Following the Money Laundering (Amendment No.10) (Jersey) Order 2019 coming into effect on 12 June 2019,

https://www.jerseylaw.je/laws/enacted/Pages/RO-041-2019.aspx the following amendments should be noted:-

1. Amendment of Money Laundering (Jersey) Order 2008
2. Article 1 (interpretation) amended
3. Article 3 (meaning of “customer due diligence measures”) amended
4. Article 10A (financial services business carried on outside Jersey) amended
5. Article 11 (policies, procedures and training to prevent and detect money laundering) amended
6. Article 11A inserted “11A Additional requirements for financial groups”
7. Article 13 (application and timing of customer due diligence measures) amended
8. Article 14 (termination where customer due diligence measures are not completed) amended
9. Article 15 (enhanced customer due diligence) substituted
10. Article 16 (reliance on relevant person or person carrying on equivalent business) amended
11. Article 16A (reliance upon persons in same financial group as relevant person) amended
12. Articles 17 and 18 substituted as follows: –
    1. “Part 3A – exemptions from customer due diligence requirements
       1. 17      Interpretation of Part 3A
       2. 17A   Circumstances in which exemptions under this Part do not apply
       3. 17B   Exemption from applying third party identification requirements in relation to relevant customers acting in certain regulated, investment or fund services business
       4. 17C    Exemption from applying third party identification requirements in relation to certain relevant customers involved in unregulated or non-public funds, trust company business or the legal profession
       5. 17D   Obligations of relevant person who is exempt from applying third party identification requirements
       6. 18  Further exemptions from applying identification requirements
13. Article 19 (records to be kept) amended

The key driver behind the changes follow Monevals comments about Jersey compliance with the FATF 2012 rules and an overarching theme is shown in the following change

• “enhanced customer due diligence measures” means customer due diligence measures that involve specific and adequate measures to compensate for the higher risk of money laundering;”;

Other key changes include (but not limited to)

• “politically exposed person” now means any of the following as defined in Article 15A –
  1. a domestic politically exposed person;
  2. a foreign politically exposed person;
  3. a prominent person;”;
• The obliged person has been amended materially in the steps to be taken albeit the outcome remains the same as it was before the changes!!

Further to the above the JFSC have updated the AML/CFT Handbook for Regulated Financial Services Businesses to reflect the legislative changes.  The updated Handbook can be found here

For further detail explaining the legislative changes, please see the associated:

1. Consultation Paper 

and

2. the Feedback Paper.