0:p43
Version: federal_register_of_legislation:F2024C01198
Segment Type: other
Provision Reference: 
Character Range: 118780–121770

the verification of KYC information collected about a customer by means of reliable and independent electronic data, an AML/CTF program must comply with the requirements specified in paragraph 4.10.2.

    4.10.2 An AML/CTF program must include appropriate risk‑based systems and controls for the reporting entity to determine:

        (1) whether the electronic data is reliable and independent, taking into account the following factors:

           (a) the accuracy of the data;

           (b) how secure the data is;

           (c) how the data is kept up‑to‑date;

           (d) how comprehensive the data is (for example, by reference to the range of persons included in the data and the period over which the data has been collected);

           (e) whether the data has been verified from a reliable and independent source;

           (f) whether the data is maintained by a government body or pursuant to legislation; and

           (g) whether the electronic data can be additionally authenticated; and

        (2) what reliable and independent electronic data the reporting entity will use for the purpose of verification;

        (3) the reporting entity's pre‑defined tolerance levels for matches and errors; and

        (4) whether, and how, to confirm KYC information collected about a customer by independently initiating contact with the person that the customer claims to be.
          Part 4.11 Agents of customers

Agents of customers who are individuals

    4.11.1 For the purposes of paragraph 89(1)(b) and 89(2)(b) of the AML/CTF Act, paragraphs 4.11.2 to 4.11.4 of these Rules apply in relation to an agent of a customer who is an individual where that agent is authorised to act for or on behalf of the customer in relation to a designated service.

     4.11.2 An AML/CTF program must include a procedure for the reporting entity to collect, at a minimum, the following information and documentation (if any) about the customer:

        (1) the full name of each individual who purports to act for or on behalf of the customer with respect to the provision of a designated service by the reporting entity; and

        (2) evidence (if any) of the customer's authorisation of any individual referred to in subparagraph 4.11.2(1).

    4.11.3 An AML/CTF program must include appropriate risk‑based systems and controls for the reporting entity to determine whether, and to what extent, it should verify the identity of any of the individuals referred to in subparagraph 4.11.2(1).

    4.11.4 An AML/CTF program must require the reporting entity to have regard to the ML/TF risk relevant to the provision of the designated service for the purposes of determining whether, and to what extent, it should verify the identity of any of the individuals referred to in paragraph 4.11.2(1).

    4.11.5 For the purposes of paragraph 89(1)(b) and 89(2)(b)of the AML/CTF Act, paragraphs 4.11.6 to 4.11.8 of these Rules apply in relation to an