Internal / Confidential KYC Policy
For the purpose of KYC policy, a customer may be defined as:
A person or entity that maintains an account and/or has a business relationship with TOP CAPITAL 24 on whose behalf the account is maintained (i.e. the beneficial owner)
Beneficiaries of transactions conducted by professional intermediaries, such as stock TOP CAPITAL 24, charted accountants, solicitors etc. as permitted under the Law.
Any person or entity connected with a financial transaction, which can pose significant reputation or any other risks to TOP CAPITAL 24, say, a wire transfer or issue of high value demand draft as a single transaction.
KYC policy includes the following eight key elements – customer identification procedures, monitoring of transactions, risk management, training program, internal control system, record keeping, and evaluations of KYC guidelines by internal audit and inspection system, duties / responsibilities and accountability.
An effective KYC program is put in place by TOP CAPITAL 24, establishing appropriate procedure and ensuring their effective implementation. It covers proper management oversight, systems and controls, segregation of duties, training and other related matters. Responsibility is explicitly allocated within the company for ensuring that the company’s policies and procedures are implemented effectively.
The nature and extent of due diligence depends on the risk perceived by the TOP CAPITAL 24 customer profile. TOP CAPITAL 24 internal audit and compliance have an important role in evaluating and ensuring adherence to the KYC policies and procedures. The compliance function provides an independent evaluation TOP CAPITAL 24 own policies and procedures, including legal and regulatory requirements. It ensures that the audit machinery is staffed adequately with individuals who are well versed in such policies and procedures. Internal inspectors specifically check and verify the application of KYC procedures at the branched/offices and comment on the lapses observed in this regard.
TOP CAPITAL 24 KYC Proposed Procedures Manual
Introduction
Identity is composed by attributes such as names used, date of birth and the residential address of the customer. This information can uniquely identify a natural or legal person. For a natural person, the date of birth should be obtained as an important identifier to support the name. If the customer provides an international passport as evidence of identity, the number, date and country of issue should be recorded (preferably the scan should be maintained on files as well).
The identity must be verified any time a business relationship with TOP CAPITAL 24 will be established, an account opened, or a significant one-off transaction is made.
The identity of the following persons should be verified:
1. Clients: sufficient evidence of the identity must be provided to demonstrate that the client is who he/she claims to be.
2. The person acting on behalf of another (such as in a Managed Account Power of Attorney) – both of their identities must be proved by sufficient evidence.
All the following information should be verified with identification documents:
the named account holder/person in whose name an investment is registered;
any major (25% and over) beneficial owner of funds being invested who is not the account holder or the named investor;
the principal controller(s), of an account or business relationship; and any intermediate parties (e.g. where the account is managed or owned by an intermediary).
All the signatories that appear in an account and directors who are not the main controllers, should also report their identities and provide adequate documents.
In case of several account holders for one account, evidence of identification should be provided from all the account holders.
Failure or refusal by an applicant to provide satisfactory identification or evidence within a reasonable period of time without adequate grounds may lead to a suspicion that the depositor or investor is involved in money laundering.
Identifications Procedures
TOP CAPITAL 24 should make sure that its customer is a real person or organization (natural, corporate or legal entity), by acquiring sufficient identification evidence. When reliance is placed on a third party to identify or confirm the identity of an applicant, the overall legal responsibility for obtaining satisfactory identification evidence rests with TOP CAPITAL 24. The purpose is to obtain evidence that a person of that name lives at the address given and that the applicant is really that person, or that the company’s owner are identifiable and that they can be located at the address provided.
In the case of a foreign customer or clients that cannot be physically present at TOP CAPITAL 24 headquarters or local offices, the identification evidence such as the copy of an international passport or a national identity card must be certified by:
an embassy, consulate or high commission of the country of issue;
or a senior official within a bank;
or a lawyer or a public notary.
It should be written “original seen”/”Certified True Copy” on every certified copy of the identification documents.
The photographic evidence of identity should be a good reproduction and when this is not possible the copy of the evidence should be certified as providing a good likeness of the applicant.
The following information should be provided and verified for all private individuals:
the true full name(s) used; and
the permanent home address, including postcode.
The fact the customer of the name provided resides at the address given and that he is
that person should be confirmed by the information provided, such as a utility bill.
If an applicant has recently relocated to a different address, the previous address should be validated.
The following documents can be used to attest the identification information:
Personal Identity Documents.
Current International Passport.
Residence Permit issued by the Immigration Authorities.
Current Driving License.
Inland Revenue Tax Clearance Certificate.
Birth Certificate/Sworn Declaration of Age.
Record of Home Visit.
Confirmation from the electoral register that a person of that name lives at that address.
Recent utility bill (water, electricity, gas, and internet) – note: it is better to use a physical electricity/municipality bill as utility bill, not a mobile telephone bill.
If those documents can’t be provided or are not sufficient, as an alternative or supplementary, the information may be verified electronically by accessing other data sources such as:
An electronic search in the Electoral Register;
Access to internal or external account database;
An electronic search of public records where available.
Besides identity documents, other information must be obtained in the purpose of avoiding money laundering.
In case of doubt and suspicion, customers might be required to provide:
The legal evidence of the relationship between the signatories and the beneficial owner.
The origins and the sources of the funds deposited or invested.
The estimate net worth.
Information about the occupation or employment of the customer.
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