Bermuda’s AML/ATF supervisors
Different organisations are established as supervisory authorities under the Proceeds of Crime (Anti-Money Laundering and Anti-Terrorism Financing) Regulations of 2008. These consist of:
The Bermuda Monetary Authority for AML/ATF regulated financial organisations, and insurers operating in or out of Bermuda
The Superintendent of Real Estate for brokers and real estate agents
An authorised professional organisation for the appropriate individuals it regulates
The Registrar for High Value Goods Dealers
The Bermuda Gaming Commission, which regulates casino owners
The Financial Intelligence Agency Act of 2007 established the Financial Intelligence Agency (FIA) of Bermuda, which has the authority to receive, gather, store, analyse, and disseminate information pertaining to suspected proceeds of crime and potential terrorism financing in the form of Suspicious Activity Reports (SARs).
How do you comply with AML/ATF regulations in Bermuda?
The Proceeds of Crime (Anti-Money Laundering and Anti-Terrorism Financing) Regulations of 2008 impose several obligations on the obliged entities, including the following:
When an entity starts a business relationship, conducts a one-time transaction, suspects money laundering or terrorism financing, or questions the accuracy or sufficiency of documents, data, or information previously obtained for the purpose of identification or verification, it is required to use customer due diligence measures.
Duty of continuing relationship supervision in business, i.e.:
- Transactions are investigated during the duration of the partnership to make sure they are compatible with the customer's understanding, their business, and their risk profile
- The history and intent of all intricate, exceptionally big transactions, or strange patterns of transactions with no discernible economic or legal purpose should be investigated
- Keeping records of all current papers, data, and information gathered for customer due diligence steps
Obligation to maintain records of the proof of transactions and proof of the customer due diligence
Employees are required to report any information that comes to their attention that could lead to knowledge or suspicion that another person is engaging in money laundering or terrorism financing to a designated reporting officer
Responsibility to maintain an independent audit function that must provide and document an independent and objective evaluation of the AML/ATF framework's sturdiness, as well as the accuracy, completeness, and efficacy of the function's design and internal controls framework and AML/ATF compliance
Obligation to provide staff with training so they are aware of the laws governing money laundering and terrorism financing and can identify and handle transactions that may be related to these crimes
The obligation to select a compliance officer who will:
- Ensure that the compliance programme follows procedures necessary to comply with the Regulations that are in place
- Coordinate and supervise the compliance programme to guarantee continual adherence to the regulations
What are my AML/ATF reporting obligations?
When the reporting officer knows, suspects, or has good reason to suspect that someone is involved in money laundering or terrorism financing, the entities are required to report such suspicion to the Financial Intelligence Agency via a Suspicious Activity Report (SAR).