MLR3C10525 - Trust or Company Service Providers (TCSPS): Nominee services firms and Money Laundering risks
As the purpose of using a nominee service provider is to conceal the identities of the owners of a company, these firms are regarded as high risk. The risk is that criminals will set up companies that are involved in criminal activity and their involvement with the company is invisible when they make use of nominee structures. It is essential therefore that the proprietors of these firms have robust procedures in place to mitigate this risk.