AML certification in Cambodia

AML Certification in Cambodia

CAMP Examination includes the following domain:

  • International Case studies on Various Banks
  • Understanding the Risk Based Money Laundering
  • Overall knowledge of the politically exposed persons
  • Overview of International Laws
  • AML/CFT regulations laid down by Financial Action Task Force.

To acquire the CAMP examination, the aspirants are required to register for the same and they are required to give the examination through online mode. There is no negative marking. The minimum passing marks for the same is 75%.

CAMP Certification Importance

CAMP certification i the only certification in AML and Compliance domain. On passing the Certified Anti-Money Laundering Professional (CAMP), the aspirants would enhance and expand their knowledge to protect the organizations from preventing the financial crimes. By doing this course, the financial auditors proof that they have committed the development of there professional skills. Certified Anti-Money Laundering Professional means having better job opportunities along with the high wages.

Preparing CAMP Examination

Exam preparation is the part where you need to prove yourself best. It is necessary to prepare hard to crack the exam. It requires a focused mindset with the goals to  achieve. For clearing the CAMP exam, once you go through the video learning sessions provided by RT Academy. It would help to clear the exam very easily.

Overview of The New AML Law in Cambodia

In this article, we will show an example of one of the changing money laundering laws and explain this law’s features. This law we are talking about is Cambodia’s new Anti-Money Laundering law. As there are new AML laws introduced in Cambodia, at the same time the AML certification in Cambodia should also be looked after.  There are a lot of AML developments in Cambodia that are taking place.  In 2020, Cambodia published the New Law on Anti-Money Laundering and Combating the Financing of Terrorism (‘AML / CFT Law 2020’).

By repealing both the 2007 law of the same name and the 2013 clause. The 2020 AML / CFT Law consists of nine chapters and 47 articles. This law, combined with this law, Combodia aims to increase both the scope of the law and general deterrent measures, thereby further preventing money laundering and terrorist financing and combating them in the best possible way.

Political Exposed People (PEP)

As compared to the ordinary citizens, poltically exposed person have great opprtunities.  They can acquire assets through illegal means such as bribery. PEP are high risk customers.  The AML developments in Cambodia are taking place because of PEP. Politically exposed person includes domestic and foreign officials. The definition of a person who has undertaken important public duties in a foreign country.

Ultimate Beneficial Ownership (UBO)

The Ultimate Beneficial Owner (UBO) means the legal entity that is the beneficiary of the company. The UBO definition  expanded, when the 2020 AML/CFT law came into existence. The law refers to the person who ultimately owns or controls a customer with whom a transaction takes place, including those who exercise ultimate effective control over a legal entity or regulation. AML developments in Cambodia should regard Ultimate Beneficial Owner as there main component.In addition, the 2020 AML / CFT Law stipulates that if the controlled clients are a legal entity, in addition to this statement, the ultimate beneficial owner also includes any person exercising ultimate effective control over the legal entity through stock or voting right.

Customer Due Diligence Meaning by New Law

As more business relationships are classified as ‘high risk’ under the 2020 AML / CFT Law, the burden on reporting organizations is increasing.For this reason, incumbents should use Customer Due Diligence (CDD) measures in a wider range of situations than were previously required.

The 2020 AML / CFT law requires reporting organizations to report large cash transactions and other suspicious transactions that exceed the threshold set by the CAFIU.  In that case, the business must report the transaction within 24 hours.

What Are The CDD Measures in The New Law?

In cases where the risk of money laundering and financing terrorism is considered high, reporting organizations should take enhanced CDD measures in accordance with the CAFIU guidelines. These enhanced CDD measures can include: learn about the true source of funds, obtaining additional information about the identity of customers, conducting ongoing additional monitoring procedures regarding customers’ activities, obtaining information about the true purpose of the transaction, obtaining information about the intended nature of the business relationship.

Advanced Customer Due Diligence Measures

In addition, both under the 2020 Anti-Money Laundering and Counter-Terrörism Financing Act. Reporting entities should implement advanced Customer Due Diligence (CDD) measures in the event of events that:

  • All business relations and transactions with foreign policy survivors as well as family members and close partners of those exposed;
  • Politically exposed person has business relationships.
  • unusual or large transactions
  • Bank transfers that do not contain sender information
  • Business relationships with institutions or individuals in jurisdictions that have inadequate systems to prevent or deter ML/TF
  • Cross-border correspondent banking conducts business relationships.
  • Business relationships with entities or individuals in jurisdictions at high risk of money laundering and/or financing terrorism
  • Business relationships and transactions with internationally politically exposed persons and Cambodian Politically Exposed Persons. As well as family members and close partners of those exposed persons. But only in response to a transaction identified as high-risk

New Penalties Under The Law

Penalties for legal entities identified for violating the 2020 AML / CTF Act include warnings, fines, revocation of operating licenses. Penalties imposed in the 2020 AML / CTF law. As compared to the 2007 law bring higher fines and longer prison sentences. The scope of the penalties is as follows: persons committing money laundering two to five years of imprisonment. They pay a fine of KHR 100,000,000 to KHR 500,000,000.

Suppose natural persons do not report suspicious cash transactions to CAFIU. In that case, they will pay imprisonment from one month to a year. As well as fine between KHR 50,000,000 and KHR 200,000,000. Whereas legal entities are subject to fines between KHR 200,000,000 and KHR 500,000,000. Besides, if the reports contain false information knowing that they are incomplete. The natural persons pay a prison sentence from one month to a year .The fine between KHR 50,000,000 and KHR 200,000,000.While legal persons pay fines between KHR 200,000,000 and KHR 500,000,000. Besides these fines, there are some fines sanctions.