Section 16: Amendment of regulation 18 For regulation 18 of the principal regulations

there is substituted the following "18. Accountable person to identify customer before establishing relationship (1) An accountable person shall undertake customer due diligence measures to identify and verify the identity of a person if- (a) establishing a business relationship; (b) carrying out a one-off transaction with the person including a one off-transaction that is a wire transfer; (c) there is any suspicion of money laundering or terrorist financing; (d) the accountable person has doubts about the veracity or adequacy of previously obtained customer identification data. (2) An accountable person shall- (a) identify a customer, and verify the identity of the customer using reliable, independent source documents data or information notwithstanding that the customer- (i) has an established business relationship with the accountable person or that it is a one - off transaction relationship; (ii) is natural legal person or a legal arrangement; (b) verify that a person purporting to act on behalf of a customer is properly authorised to so act and identify and verify the identity of the person so authorised to act; (c) take reasonable measures to determine whether a customer is acting on his or her own behalf or on behalf of a third party; (d) take reasonable measures to identify any beneficial owners to a transaction with a customer, and take reasonable measures to verify the identity of the beneficial owner, using relevant information or data obtained from reliable sources; (e) obtain information on the purpose and intended nature of a business relationship; and (f) conduct ongoing due diligence on a business relationship including- (i) scrutinizing transactions undertaken during the course of the business relationship to ensure that transactions being conducted are consistent with the accountable person's knowledge of the customer, the customer's business and risk profile, including where necessary the customer's source of funds; and (ii) ensuring that documents, data or information collected under the customer due diligence process is kept current and relevant to customer due diligence by reviewing existing records at appropriate times, taking into account whether customer due diligence measures have been previously undertaken, including for higher risk categories of customers. (3) An accountable person shall verify the identity of a customer and beneficial owner before or during the course of establishing a business relationship or conducting a transaction for a one-off customer. (4) An accountable person shall, prior to establishing any business relationship or conducting any transaction with any person, take reasonable measures to determine whether the person is acting on his or her own behalf or on behalf of a third party. Regulation 19 of the principal regulations is amended- (a) in subregulation (1)(b) by inserting immediately after "provide" the word "any of"; (b) in subregulation (1)(b)(vii) by inserting immediately after "thumb" the word "or"; (c) by inserting immediately after subregulation (1) the following- "(1a) Where a person is not able to provide a sample signature due to illiteracy, handicap or incapacity or other limitation, the accountable person shall obtain finger prints."; (d) by substituting for subregulation (6) the following- "(6) An accountable person shall capture fingerprints of all persons for purposes of identification and verification in a manner that ensures quality and accuracy.".