In the context of the fight against money laundering and terrorist financing, the Money Laundering and Terrorist Financing Prevention Act applies to services provided by as tax adviser, payroll administrator and/or payment service provider. This law implements directive EU 2015/849 to prevent the use of the financial system for money laundering and terrorist financing.
On the basis of this law, Exterus b.v. (Exterus) must identify the client prior to providing our services. There is also an obligation to report so-called unusual (financial) transactions to the Financial Intelligence Unit Netherlands. In such situations, we are not permitted to inform the client about the report made.
Domestic legal entities can be identified using an extract from the Trade Register or a deed from a notary. In the case of a foreign legal person, the identity can be established by an extract from the Trade Register of the country of origin or on the basis of documents, data or information accepted in international business that are recognized as valid means of identification by the law of the country of origin. In addition, it is required to verify the identity of those acting for the legal entity and to save the names and date of birth.
In most cases, the ultimate beneficial owner (UBO) of domestic and foreign legal entities must also be identified. UBO is the natural person who, directly or indirectly, owns more than 25% of, or otherwise has control over, the client.
Natural persons can be identified on the basis of a passport. If the client or UBO is qualified as a politically exposed person, additional investigation will have to be performed.
Identification and verification is part of our client acceptance procedure, which will also include a risk profile of the client and the assignment for Exterus.
If you have any questions about the implementation of the Money Laundering and Terrorist Financing Prevention Act by Exterus, please contact us at [email protected].