Proceeds of Crime (Money Laundering) and Terrorist Financing Regulations
67.1 (1) A financial entity or securities dealer that determines under paragraph 54.2(1)(a), subsection 54.2(2) or (3) or section 57.1 that a person is a politically exposed foreign person or a family member of, or person who is closely associated with, such a person shall
(a) take reasonable measures to establish the source of the funds that have been, will be or are expected to be deposited in the account in question;
(b) obtain the approval of senior management to keep the account open; and
(c) conduct enhanced ongoing monitoring of the activities in respect of the account for the purpose of detecting transactions that are required to be reported to the Centre under section 7 of the Act.
(2) A financial entity or securities dealer shall also take the measures referred to in paragraphs (1)(a) to (c) if
(a) they determine under paragraph 54.2(1)(a), subsection 54.2(2) or (3) or section 57.1 that a person is a politically exposed domestic person, a head of an international organization or a family member of one of those persons or they determine under subsection 54.2(3) or 57.1(3) that a person is closely associated with a politically exposed domestic person or a head of an international organization; and
(b) they consider, based on an assessment of the risk referred to in subsection 9.6(2) of the Act, that there is a high risk of a money laundering offence or terrorist activity financing offence.
(3) A financial entity or securities dealer shall take the reasonable measures referred to in paragraph 54.2(1)(a) and subsections 54.2(3) and 57.1(1) and (3) — and, if applicable, shall take the measures referred to in paragraphs (1)(a) and (b) — within 30 days after the day on which the account is opened or the day on which the fact that constitutes the reasonable grounds to suspect is detected, as the case may be.
- SOR/2007-122, s. 66
- SOR/2016-153, s. 76
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