All registered Corporate Service Providers ("CSPs") must comply with the Corporate Service Providers Act 2024 and its Regulations, which include requirements for anti-money laundering, countering proliferation financing, and counter-terrorism financing. To facilitate compliance monitoring, ACRA has appointed private sector compliance firms ("Reviewers") to conduct compliance reviews of CSPs.
CSPs undergoing these compliance reviews will receive observations from the Reviewers to enhance their anti-money laundering, countering proliferation financing, and counter-terrorism financing practices. Following the review, each CSP will receive a detailed compliance assessment report.
Scope and Methodology of Compliance Review
The compliance review encompasses the following areas:
- Evaluation of the CSP's risk assessment methodology for money laundering, proliferation financing, and terrorism financing issues, taking into account the CSP’s risk exposure
- Review of the CSP's internal policies, procedures, and controls
- Examination of customer due diligence and enhanced customer due diligence processes
- Assessment of beneficial ownership information collection procedures
- Evaluation of the CSP's capability and efficiency in providing beneficial ownership information to ACRA
- Review of suspicious transaction reporting procedures
- Assessment of internal communication practices regarding policies, procedures, and controls
- Evaluation of employee training programmes, including scope and frequency
ACRA's Follow-up Actions
Based on the Reviewer's findings submitted to ACRA, the Reviewer may be required to conduct follow-up compliance reviews with the CSP. ACRA may also deploy its own officers to address findings through written correspondence with the CSP or conduct on-site inspections at the CSP's premises. Additionally, ACRA may interview the CSP or its representatives who participated in the compliance review.
