By way of Order 2/24, of 22 March 2024, the Angolan Central Bank (BNA) adopted the regulations for implementation of Law 5/20, of 27 January 2020, on the Prevention and Combating of Money Laundering, Terrorist Financing and Proliferation of Weapons of Mass Destruction applicable to financial institutions (banks). This article highlights some practical effects of the new regulations.
- Banks must engage in a risk assessment process every 12 months (or 24 months in certain cases);
- Banks must suspend any operation or freeze an account if:
1- The operation is considered suspicious;
2- It involves a person or entity which is part of a blocked, sanctions or restricted list. - Banks cannot open anonymous accounts or accounts under fictitious names;
- Banks must keep and preserve information for any operation (or related operations) equal to or higher than USD 15.000;
- In case of corporate clients, the ultimate beneficiary owner (UBO) of such client must always be identified;
- In addition to the identity information on the clients/UBOs, banks must also obtain or assess the following additional elements:
1- Source of client’s funds and wealth;
2- Proof that the funds were obtained in a legitimate manner;
3- Client’s reputation and background;
4- Information on client’s family relatives and business partners. - Risk management procedures are reinforced for clients/operations involving (i) high risk jurisdictions, (ii) private banking clients, and (iii) politically exposed persons (PEPs);
- Banks must immediately report to BNA (Financial Information Unit) any operation involving a crime of money laundering, terrorist financing or proliferation of weapons of mass destruction or any other crime;
- Banks must create internal channels for receiving reports and complaints regarding the above crimes;
- Each bank must have a Compliance Officer;
- In case the bank decides to terminate the relationship with a client, it must;
- Immediately stop any operation or transfer related to that client;
- Close the account and request the client to transfer the funds to another bank or withdraw the funds within 30 days.
Banks must submit an annual report to BNA on their policies and procedures to prevent and manage risks associated with money laundering, terrorist financing and proliferation of weapons of mass destruction.
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