Financial Crime World

BF&M Emphasizes Importance of Know Your Customer Due Diligence in Bermuda

HAMILTON, BERMUDA - BF&M, a leading provider of financial services in Bermuda, has reaffirmed its commitment to strict customer due diligence measures to prevent financial crime and comply with local regulations.

Adhering to Strict Customer Due Diligence Measures

BF&M is required by law to identify and verify the identity of all customers and ensure that information provided is accurate and up-to-date. This includes obtaining certified or notarized valid photo identification documents and utility bills for all clients and ultimate beneficial owners.

Expanded KYC Scope

The Know Your Customer (KYC) scope has expanded beyond traditional forms of photo identification, with BF&M now required to gather additional documentation covering:

  • Geographic factors
  • Source of funds and wealth
  • Ongoing client information
  • And more

Consequences of Non-Compliance

Failure to comply with Bermuda’s financial crime legislation could result in criminal proceedings and/or financial penalties. In such cases, BF&M may be forced to delay its fiduciary obligations or even terminate business relationships with customers.

Commitment to Compliance

“We understand that these measures may cause some inconvenience, but our primary responsibility is to prevent financial crime and protect the integrity of the financial system,” said a spokesperson for BF&M.

The company has emphasized its commitment to working with clients to minimize any disruption to services while complying with local regulations. By taking proactive steps to verify customer identity and detect potential risks, BF&M aims to maintain its reputation as a trusted provider of financial services in Bermuda.

Glossary

  • Criminal Proceedings: Formal criminal charges
  • Know Your Customer (KYC): The process of verifying the identity of clients and assessing potential risks of illegal intentions for business relationships.
  • Personal Data: Data relating to an identified or identifiable person who can be identified directly or indirectly

The following predicate offences, including:

  • Insider trading
  • Piracy
  • Forgery
  • Tax-related crimes
  • And others

are also subject to the KYC scope.