In this Policy, “we” or “us” refers to Chamber Edit of 8 Fountain Drive, Hertford, SG13 7UB (company number 14174227) and “www.chamberedit.com” a website and a “platform” owned and operated by Styles Chamber Ltd.
1. Introduction
1.1 Chamber Edit is committed to observing the provisions of the Money Laundering, Terrorist Financing and Transfer of Funds Regulations 2017, the Proceeds of Crime Act 2002, Part 7 – Money Laundering Offences and the Terrorism Act 2000 (as amended by the Crime and Courts Act 2013 and the Serious Crime Act 2013) in all of its affairs. This policy aims to ensure that Chamber Edit and all its employees comply with the legislation and that due diligence is applied
1.2 This policy sets out the procedure to be followed if money laundering is suspected and defines the responsibility of individual employees in the process.
1.3 Chamber Edit has a zero-tolerance policy towards money laundering and is committed to the highest level of openness, integrity and accountability, both in letter and in spirit. The penalties for these offences are severe and can mean up to 14 years imprisonment and/or an unlimited fine for the employees and executives responsible.
1.4 This policy applies to all Chamber Edit staff and its subsidiary companies and to all income and expenditure. Any breach of this policy will be a serious matter, may result in disciplinary action and could result in an employee becoming personally liable for criminal prosecution.
2. What is Money Laundering?
2.1 The introduction of the Proceeds of Crime Act 2002 and the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017 has broadened the definition of money laundering and has widened the range of activities controlled by the statutory framework.
2.2 Money laundering covers various crimes, including anything from which individuals or companies derive a pecuniary benefit, directly or indirectly, and can include many crimes that are not initially thought of as connected with money laundering. There is a risk where there are large volumes of cash transactions and where customer identification is not always easy.
2.3 Money laundering is the process by which criminally obtained money or other assets (criminal property) are exchanged for ‘clean’ money or other assets with no obvious link to their criminal origins. Criminal property may take any form, including money or money’s worth, securities, tangible property and intangible property. It also covers money, however, which is used to fund terrorism.
2.4 Money laundering offences include:
• Concealing, disguising, converting, transferring or removing criminal property from England and Wales (Section 327 of the Proceeds of Crime Act 2002 (POCA)
• Arranging, or becoming concerned in an arrangement, which the person who knows, or suspects, or facilitates (by whatever means), the acquisition, retention, use or control of criminal property by or on behalf of another person (Section 328, POCA)
• Acquiring, using or having possession of criminal property (Section 329, POCA)
• Making a disclosure to a person which is likely to prejudice a money laundering investigation (“tipping off”) (Section 333, POCA)
• Becoming concerned in an arrangement facilitating concealment, removal from the jurisdiction, transfer to nominees or any other retention or control of terrorist property (Section 18, Terrorist Act 2000)
3. Chamber Edit Obligations
3.1 Chamber Edit has a responsibility to:
• Receive, consider and report as appropriate the disclosure of any suspicious activity reported.• Implement and maintain a procedure to enable the reporting of suspicious activity.
• Maintain customer identification procedures to ‘know your customer’ in relevant circumstances.
• Maintain adequate records of transactions.
3.2 Chamber Edit adopts a risk-based approach towards anti-money laundering and conducting due diligence.
3.3 Chamber Edit assesses risks relevant to our operations and puts in place the processes and procedures that we deem necessary to mitigate these risks. We determine the appropriate level of due diligence by looking at the geographic and customer risk factors.
4. Empoyee Obligations
4.1 Money laundering legislation applies to all Chamber Edit employees. Any staff member could be committing an offence under the money laundering laws if they suspect money laundering or become involved in some way and do nothing about it. If any employee suspects that money laundering activity is or has taken place or if any person becomes concerned about their involvement, it must be disclosed as soon as possible. Failure to do so could result in their becoming personally liable to prosecution. Guidance on how to raise any concerns is included in this policy document.
5. Money laundering Reporting Officer (MLRO)
5.1 Reports should be made to Solvita Valeika (Acting MLRO) by emailing solvita@chamberedit.com
6. Disclosure Procedure to be followed by Employees
6.1 Where you know or suspect that money laundering is taking or has taken place, or you become concerned that your involvement in a transaction may amount to a breach of the regulations, you must disclose this immediately to the MLRO.
6.2 Your report should include as much detail as possible, including:
• Full details of the people and/or companies involved, including yourself and other members of staff if relevant.
• Full details of the transaction and the nature of each person’s involvement in the transaction.• Suspected type of money laundering activity or use of proceeds of crime with exact reasons as to why you are suspicious.
• The dates of any transactions, where they were undertaken, how they were undertaken, and the likely amount of money or assets involved.
• Any other information that may help the MLRO judge the case for knowledge or suspicion of money laundering that may help to facilitate any report to the National Crime Agency (which replaced the Serious Organised Crime Agency).
6.3 Once you have reported your suspicions to the MLRO, you must follow any instructions given to you. You must not make any further enquiries unless instructed to do so by the MLRO. At no time and under no circumstances should you voice any suspicions to the person(s) you suspect of money laundering, nor should you discuss this matter with any colleagues.
6.4 If appropriate, the MLRO will refer the case to the National Crime Agency (NCA), which will undertake any necessary investigation. This may include consent to continue with a particular transaction, and care should be taken not to ‘tip off’ the individuals concerned; otherwise, you may be committing a criminal offence. The penalty for tipping off is 5 years imprisonment and/or an unlimited fine.
7. Action and Disclosure by the MLRO
7.1 On receipt of a disclosure report, the MLRO will:
• Note the date of receipt and acknowledge receipt of it.
• Assess and advise the individuals concerned when a response can be expected.
• Consider the report and any other relevant information, undertaking further enquiries if necessary, to decide if a report should be made to the NCA.
7.2 Once the MLRO has evaluated the case, a timely determination will be made as to whether:
• There is actual or suspected money laundering taking place.
• There are reasonable grounds to know or suspect that is the case.
• Consent is required from NCA for a particular transaction to proceed.
7.3 Where the MLRO concludes that the case should be disclosed to NCA, this must be done:
• In a timely manner.
• In the prescribed manner on a standard report format provided by NCA.
7.4 Where the MLRO concludes that there are no reasonable grounds to suspect money laundering, then consent will be given for transactions to proceed, and the disclosure report will be marked accordingly.
8. Sanctions
8.1 Financial sanctions relate to specific countries or terrorist groups, known as regimes.
What is prohibited under each financial sanction depends on the financial sanction regulation. Regulations are imposed by the:
• United Nations Security Council – the UK is a member, so it automatically imposes all financial sanctions created by the UN.
• UK Government – a small number of financial sanctions are created by the UK Government.
8.2 The UK government publishes frequently updated guidance on financial sanctions targets, which includes a list of all targets. This guidance can be found at: www.gov.uk/government/publications/financial-sanctions- consolidated-list-of-targets/consolidated-list-of-targets.
8.3 We will monitor the relevant websites to review Sanctioned Parties and ensure that Chamber Edit does not transact with Sanctioned Parties.
9. Record Keeping
9.1 By keeping comprehensive records, Chamber Edit can show that we have complied with the Money Laundering Regulations. This is crucial if there is a subsequent investigation into one of our customers or transactions.
9.2 Records must be kept for five years beginning on either:
• The date a business relationship ends
• The date a transaction is completed
9.3 The MLRO will retain any disclosure reports and any associated relevant documents in a confidential file for a minimum of five years.
9.4 Chamber Edit must retain records for at least seven years after ceasing to transact with an employee, supplier or customer, including risk assessment records, identity and verification and ongoing monitoring. These records are required for other purposes, such as tax compliance and anti-money laundering.
10. Communication and Training
10.1 This policy ensures that staff understand their responsibilities under the AML regime, Chamber Edit due diligence procedures, and how to report suspicious activity.
11. Equality and Diversity
11.1 There is no equality and diversity impact of this policy.
