The Council for Financial Activities Control (“Coaf”) published on March 11, 2021, Resolution N. 36, of March 10, 2021. This regulation addresses the implementation of policy and procedures to prevent money laundering, terrorism financing and the financing of the proliferation of weapons of mass destruction (“AML-CFT”), by those subject to Coaf’s supervision, in accordance with Article 14, §1 of Law N. 9.613, of March 3, 1998 (“Anti-Money Laundering Law”).
Coaf’s Resolution N. 36, of 2021, not only defines the aspects related to the form and minimum content of the PLD/FTP policy, but also provides for the governance structure, the need for internal risk assessment, as well as the implementation of mechanisms to know your client, employee, collaborator, outsourced service provider, and partners in any business model.
The companies subject to the regulation must perform periodically the internal risk assessment according to their size and volume of operations, in order to identify and understand the risks of their commercial activities for the possibility of being used for the practices of money laundering and terrorism financing.
The new resolution will come into effect on June 1, 2021, and aims to ensure guide the compliance of the rules established in the Brazilian Anti-Money Laundering Law, as well as to keep the Brazilian PLD/FTP system updated with the international standards to which the country is committed.
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