ECSH33110 - Confirming roles and responsibilities
Establishing who are the responsible persons
Following your initial contact with the business, you should have confirmed that the business’s registration details from ETMP are correct and up to date [Link to ECSH 32820 What to establish].
You should establish who the responsible persons are within a business. These include the beneficial owners, officers and managers (BOOMs) as defined in Regulation 3 of the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017. [Link to ECSH 63180 Regulation 3]
Points to considermay include:
- who would be considered BOOMs? [Link to ECSH 45791 Who Needs to be Declared as a Responsible Person]
- how many BOOMs are there?
- have the BOOMs passed the Fit and Propertest (money service businessesand trust or company service providers) or the approvalstest? (art market participants, accountancy service providers, estate agency businesses, high value dealers and letting agency businesses)
- are all the BOOMs listed as responsible persons on the business’s registration?
- if not, what is the reason for this?
Roles and responsibilities
Afterestablishing whothe responsible persons are within the business, you should confirm their role and responsibilities.
Questions may include:
- what is included in the day-to-day roles of the responsible persons?
- who is responsible for receiving internal reports of suspicion?
- who is responsible for the business’s compliance with the MLR 2017?
Sometimes on the standard information package (SIP), you may see that a risk has been identified that the responsible persons have other business interests. You should consider if this is the case, and if so, how much time do they spend on this business in comparison to their other business/es and howthey are able to fulfil their duties.
Note that the same person could be responsible forbothreceiving internal reports of suspicion and the business’scompliance with the MLR 2017. Alternatively,the responsibilities may be held by different individuals depending on the size and nature of the business. There may be instances where responsibilities are shared amongst a number of responsible persons. It is important to understand who is ultimately responsible for each area and how duties are managed between the individuals.
[Link to ECSH 33111 Nominated officer and ECSH 33112 Compliance officer]
Other Staff Members
You should consider the roles and responsibilities of other staff members:
- are there other staff members involved in regulated activity?
- do the roles of other staff members fit the definition of a BOOM?