If you are subject to the Law on the Prevention of Money Laundering and the Financing of Terrorism and Proliferation (the Law), you are required by law to establish and implement an internal control system in your professional activities. Amendments to the Law from 2019 stipulate that the requirements of the Law are the same for both “large banks” and small entrepreneurs.
It is the duty of the subjects of law to “know” or identify their client, with the aim of ascertaining the legal entity – the true beneficiary (PLG) and performing the verification of the client – natural person during client research, using its internal control system. All subjects of the Law need to perform customer identification and customer research before starting cooperation with the customer or existing customers.
The subjects of law are:
- external accountants, sworn auditors, companies of sworn auditors and tax consultants,
- sworn notaries, sworn advocates, other independent legal service providers, when acting on behalf of and for the benefit of their clients, assist in the planning or execution of transactions, participate in them, or perform other professional activities related to transactions on behalf of their clients in relation to:
- purchase or sale of real estate, capital shares of a commercial company,
- management of client’s money, financial instruments, and other funds,
- opening or managing all types of accounts with credit or financial institutions,
- the establishment, management, or investment necessary for the management of legal persons or legal arrangements.
- persons acting as agents or intermediaries in real estate transactions,
- debt recovery service providers.
- and other subjects of the Law specified in Section 3 of the Law.
DSSLegal offers the establishment of an internal control system (ICS) in your company and support in its implementation.
Our AML specialist will develop an individually developed internal control system based on your business area, specifics, and customers.
COMPONENTS OF THE INTERNAL CONTROL SYSTEM:
- Assessment of your scope and risks.
- Development of customer identification and research procedure.
- Procedures for monitoring the Client’s transactions and procedures for detecting suspicious transactions.
- Procedures for reporting suspicious transactions and submitting threshold declarations.
- Procedures for storage and destruction of documents.
- Review of existing system audits and operation of existing procedures.
STEPS IN IMPLEMENTING THE INTERNAL CONTROL SYSTEM:
- Documentation development.
- Customer risk assessment (development of a risk scoring system).
- Appointment of the responsible person.
If required, it is also possible to perform initial and recurrent training of employees (determination of employees’ rights and obligations), updating of the existing internal control system, review and updating of risks.