CPD/RME Elective
Course:
Regulatory and
Compliance Updates
in Anti-Money
Laundering for Lawyers

Adrian is the co-founder of KYC Management, a software designed specifically for law firms, accounting firms and trust or company service provider firms in Hong Kong to simplify and accelerate their AML/CFT compliance work.

Adrian is a lawyer qualified in Hong Kong.  Having spent years practising corporate finance law at both international and local firms, he has in-depth knowledge in the regulatory and compliance industry in Hong Kong.  Prior to founding KYC Management, he was an associate at Simmons & Simmons.

Adrian obtained his LLB degree from the University of Warwick and earned his PCLL from the City University of Hong Kong which he graduated with Dean’s List.

The objective of this course is to provide legal professionals in Hong Kong with essential regulatory and compliance updates on Anti-Money Laundering (“AML”) laws and regulations, along with practical guidance on compliance with Practice Direction P.

Laws and regulations in the area of anti-money laundering are constantly changing and it is important for the legal professionals in Hong Kong to be familiar with the latest developments to mitigate regulatory and disciplinary risks.

Led by an expert speaker, the course offers a comprehensive overview of the latest legal and practical aspects of AML compliance for law firms and legal professionals.  Key topics of the course include:

• Discussion about the AML Risks in the Legal Industry
• Latest domestic and international AML/CTF developments
• Discussions on Client Due Diligence, Risk Assessment and Record Keeping Requirements under AMLO and PDP
• Suspicious Transaction Reporting

This course is particularly helpful for law firm partners and legal professionals who want to enhance their understanding of AML/CFT laws and regulations and to safeguard their firms against regulatory and disciplinary risks.

1. Discussion about the AML Risks in the Legal Industry
• Key Money Laundering Risks in the Legal Industry
• Service Risk
• Client Risk
• Country Risk
• Transaction Risk
• Delivery Channel Risk
• Examples where there is a higher AML Risk
2. Latest domestic and international AML/CTF developments
• Overview of the amendments to the Anti-money Laundering and Counter Terrorist Financing Ordinance (Cap. 615) (“AMLO”)
• Key updates to the Practice Direction P (“PDP”) by the Law Society of Hong Kong in view of the new amendments to the AMLO
• Further Guidance on the definition of Politically exposed persons (“PEPs”), in particular, Non-Hong Kong PEPs
• New Categories of PEP - Hong Kong PEPs and International Organisation PEPs
• Requirement of Enhanced Due Diligence for PEPs
• Treatment of Former PEPs
• New definition of “beneficial owner” in relation to a trust
• Name Screening Requirements
• New Requirement on a Firm-wide Risk Assessment
• Additional Guidance regarding the Client Risk Assessment as part of the CDD Process
• Additional Guidance regarding the Use of Documents and Information to identify and verify a Beneficial Owner
3. Discussion on Client Due Diligence, Risk Assessment and Record Keeping Requirements under AMLO and PDP
• Best Recommended Steps of Client Due Diligence
• Client Identification and Verification
• Simplified Due Diligence (SDD)
• Enhanced Due Diligence (“EDD”)
• Client Risk Assessment
• Record Keeping Requirement
4. Discussion on the typical AML/CFT process of (i) onboarding a new client and (ii) ongoing monitoring of an existing client
5. Suspicious Transaction Reporting
• Public-Private Partnership
• Common Types of STRs Filed by Legal Professionals in Hong Kong
• Recommended Approach to identify Suspicious Transaction by the JFIU - The “SAFE” Approach
• When to submit an STR?
• How to submit an STR?
• What to report in an STR?
• Guidance on making a report to JFIU
6. Case Study - HKSAR v Wu Wing Kit and Another [2017] HKCU 3073
7. Questions and Answers