Due Diligence

Customer Risk Rating Guideline Q1 2025 - Risk Assessment Framework Lan’s Enterprise Limited Training Program Training Objectives What you’ll learn today: Understand the risk-based approach (RBA) to AML/CFT compliance Identify key risk factors in customer assessment Apply the customer risk rating framework Recognize high, medium, and low risk indicators Implement ongoing monitoring and risk reassessment The Risk-Based Approach Two Pillars of AML/CFT Compliance Holistic Risk Assessment Business-wide risk evaluation Product, service, and channel analysis Targeted Risk Assessment ...

Enhanced Customer Due Diligence ECDD Best Practice Lan’s Enterprise Limited Training Program Training Objectives What you’ll learn today: Define clear internal criteria for identifying ECDD category customers Demonstrate effectiveness of automated and manual ECDD systems Apply risk-based approach to Source of Funds/Wealth verification Implement proper documentation and monitoring procedures Recognize key risk indicators requiring enhanced verification Why ECDD Matters Critical Foundations ECDD is mandated by AML/CFT regulations when higher risk is identified ...

AML Compliance Case Study SkyCity Casino $4.16M Fine Lan’s Enterprise Limited Training Program Presented by: Angela Ji Contact: aml@gmfinance.co.nz Emergency Hotline: +64 09-309-8808 Overview Major AML/CFT breaches spanning 5 years (2018-2023) Systemic failures in compliance program $4.16M penalty imposed by regulators Focus on international business customers No direct evidence of money laundering found, but serious control gaps identified Key Compliance Failures Risk Assessment & Program Management Inadequate AML/CFT compliance programme Failures in risk assessment processes Systemic non-compliance with core obligations Customer Due Diligence Poor monitoring of accounts and transactions Insufficient enhanced due diligence Failures to terminate high-risk relationships Timeline Violations occurred Feb 2018 - March 2023 DIA review conducted Sept 2022 - Dec 2023 Penalty finalized January 2025 Regulatory Context “Casinos can be an attractive way for criminals to launder proceeds of crime. We cannot take the risk that criminals might choose New Zealand casinos as a way of cleaning their dirty money. Casinos must have robust processes in place to protect them from misuse.” ...

Responsibilities Under Money Laundering Supervision Q2 2024 - Your Role as a Reporting Entity Member Lan’s Enterprise Limited Training Program Training Objectives What you’ll learn today: Understand your responsibilities as a reporting entity member Identify the four key areas of AML/CFT compliance Apply customer due diligence requirements correctly Recognize when enhanced due diligence is required Implement effective internal controls and monitoring Your AML Responsibilities Every Team Member Matters As a reporting entity under the AML Act, every member has responsibility under money laundering supervision. ...

🧩 Know Your Customers Get the Picture: The Complete KYC Cycle Q1 2022 Quarterly Training Lan’s Enterprise Limited Training Program Presented by: Angela Ji Do You Really Know Your Customers? “You think you know me, but you don’t know me…” The Reality: Knowing your customers is not a one-time event—it’s an ongoing journey of trust, vigilance, and verification. Training Objectives What you’ll learn today Understand the 6-step KYC cycle and why it never ends Identify when and how to perform Customer Due Diligence (CDD) Recognize situations requiring Enhanced Due Diligence (ECDD) Implement effective ongoing monitoring and transaction review Maintain proper records for regulatory compliance 🌍 The Risk-Based Approach One Size Does Not Fit All KYC depth depends on customer risk level Apply proportionate measures for low, medium, and high-risk profiles Reassess risk whenever new information arises Document rationale for every risk rating decision KYC: It Never Ends The 6-Step Continuous Cycle 👤 Identification – Verify who they are 🔍 CDD – Customer Due Diligence ⚠️ ECDD – Enhanced Due Diligence 🔄 Ongoing CDD – Keep information current 📊 Transaction Monitoring – Watch activity patterns 🧾 Account Review – Regular comprehensive assessment Step 1: Identification Making Sure Customers Are Who They Claim to Be Two Key Timing Requirements: Verify identity before starting the business relationship Verify identity periodically over time Core Principle: Ensure customers are genuinely who they claim to be throughout the entire relationship. ...