Financial Crime World

Anguilla’s Identity Verification Process: Compliance with AML-KYC Regulations

In the Caribbean island nation of Anguilla, strict regulations governing Anti-Money Laundering (AML) and Countering the Financing of Terrorism (CFT) have been established to safeguard the financial sector. This article summarizes the identity verification requirements under Anguilla’s AML-KYC regulations, primarily focusing on the procedures outlined in Anguilla’s Anti-money Laundering and Terrorist Financing Regulations and the Proceeds of Crime Act.

Scope

This article covers the identity verification requirements under Anguilla’s AML-KYC regulations.

Key Definitions

  • Client: An entity or individual who utilizes Shufti Pro’s identity verification services as their customer.
  • Customer: The client’s end-user whose identity is being verified under the KYC-AML checks.
  • End-user: The client’s customer, as seen from Shufti Pro’s perspective.
  • Document Verification: The process of verifying the authenticity of a government-issued identity document.
  • Identity Verification: The process of confirming the identity of an individual.
  • Proof of Identity: A legitimate government-issued identity document used to ascertain an individual’s identity.
  • Enhanced Due Diligence (EDD): A more rigorous review process for potential business relationships.
  • Third-Party Diligence: Relying on external parties for the background check process.
  • Politically Exposed Person (PEP): An individual holding a public position or exhibiting a higher risk profile.

Anguilla’s AML and KYC Procedures

Anguilla’s framework on AML and KYC procedures consists of regulations designed to ensure that legal and natural persons take appropriate measures to prevent money laundering and terrorism financing. The laws dictate customer screening, identification, and verification procedures.

Identity Verification Requirements

To identify an individual, Anguilla’s regulations mandate that specific identity attributes be verified from official documents, including:

  1. Full name
  2. Date of birth
  3. Principal residential address

Compliant CDD Methods

Shufti Pro offers several identity verification methods to help clients comply with Anguilla’s regulations:

  1. Independent sourced documents: Shufti Pro verifies the identity of the end-user using documents presented, providing a reliable means to confirm the individual’s identity.
  2. Real-time audio-video transmission: Shufti Pro performs a live video session between an Identification Expert and the end-user, enabling the verification of identity documents and a liveness check.
  3. Document verification: Shufti Pro’s specialized Document Verification service checks the authenticity of submitted documents, including verification of security features and document expiration.

Documents Required for Verification

Anguilla accepts various documents as proof of identity and address, including:

  • Passport
  • Driving license
  • Other valid photo ID

Address verification documents include:

  • Utility bills
  • Government department-issued documents
  • Bank statements

Timing of Verification

Identity Verification is not a one-time process. Anguilla’s regulations recommend the application of these procedures in multiple instances, depending on the client’s requirements and the risk profile of their end-users.

Politically Exposed Persons and EDD Measures

To ensure compliance with Anguilla’s regulations, clients are required to determine if their customer is a Politically Exposed Person (PEP), holds a public office, or exhibits a higher risk profile using Shufti Pro’s AML Screening service. This service screens an individual’s selected identity attributes against global regulatory authorities’ watchlists, foreign and domestic databases, compromised PEPs, and sanctioned individuals.

Reliance on External Services

Anguilla’s regulations stipulate that clients can seek the services of third parties to apply due diligence measures. Clients are responsible for collecting all relevant data from the third party promptly. In this scenario, Shufti Pro acts as the external third-party service provider, ensuring that clients maintain due diligence and fulfill AML and KYC obligations.

Record Retention

Anguilla’s regulations demand the retention of data for not less than five years. Clients are required to collect all necessary data, known as Due Diligence Data, from third parties without undue delay.