Anti-Money Laundering Strategy
Click here to download our Anti-Money Laundering Strategy.
Anti-Money Laundering Guide for Members
Click here to download our Anti-Money Laundering Guide for Members.
Anti-Money Laundering Compliance Checklist for Members
Click here to download our Anti-Money Laundering Compliance Checklist for Members.
The 2017 Money Laundering Regulations introduced the concept of the Professional Body Supervisor (PBS), which is responsible for supervising its members on compliance with the 2017 regulations. The IPA is a listed PBS and has increased responsibility for the monitoring and review of its members’ compliance with the regulations in their insolvency and advisory work.
The IPA participates in external committees on Anti-Money Laundering (AML) and supports the Government’s Flag It Up campaign to raise awareness of money laundering. The IPA has a dedicated page on its website dealing with money laundering, which includes information and guidance to members and the public, and a helpline email where questions and concerns can be raised anonymously and in confidence.
Anti-Money Laundering Regulation
The 2017 Money Laundering Regulations introduced new requirements to tackle money laundering, replacing the 2007 Money Laundering Regulations. The regulations require all individuals that provide insolvency services to be supervised for compliance with the regulations by a supervisory authority; the IPA is recognised as a supervisory authority for supervising the compliance of IPA members. The regulations mean that any insolvency practitioner (IP) who is involved with money laundering, even if accidentally, can possibly lose their licence, receive a fine or face criminal prosecution.
It is therefore vital that IPA members are aware of the importance of reporting concerns around money laundering as soon as they might come across them, including submitting Suspicious Activity Reports (SARs). To help members comply with the regulations, the IPA has produced information and guidance (see below). The IPA will be publishing further information and guidance shortly.
The IPA is also delighted to work with the Home Office and National Crime Agency (NCA) to support the Flag It Up money laundering campaign to promote best practice in AML compliance and reporting suspicious activity.
Should an IPA member have any questions regarding AML compliance, please contact us via [email protected]
Information and guidance
5th Money Laundering Directive Guidance
The 5th Money Laundering Directive (5MLD) was enacted on 10 January 2020. It was introduced by the EU in response to changes in how terrorists operate, the publication of the Panama Papers, the use of offshore accounts and the increased use of crypto-currencies and other digital currencies for the purposes of money laundering.
Suspicious Activity Reports Guidance
The IPA not only has responsibilities as a PBS under the 2017 Money Laundering Regulations, but also retains an ongoing responsibility to report suspicions of money laundering to the NCA. Such disclosures to the NCA are Suspicious Activity Reports (SARs). The IPA has a formal SARs guidance document, which can be viewed here.
IPs have a duty under Statement of Insolvency Practice 1 (SIP 1) to report any IP who is not complying, or has not complied with, any relevant laws and regulations to the Complaints Gateway or to their relevant Recognised Professional Body (RPB) (p4 of SIP 1). IPs also have a duty to report IPs who are not complying, or have not complied with, or have allegedly breached AML regulations, and the IPA acts as a Professional Body Supervisor (PBS) under the Money Laundering Regulations.
The IPA’s updated policy on whistleblowing can be found here.
2018 CCAB (Consultative Committee of Accountancy Bodies*) guidance
This guidance is based on the law and regulations as of 26 June 2017 and was adopted by the IPA in 2018. It covers the prevention of money laundering and the countering of terrorist financing. It is intended to be read by anyone who provides audit, accountancy, tax advisory, insolvency, or trust and company services in the United Kingdom and has been approved and adopted by the IPA.
Guidance is provided on: taking a risk based approach; carrying out customer due diligence; SARs reporting; record keeping; training and awareness.
See the guidance here.
*CCAB has five members – ICAEW, ACCA, CIPFA, ICAS and Chartered Accountants Ireland – and provides a forum for the bodies to work together collectively in the public interest on matters affecting the profession and the wider economy.
IT Security Policy
This policy deals with security of data and protection of data and information by the IPA. The IPA has recently updated this policy, which continues to allow for the anonymity of whistleblowers to be retained and for the IPA to meet its obligations as a PBS under the 2017 Money Laundering Regulations.
Tax evasion and fraud
Should members have concerns about tax fraud and evasion, please visit HMRC’s website here or call their fraud hotline on 0800 788 887.
AML Complaints Policy
As a supervisory body, the IPA is required to consider complaints under the Money Laundering Regulations. The IPA’s policy for AML complaints can be found here. This policy is in addition to the IPA’s complaints policy for insolvency complaints, which can be located on our website on the Complaints Guidance page.
Members can also write to us anonymously with any complaints about AML issues via [email protected]
Any member of an IPA committee (who is an IPA member representative or a lay member), or acts in relation to any matter that related to, or arises from, committee work is required to consider if they have any conflict in relation to any business that the relevant committee will be dealing with. A conflict not only covers the considerations in relation to insolvency matters, but also in relation to AML issues. A copy of the Conflicts Policy can be found here, and each committee member – and any new committee members – will be asked to sign a copy of the policy.