Purpose of the Course

To equip employees of accountable institutions with a comprehensive understanding of South Africa’s anti-money laundering (AML) and counter-terrorist financing (CTF) framework, in line with the FIC Act, FATF recommendations, and relevant regulations.

The course will provide practical guidance on identifying risks, performing due diligence, monitoring clients, and managing high-risk relationships.

By the end of this course, participants will be able to:

• Understand the legislative and regulatory framework governing AML, CTF, and beneficial ownership in South Africa.
• Identify and assess money laundering and terrorist financing risks at business, product, and client levels.
• Conduct customer due diligence (CDD) and enhanced due diligence (EDD) for high-risk clients, including PEPs, FPEPs, and PIPs.
• Recognize and manage risks associated with legal persons, trusts, and complex ownership structures.
• Implement procedures for screening clients against Targeted Financial Sanctions (TFS) and UN sanctions lists.
• Respond appropriately when client information is incomplete or when a match to sanctions lists occurs.
• Apply ongoing monitoring, transaction scrutiny, and reporting obligations in line with FICA and FIC directives.

Content

• South Africa’s removal from the FATF grey list and implications
• Recent legal developments and court orders on terrorist financing
• Differences between money laundering and financing of terrorism
• Misuse of NPOs for terrorist financing
• Risk-Based Methodology

• Business Risk Assessments (BRA) and scoring
• Product and services risk assessment
• Client-level risk assessments and high-risk classifications

• Responding to risk: Simplified, Standard, and Enhanced Due Diligence
• Determining beneficial ownership for companies, trusts, and partnerships
• Special considerations for high-risk clients
• Politically Exposed Persons (PEPs) and Prominent Influential Persons (PIPs)
• Immediate family members and close associates
• Risk-based approach and enhanced due diligence requirements
• Ongoing Due Diligence and Transaction Monitoring (Section 21C)
• Inability to Conduct CDD (Section 21E)
• Targeted Financial Sanctions (TFS) and UN Sanctions Compliance (Section 26A & 26B)