What does the anti-money laundering and countering financing of terrorism act have in common with a musical?

If you’re a Rodgers and Hammerstein fan you’ll know the song that gave us this article’s headline. Either way, what you will know is the significant way in which the world has changed in recent years in relation to information sharing.

From 1 July 2018, as part of a (near) global initiative to promote anti-money laundering and countering financing of terrorism (know as “AML/CFT”) lawyers throughout New Zealand will be legally required to conduct Customer Due Diligence (“CDD”) checks in order to Know Your Client (“KYC”) better, much better.  So like the song in the musical we will be asking you for information to help us get to know you better.

As part of the AML/CFT requirement Harris Tate will need to obtain (and/or reconfirm) the following from you:

• Your full name;

• Your date of birth;

• Your address (or registered office if you are operating a company);

• Your company identifier or registration number; and

• Any information prescribed by regulations.

If you are not the client we will also need to understand your relationship to the client.  For example if you are associated with a company, limited partnership, trust or other legal entity, we’ll also need to obtain the above information from all persons associated with that entity.

In addition to the above, Harris Tate must also obtain:

• Information on the nature and purpose of the proposed business relationship between you and Harris Tate; and

• Sufficient information to determine whether you should be subject to “Enhanced CDD” (“EDD”).  This means we’ll need to ask you additional questions, which may include but may not be limited to, about your source of funds and/or source of wealth.

Unfortunately, if we don’t obtain the required information the AML/CFT laws specify that we are unable to act for you.

By conducting these checks Harris Tate will be helping the police to combat criminals from laundering money through illegal activities such as tax evasion, drug dealing, fraud, theft and immigration offences, to name a few.

If you have any questions in relation to the AML/CFT laws or our KYC requirements please get in touch with us.

(PS if you didn’t already love acronyms, you will soon!)