CIMA issues reminder regarding Anti-Money Laundering Officers

      The Cayman Islands Monetary Authority (“CIMA”) this week reminded all persons carrying out relevant financial business (“Licensees and Registrants”) that they are expected and required to ensure that their Anti-Money Laundering Compliance Officers (“AMLCOs”), Money Laundering Reporting Officers (“MLROs”) and their Deputies (together, the “AML Officers”) are fully aware of their respective duties and responsibilities as set out in the Anti-Money Laundering Regulations (2020 Revision) (as amended) (“AMLRs”) and will act in accordance with them.

      The appointment, duties and responsibilities of Anti-Money Laundering Officers

      Licensees and Registrants are further required to ensure that appropriate appointments and the discharge of the day-to-day functions of these AML Officers are made or occur in compliance with Regulations 3, 4, 33 and 34 of the Anti-Money Laundering Regulations.

      As set out in Part II Section 2 (C) and Part II Section 9 (B) of the CIMA AML Guidance Notes on the Prevention and Detection of Money Laundering, Terrorist Financing and Proliferation Financing in the Cayman Islands, appointed AML Officers must be fit and proper to conduct their role and must be, inter alia:

      (i) Suitably qualified and experienced;

      (ii) Persons at a management level who report directly to the Board of Directors or equivalent;

      (iii) Natural persons;

      (iv) Autonomous (meaning the AML Officer is the final decision maker as to whether to file a suspicious activity report);

      (v) Able to have access to all relevant material in order to make an assessment as to whether the activity is or is not suspicious.

      The Cayman Islands Monetary Authority reiterates the responsibilities of AML Officers including:

      1. AML Officers must be able to dedicate sufficient time for the efficient and effective discharge of their respective functions. Where an AML Officer has other professional roles, these should not compromise their independence or ability to carry out their AML functions.
      2. AML Officers must be versed in the different types of transactions that the business conducts which may give rise to opportunities for money-laundering, terrorist financing, proliferation financing and any direct or indirect activity with designated persons or entities.
      3. Where the AML Officer function is outsourced, the Licensee or Registrant retains ultimate responsibility for compliance with the AMLRs and must maintain adequate policies and procedures.

      Waystone’s AML Officers ensure compliance for Cayman funds

      Waystone has a dedicated team of independent, professional AML Officers from diverse backgrounds within the funds industry, each with deep experience, strong technical knowledge, and relevant AML qualifications. Our AML Officers are ready to assist your Cayman investment funds and fund management companies with their AML programs to help ensure AML compliance is maintained to the highest standards.

      In addition to acting as AMLCO, MLRO and DMLRO, our AML Officers can perform independent AML control reviews, provide consultancy services, assist with AML compliance training programs and prepare compliance manuals. Bespoke solutions are also available on request. Please reach out to our Cayman Solutions team or contact us to find the right solution for your Cayman fund structure.

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