PIP’s

Their prominent public position may increase the risk of their involvement in bribery and corruption and consequently of laundering the proceeds of any such activity.

When conducting business or transactions with “Prominent Influential Persons” more scrutiny should be applied during the due diligence process. The reason for this is that their prominent public position may increase the risk of their involvement in bribery and corruption and consequently of laundering the proceeds of any such activity.

The Financial Action Task Force (“FATF”) guidance states that when doing business with PIPs (or their close associates and relatives), you should obtain senior management approval for the relationship, and apply enhanced monitoring and further due diligence by taking further steps to verify that their source of fund is consistent with their legitimate income and makes economic sense.

The UN Sanctions List – also known as the United Nations Security Council Consolidated List – includes all the individuals and entities that the organisation currently subjects to sanction measures.

The United Nations’ sanctions list itself is organized into two sections:

  • Individuals
  • Entities and groups

Entries in each section are listed alphabetically. Further details relating to the reasons for each sanction listing are available on the website of the corresponding UN sanctions committee responsible for the particular sanctions regime.

Enforcement of sanctions and penalties for non-compliance are handled by individual member states, who may impose significant financial penalties on both individuals and entities, along with criminal charges for individuals involved in the breach.