WHAT IS AML

The laws to prevent money laundering are designed to monitor financial markets, including real estate transactions. EU rules in this area are largely based on international standards adopted by the Financial Action Task Force (FATF). They are tailored to the EU’s needs and complemented by national rules.

The real estate sector is directly concerned by the rules against money laundering which oblige real estate professionals to be alert to potential criminal activity and impose reporting requirements.

Immosurance is the first European sectorial AML solution dedicated to the Real Estate sector, built by OPTIMASYS in close cooperation with CEPI and various CEPI national associations. The platform was developed with its future users and is set to become the most complete AML solution in the market for Real Estate businesses.

   

Check how ready YOU are for AML - click below:

   

The components of AML for real estate go beyond the usual understanding of KYC (Know Your Customer) and involve the following aspects:

1. KYB - Know Your Business: every real estate business has a series of obligations regarding self-assessment of its own business and needs to apply this at least once per year, or whenever instrumental changes occur in the types of transactions of customers the business has.

- Define & publish the internal AML policy & procedures, specific to the business.

- Document the history of the AML responsible persons (aka the AML Officer & its backups).

- Provide training materials for ongoing AML eduction of every employee and track completion details of each individual.

- Organise a channel to report suspicious activities & transactions anonymously through a whistlebower channel.

2. KYC - Know Your Customer: every sale transaction + all rental transactions where the monthly rental value exceeds 10.000 EUR from the moment parties express an interest to contract (Article 19 of the AML legislation).

- Document the property & the transaction details.

- Verify the ID of every individual in the transactions (also including any party related to the persons executing the transactions, down to the Ultimate Beneficial Owners, etc.), both documentally as biometrically.

- Customer Due Diligence (CDD) and where needed Enhanced Due Diligence (EDD) for all natural and legal persons involved in the transaction:

      • - Sanction lists
      • - PEP checks (Publicly Exposed Persons in the last 12 months, including related persons)
      • - Adverse Media

- Report STR (Suspicious Transaction Report) / SAR (Suspicious Activity Report) to the national body responsible for AML.