Instruction (Number 04/2017) for Prescribed Businesses

Summary

This Instruction, issued under section 49A(7) of the Criminal Justice (Proceeds of Crime) (Bailiwick of Guernsey) Law 1999, directs prescribed businesses on how to treat business connected with jurisdictions identified by the FATF as high-risk, plus certain jurisdictions of specific concern to the GFSC. It replaced the prior Instruction (Number 03/2017) and has itself since been superseded by a later instruction in the same series.

• FATF Public Statement countries (DPRK, Iran): Prescribed businesses must exercise greater caution, apply enhanced client due diligence, and give special attention to all existing and new business relationships and occasional transactions connected with these countries; for DPRK and Iran, additional measures must ensure correspondent relationships are not used to evade counter-measures.
• On-Going Process countries: For jurisdictions listed under the FATF's Improving Global AML/CFT Compliance: On-Going Process document (including Bosnia and Herzegovina, Ethiopia, Iraq, Sri Lanka, Syria, Trinidad and Tobago, Tunisia, Vanuatu and Yemen), prescribed businesses must factor the jurisdiction's risk into risk assessments of business relationships and occasional transactions.
• GFSC-flagged jurisdictions: For Haiti, Venezuela, and named Central and West African countries (Cape Verde Islands, Cote d'Ivoire, Ghana, Guinea, Guinea Bissau, Liberia, Mauritania, Morocco, Nigeria, Senegal, Sierra Leone), prescribed businesses must exercise greater caution, apply enhanced client due diligence, and give special attention to related business relationships and transactions.
• Supervisory review: The GFSC will review the actions taken by each prescribed business under this Instruction during on-site inspections and by other means.

The document is now marked as superseded, meaning a later GFSC instruction has since replaced its jurisdiction lists and requirements; readers should consult the current instruction for up-to-date country lists.

Key obligations

• Prescribed businesses must exercise a greater degree of caution and apply enhanced client due diligence for business connected with countries named in the FATF Public Statement (DPRK and Iran).
• For DPRK and Iran, prescribed businesses must take appropriate measures to ensure correspondent relationships are not used to bypass or evade counter-measures and risk mitigation practices.
• Prescribed businesses must factor the risk posed by jurisdictions listed under the FATF's Improving Global AML/CFT Compliance: On-Going Process document into their risk assessments of business relationships and occasional transactions.
• Prescribed businesses must exercise a greater degree of caution and apply enhanced client due diligence for business connected with Haiti, Venezuela, and the named Central and West African countries of concern to the GFSC.
• Prescribed businesses must be prepared for the GFSC to review the actions taken under this Instruction during on-site inspections and by other means.

Applies to

prescribed businesses

Related documents

• This document repeals Instruction (Number 03/2017) for Prescribed Businesses