Financial Crime World

Angola Approves New AML Regulation: Entity Obligations and Compliance Officer Duties Take Center Stage

In a bid to strengthen its anti-money laundering and counter-terrorism financing (AML/CFT) framework, Angola’s Capital Markets Commission (CMC) has recently endorsed Regulation No. 4/2016, a new regulatory framework aimed at guiding financial institutions and other related entities in adhering to the obligations outlined in Law No. 34/2011.

Regulation No. 4/16: Key Requirements

The regulation, which comes into effect on August 1, 2016, will impact various entities under the CMC’s purview, including managing bodies of regulated markets and investment entities active in securities. Under this new framework, these entities are expected to implement specific mechanisms to thwart money laundering and terrorist financing activities.

  • Due Diligence: Conducting proper due diligence on clients during transactions conducted without their physical presence.
  • Risk Assessment-Based Internal Control System: Establishing a risk assessment-based internal control system to manage the risks of money laundering and terrorist financing.
  • Suspicious Transaction Reporting: Reporting suspicious transactions to the Financial Information Unit (FIU).
  • Designation of Compliance Officer: Designating a Compliance Officer responsible for governing and monitoring the implementation of AML/CFT measures and policies, assessing the effectiveness of the system, ensuring employee training, and providing periodic reports to the CMC on related issues.

Consequences of Non-Compliance

Entities failing to comply with these requirements risk penalties under Law No. 34/2011 and subsequent legislation.

Quote from CMC Spokesperson

“This new regulation underscores Angola’s commitment to combating money laundering and terrorist financing,” said a spokesperson for the CMC. “We urge all entities within our purview to take necessary steps to ensure compliance, including designating a qualified Compliance Officer to oversee AML/CFT efforts.”

Next Steps for Entities

As Angola continues to strengthen its regulatory framework, entities are advised to consult with legal counsel to ensure they are meeting their obligations under Regulation No. 4/16 and related legislation.

Contributor

Tauil & Chequer Advogados contributed to this report.