We are a FTSE SmallCap Company which is not in the ‘regulated sector’ and thus is not required by law to maintain anti-money laundering (‘AML’) procedures. We would like to know whether other companies (not in the ‘regulated sector’) have implemented AML policies and procedures on a voluntary basis and if so, what their experience has been in implementing appropriate procedures (e.g. was an external consultant used and what approach was taken to the selection and training of anti-money laundering officers?).
The question asks for the experiences of other companies. My previous role was with a regulated company so we were required to have AML compliance procedures. My current company is non-regulated and has assessed the risk of innocent involvement in ML activity as low. We therefore have no specific procedures in place. As the company’s General Counsel, I would be wary of creating a compliance obligation “voluntarily” when none exists in law, both because of the resources that have to be dedicated to something that is not a legal obligation, and also because of the possible creation of a responsibility/duty which (arguably) would not otherwise exist, which in itself creates risks for the company.
We are FMCG and so also not regulated. We have embedded our AML policy in our Code of Conduct and in our financial approvals process (particularly ‘know your customer’ and approvals for cash payments). We have tried to align this with the risk of facilitation payments and the need for reporting (i.e. to avoid ‘books and records’ or ‘non-reporting’ type offences). We have not nominated formal AML officers. We have also attempted to raise awareness through e-learning. We use LRN for our e-learning – they have a good range of ‘off-the-shelf’ compliance related courses.