Financial Crime World

Anguilla’s Strict AML-KYC Regulations: A Closer Look at Identity Verification in this Caribbean Island

Anguilla, a beautiful Caribbean island, is known for its robust legal framework against money laundering and terrorist financing. This article focuses on Anguilla’s AML-KYC Regulations and the importance of Identity Verification.

Anguilla’s Regulations and Their Scope

Anguilla’s AML-KYC Regulations provide guidelines for AML and KYC procedures, including Identity Verification. These regulations are outlined in Anguilla’s Anti-money Laundering and Terrorist Financing Regulations and the Proceeds of Crime Act.

Key Definitions

  • Client: Shufti Pro’s customer
  • Customer: The Client’s customer whose identity needs to be verified
  • End-user: The Client’s customer, as seen from Shufti Pro’s perspective
  • Document Verification: Process of confirming the authenticity of a government-issued identity document
  • Identity Verification: Confirming the identity of the end-user
  • Proof of Identity: Any legitimate government-issued document that carries sufficient information to identify a natural person
  • Enhanced Due Diligence (EDD): A comprehensive assessment of potential business relationships, primarily involving Politically Exposed Persons (PEPs)
  • Third-Party Diligence: Outsourcing the due diligence process to an external party

Identity Verification Requirements

Under Anguilla’s regulations, the following attributes must be obtained from official documents for the identification of a natural person:

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

Identity Verification Processes

Shufti Pro offers several measures to confirm the identity of the End-user:

  1. Document Verification using independent source documents
  2. Real-time audio-video transmission for document and identity verification
  3. Document and identity verification using specialized Document Verification service

Proof of Identity and Address in Anguilla

In Anguilla, the following documents are considered proof of identity and address for Identity Verification and Address Verification purposes:

Identity Verification

  • Passport
  • Driving License
  • Other valid photo ID

Address Verification

  • Current utility bill
  • Government department-issued document
  • Bank statement

Additional Information on Timing and Enhanced Due Diligence

Identity Verification is not a one-time process. It’s required:

  • When onboarding a new customer
  • Based on monetary thresholds
  • In the presence of higher risks from customers

Anguilla’s Enhanced Due Diligence (EDD) requirements mandate determining if a Customer is:

  • A PEP
  • Holds a public office
  • Exhibits a higher risk profile

For this purpose, Shufti Pro offers an AML Screening service, which screens an individual’s selected ID attributes against global regulatory authorities’ watchlists, foreign and domestic databases, compromised PEPs, and sanctioned individuals.

Other Relevant Provisions

  • Clients can rely on external services for Identity Verification, but they must maintain all necessary compliance
  • Retained data must be kept for at least five years as part of the Client’s AML and KYC obligations