‘Reporting Entity’ are entities notified under section 2(1)(wa) of the
PMLA from time to time (“Reporting Entity”). Reporting Entity are expected to
comply with the regulations and guidelines issued by the regulatory authorities
including but not limited to Know Your Client (“KYC”) Directions, AML Guidelines
and Countering the Financing of Terrorism (“CFT”) Guidelines. This involves
registering with the FIU-IND developing and implementing robust AML, CFT and KYC
policies within their organizations and training their employees to identify
suspicious transaction.
Registration
with FIU-IND:
Chapter
IV of the PMLA read with Rule 7(1) of the PMLR, stipulates that the Reporting
Entity are required to get themselves registered with the Director, FIU-IND and
also require to communicate the name, designation and address of their designated
Director and the principal officer.
Compliances
under AML and CFT Guidelines:
The AML & CFT
Guidelines are issued for Reporting Entities across various sectors to meet the
expected compliances under the regulations, which includes client due diligence,
enhanced due diligence, suspicious activity reporting, record-keeping, ensure
that records are accessible for regulatory examinations and audits, regulatory reporting,
audits & assessments, etc.
