Canadian financial institutions are still grappling with how best to identify and monitor the close associates of clients who qualify as domestic politically exposed persons as required by a recently amended customer due-diligence rule, sources told ACAMS moneylaundering.com. The amended regulation, which was issued by Canada's Department of Finance and took effect Saturday, orders banks to use "reasonable measures" to evaluate and appropriately monitor clients who hold or have held political office in the country, led an international organization or have familial or other close ties to such individuals. The guidance, however, does little to clarify whether financial institutions must...
Recent amendments to Canada's anti-money laundering rules will require banks to more closely monitor the account activity of high-risk domestic politicians and implement new customer identification policies by next year.
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