Money Laundering Regulations: application for Fit and Proper test (MLR101)
From:
HM
Revenue & Customs
First published: 4 April 2014
Last updated: 28 June 2016, see
all updates
Part of:
Money
Laundering Regulations: forms and guidance and Money
laundering regulations
Only money service businesses or trust or company service providers should use form MLR101 to apply for a
Fit and Proper test under Money Laundering Regulations.
Document
Ref: MLR101PDF, 226KB, 1
page
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Detail
Use form MLR101 to apply for the Fit and Proper test as part of your registration with HM Revenue and
Customs (HMRC) under the Money Laundering Regulations.
Published:
4 April 2014
Updated:
28 June 2016
From: HM
Revenue & Customs
Part of:
Money
Laundering Regulations: forms and guidance
Money Laundering Regulations: introduction
From:
HM
Revenue & Customs
First published: 23 October 2014
Part of:
Money
laundering regulations
Who the Money Laundering Regulations apply to and what they mean for your business.
Contents
1.
Overview
2.
Who
the Money Laundering Regulations apply to
3.
Anti
money laundering controls and monitoring
4.
Reporting
suspicious activity
Overview
Money laundering means exchanging money or assets that were obtained criminally for money or other assets
that are ‘clean’. The clean money or assets don’t have an obvious link with any criminal activity. Money laundering also includes money that’s used to fund terrorism, however it’s obtained.
This guide will help you decide whether Money Laundering Regulations apply to your business and understand
your responsibilities if they do.
Who the Money Laundering Regulations apply to
The Money Laundering Regulations apply to a number of different business sectors, including financial and
credit businesses, accountants and estate agents.
Every business covered by the regulations must be supervised by a supervisory authority. Your business may
already be supervised, for example because you belong to a professional body like the Law Society. If not, and your business falls into one of 5 business sectors, you’ll
likely need to register
with HMRC.
HMRC supervises the following 5 business sectors:
·
Money
Service Businesses
·
High
Value Dealers
·
Trust
or Company Service Providers
·
Accountancy
Service Providers
·
Estate
Agency Businesses
Anti money laundering controls and monitoring
You must put in place certain controls to prevent your business from being used for money laundering if you’re
covered by the Money Laundering Regulations. These include:
·
assessing the risk of your business being used by criminals to launder money
·
checking the identity of your customers
·
checking the identity of ‘beneficial owners’ of corporate bodies and partnerships
·
monitoring your customers’ business activities and reporting anything suspicious to the National Crime Agency (NCA)
·
making sure you have the necessary management control systems in place
·
keeping all documents that relate to financial transactions, the identity of your customers, risk assessment and management procedures
and processes
·
making sure that your employees are aware of the regulations and have had the necessary training
Reporting suspicious activity
You need to appoint
a nominated officer (sometimes called
the money laundering reporting officer) as part of the anti money laundering controls that you have to put in place.
You don’t need to appoint a nominated officer if your business doesn’t have any employees, because you’re
the person who is directly responsible for informing theNCA.
Your nominated officer must be told if anyone in your business knows or suspects that another person is
laundering money or financing terrorism. The nominated officer then has to review the information they have received and decide if it needs to be reported
to the NCA.
Once the nominated officer decides there are reasonable grounds to suspect money laundering they must tell
the NCA at the earliest possible opportunity. The nominated officer should get consent from the NCA to
complete the transaction. If it’s not possible to delay the transaction to get consent, the nominated officer should inform the NCA of this when theysend their report.
Published: 23 October 2014
From:
HM
Revenue & Customs