The European anti-money laundering directive and national implementations thereof, such as the Dutch Wwft (Anti-Money Laundering and Anti-Terrorist Financing Act), oblige certain organisations to perform a client inventory (Customer Due Diligence/CDD). The organisations to which this obligation applies must comply with CDD requirements when they enter into business relationships. It is important for them to ascertain the identity of their customers, determine their risk profiles, and record these results for a possible audit. In addition they are obliged to report irregular transactions. These organisations are therefore expected to know their customers and not to enter into relationships with persons who could damage the reputation of or the confidence in the organisation.
As part of these legislation and regulations, you as a business are required, to perform your own risk assessment in respect of money laundering and terrorism financing, among other things. A Customer Due Diligence check is performed to make this assessment. You must provide this risk assessment to the supervisory bodies (Dutch Authority for the Financial Markets AFM, DNB) if requested. This means you must have the administration or a system in place using which these risk assessments can be performed in a way that is traceable and reproducible, in accordance with the guidelines of the supervisory bodies.
What is SCOPE CDD as a service?
SCOPE Fintech Solutions offers “SCOPE CDD as a service”. This service has been specially developed for organisations that must comply with the Wwft and the Sanctions Act, but do not have the (IT) capacity and/or resources to acquire and implement a CDD solution. SCOPE CDD as a service offers organisations the option of outsourcing the CDD process to SCOPE FinTech Solutions. The supplied lists of persons and/or business associates are screened, checked and marked for periodic review when necessary. The results of the completed checks are incorporated into a detailed report on each person and presented with all the information required for compliance (audit) purposes and the customer file.
So if you decide to utilise SCOPE CDD as a service, you do not have to have your own software and database. As an organisation, you yourself are responsible for ascertaining and providing the names of the business contacts and persons who need to be screened and checked. We will instruct you on how to provide us with this customer data in a secure manner. SCOPE Fintech Solutions will establish the required parameters in consultation with you. SCOPE FinTech Solutions will ensure the data pertaining to these associates and persons is imported into the SCOPE CDDC solution and will then conduct the screening and checks of these contacts and persons for potential risks with the aid of the SCOPE CDD solution. This is ultra-simple and efficient. The result is captured in the SCOPE CDD solution in a way that is traceable and reproducible and supplied to you in the form of a detailed report on each business contact/person. The perfect solution for businesses that lack the time or the capacity to carry out the checks themselves.