• An Accountable institution must obtain from a SA citizen or resident in the Republic, that person’s
• Full names;
• Date of birth;
• Identity number;
• Income tax number, if such number has been issued to that person;
• Residential address.
• A persons Identity book or passport can be used for 1,2,and 3 above, the income tax number must be compared to a document issued by SARS, and the address must be verified by a reasonably practical means, taking the guidance notes into consideration (utility bill not older then 3 months etc.) 

• The registered name of the Close corporation (CC) or company (Pty);
• the registration number under which the CC or Pty are incorporated;
• the registered address of the CC or Pty;
• the Trading name;
• The address from which the CC or Pty operates from, or if it has multiple addresses, the address of its head office and the office address seeking to establish a business relationship with the accountable institution.
• the personal verification of the natural persons who own more then 25% of the voting rights of the Pty, the managers or natural persons purporting to contract on behalf of the Pty.
• The personal verification of all the members and each natural person who purports to be authorised to establish a business relationship with the accountable institution.
• Income tax and VAT number
• VERIFICATION OF CC AND PTY:
• In the case of a Pty the most recent versions of the certificate of incorporation (form CM1) and notice of registered office (CM22) and a CC the most recent versions of the Founding statement and Certificate of incorporation (form CK1) and amended founding statement (CK2) if applicable, both need to bear the registers stamp.
• Trade names and business address can be verified by “reasonably practical means, taking into account any guidance notes.”( e.g. a bank statement) 

Reporting STR and CTR

• Reports must be submitted as soon as possible but no later then 15 days after a natural person or any of his or her employees / officers / legal persons, has become aware of a fact concerning a transaction being suspicious, must be reported.
• Reports regarding the cash threshold being exceeded must be reported as soon as possible by not later than  3 days after the natural person or any of his or her employees / officers or other legal entity, has received cash or series of cash transactions exceeding the prescribed limit of R49999.99 
• CASH
• Cash in excess of R49'999.99 deposited into your account
• Cash receipted at the dealership
• Travellers cheques in excess of R49'999.99 Multiple deposits of cash for 1 transaction that exceeds R49999.99 
  

• The report must contain as much of the following information as is readily available:
• The date and time of the transaction or in the case of a series of transactions, the time of the transaction in the 24hr period.
• The description of the transaction or series of transactions.
• The amount of the funds per transaction or series of transactions.
• The currency in which the funds were disposed of.
• The purpose of the transaction or series of transactions.
• Reporting of suspicious or unusual transactions
• Transaction must be reported irrespective of the amount involved.
• A person making a report to the FIC may continue with and carry out the transaction in respect of which the report is required to be made, unless the FIC directs the reporter not to proceed with the transaction.
• FICA overrides secrecy and confidentiality obligations in South African law.
• No duty of secrecy or confidentiality prevents any institution or person from complying with an obligation to file a report under FICA.
• All Accountable and Reporting institutions and other persons who have filed a suspicious and unusual transaction report (STR) with the FIC, may not disclose, make available or discuss that a STR has been filed with the FIC, or share that STR, or the content thereof, with any person, including a supervisory body, even if that supervisory body is exercising powers in terms of section 45, 45A and 45B of FICA.
• FICA protects persons who participate in making reports to the FIC. No criminal or civil legal action can be instituted against anyone who complies in good faith with the reporting obligations of FICA.
• A person making a report may not inform anyone of the contents of a suspicious transaction report or even the fact that such a report has been made.  

• An Accountable Institution may appoint a third party to keep on its behalf any records which that institution must retain in terms of FICA, provided the Accountable Institution has free and easy access to the records.
• If a third party does not comply with the requirements on behalf of the Accountable Institution, the Accountable Institution will be liable for that failure.
• The Accountable Institution must provide the FIC with the third party’s details.
• Accountable Institutions must keep records of a single transaction or of additional transactions concluded in the course of a business relationship.
• Records which relate to the establishment of a business relationship must be kept for a period of at least 5 years from the date on which the business relationship is terminated.
• Records which relate to a transaction which is concluded must be kept for at least 5 years from the date on which that transaction is conclude. 

• Even though FICA does not supply the format of the required training, it is the FIC’s view that training provided by an Accountable Institution should enable its employees and representatives to comply with the provisions of FICA and the Accountable Institution’s internal rules.
• A training program should enable employees to correctly identify different types of clients in accordance with FICA and the regulations. Employees should understand the duty to keep records correctly as per the Accountable Institution’s internal procedures.
• Employees should be able to correctly identify and report different transactions required by FICA and the Regulations.
• Employees with the Accountable Institution should receive training with regards to FICA in line with their responsibilities, activities and skills.
• Employees who are involved in the business of the Accountable Institution that fall within the parameters of FICA and/or who interact with clients are required to have intensive training on the provisions of FICA. Other Employees that are not involved in the above activities may only require basic training. This will include basic training on the relevant legislation, the Accountable Institution’s internal rules and procedures, and the more obvious warning signs in relation to money laundering.
• An Accountable Institution must be able to demonstrate that the training took place and that it was sufficient to enable the employees to understand and comply with FICA.
• It is the view of the FIC that employees of an Accountable Institution should not be allowed to deal with clients if they have not received training on FICA and internal rules of the Accountable institution.
• Training should be ongoing and the FIC recommends that employees should also receive refresher training to ensure that employees are kept abreast of any new developments in terms of FICA 
  

• Employees who are involved in the business of the Accountable Institution that fall within the parameters of FICA and/or who interact with clients are required to have intensive training on the provisions of FICA. Other Employees that are not involved in the above activities may only require basic training. This will include basic training on the relevant legislation, the Accountable Institution’s internal rules and procedures, and the more obvious warning signs in relation to money laundering.
• An Accountable Institution must be able to demonstrate that the training took place and that it was sufficient to enable the employees to understand and comply with FICA.
• It is the view of the FIC that employees of an Accountable Institution should not be allowed to deal with clients if they have not received training on FICA and internal rules of the Accountable institution.
• Training should be ongoing and the FIC recommends that employees should also receive refresher training to ensure that employees are kept abreast of any new developments in terms of FICA  
  

• Money laundering’ - any person who knows or ought reasonably to have known that property is or forms part of the proceeds of unlawful activities and-
  (a) enters into any agreement or engages in any arrangement or transaction with anyone in connection with that property, whether such agreement, arrangement or transaction is legally enforceable or not; or (b) performs any other act in connection with such property, whether it is performed independently or in concert with any other person, which has or is likely to have the effect-
  (i) of concealing or disguising the nature, source, location, disposition or movement of the said property or its ownership or any interest which anyone may have in respect thereof; or
  (ii) of enabling or assisting any person who has committed or commits an offence, whether in the Republic or elsewhere- (aa) to avoid prosecution; or (bb) to remove or diminish any property acquired directly, or indirectly, as a result of the commission of an offence, shall be guilty of an offence.
  
  ‘Assisting another to benefit from proceeds of unlawful activities’ – means any person who knows or ought reasonably to have known that another person has obtained the proceeds of unlawful activities, and who enters into any agreement with anyone or engages in any arrangement or transaction whereby-
  (a) the retention or the control by or on behalf of the said other person of the proceeds of unlawful activities is facilitated; or
  (b) the said proceeds of unlawful activities are used to make funds available to the said other person or to acquire property on his or her behalf or to benefit him or her in any other way, shall be guilty of an offence. 
  

• a) Domestic Prominent Influential Person: If the HVGD determines that a prospective client with whom it engages to establish a business relationship, or the beneficial owner of that prospective client, is a domestic prominent influential person (DPIP) as per the list of examples below and that, in accordance with this RMC Programme, the prospective business relationship or single transaction entails higher risk, the HVGD will:
  
  - obtain senior management approval for establishing the business relationship;
  
  - take reasonable measures to establish the source of wealth and source of funds of the client; and
  
  - conduct enhanced ongoing monitoring of the business relationship  
  

• The HVGT will adopt a similar process in relation to a foreign prominent public official (FPPO), as listed under Schedule 3B of the FIC Act who is an individual who holds, or has held at any time in the preceding twelve months, in any foreign country a prominent public function including that of a:
  
  (a) Head of State or head of a country or government;
  (b) member of a foreign royal family;
  (c) government minister or equivalent senior politician or leader of a political party;
  (d) senior judicial official;
  (e) senior executive of a state-owned corporation; or
  (f) high-ranking member of the military 
  

• To identify if a potential client is a DPIP, including immediate family members, the HVGD will, amongst other:
  - Obtain a confirmation from prospective client as to whether he or she is DPIP or immediate family members are DPIPs.
  - Where applicable, conduct an online search to determine whether a prospective client is a DPIP.
  
  Determine risk profile: The HVGD will determine if the DPIP (where applicable, the immediate family members) presents a higher risk.
  
  Procedural steps: If the DPIP (where applicable, the immediate family members) presents a higher risk, the required approval must be obtained, reasonable measures should be applied to establish the source of funds and the enhanced ongoing monitoring should be applied.
  
  The HVGD firm will, before obtaining approval by senior management, attempt to establish the source of wealth and source of funds of the client, which the client may confirm. The HVGD should understand the client’s wealth profile, e.g.: shares, sale of assets, inheritance, and sources of income, including employment income, directors’ fees, offshore accounts, etc.