111Retention of records of customer due diligence

111  Retention of records of customer due diligence

 (1) This section applies to a reporting entity if the reporting entity complies with section 28 (undertaking initial customer due diligence) or 30 (undertaking ongoing customer due diligence) in relation to a customer to whom the reporting entity provides a designated service, or proposed or proposes to provide a designated service.

 (2) The reporting entity must retain, until the end of the 7 year period that begins when the business relationship ends or the reporting entity completes the provision of the occasional transaction, records that:

 (a) are reasonably necessary to demonstrate compliance with the reporting entity’s obligations under Part 2; and

 (b) are in the English language, or in a form in which the records are readily accessible and readily convertible into writing in the English language.

 (3) Without limiting paragraph (2)(a), the records must include:

 (a) sufficient and accurate records which demonstrate the type and content of the data collected by the reporting entity in relation to the customer for the purposes of complying with section 28 or 30; and

 (b) records of any analysis, identification or assessment of ML/TF risk, or decision making, undertaken by the reporting entity in relation to the customer for the purposes of complying with section 28 or 30.

 (4) Subsection (2) is a civil penalty provision.

25  Section 114 (heading)

Omit “identification procedures”, substitute “initial customer due diligence”.

26  Paragraph 114(1)(b)

Omit “carried out an applicable customer identification procedure”, substitute “complied with paragraph 28(3)(c) or (d)”.

27  Section 135 (paragraph (c))

Omit “an applicable customer identification procedure”, substitute “customer due diligence under Part 2”.

28  Paragraph 138(1)(a)

Omit “an applicable customer identification procedure”, substitute “customer due diligence”.

29  Paragraph 138(1)(b)

 (b) the customer due diligence is under section 28 (undertaking initial customer due diligence) or 30 (undertaking ongoing customer due diligence).

30  Subsection 138(2)

Omit “applicable customer identification procedure is under this Act”, substitute “customer due diligence is under section 28 or 30”.

31  Paragraph 138(3)(b)

Omit “an applicable customer identification procedure”, substitute “customer due diligence”.

32  Paragraph 138(3)(c)

 (c) the customer due diligence is under section 28 or 30.