41 Enhanced due diligence

(1) Notwithstanding section 35, a reporting entity shall apply on a risk sensitive basis enhanced customer due diligence measures and enhanced ongoing monitoring in any other situation which by its nature presents a higher risk of money laundering, terrorist financing activities or other criminal conduct on the basis of national risk assessment carried out under section 30.
(2) Financial Institutions providing life insurance policies and other investment related insurance policies shall include the beneficiary of such policies as a relevant risk factor in determining whether enhanced due diligence measures are applicable in those cases and if such determination is made, enhanced measures shall be applied to identify such beneficiary, at the time of pay-out.
(3) Without limiting the generality of subsection (1), a reporting entity shall, proportionate to risk, apply enhanced customer due diligence measures and enhanced ongoing monitoring in respect of business relationships and transactions with legal and natural persons from countries which do not apply or fully apply the Financial Action Task Force Recommendations. (Substituted by Act 7 of 2021)