Client AML due diligence requirements

Why do we need this information?

Lawyers are subject to the Anti-Money Laundering and Countering Financing of Terrorism Act 2009 (Act) and associated regulations.  This is because the kinds of services we offer may be seen as an attractive option to those involved in criminal activity.

The Act requires us to undertake due diligence on our clients, which involves requesting information to (i) understand the nature and purpose of your engagement of our services, (ii) obtain and verify entity and individual’ identities, (iii) undertake identity related checks, and (iv) verify source of wealth or source of funds if required. We are also required to report certain international transactions through our trust account, and report any suspicious activity to the Financial Intelligence Unit of the NZ Police.

We complete client due diligence requirements for all clients when they engage us to act on a matter for them that is considered to be a captured activity under the Act. Lane Neave requires any client due diligence obligations to be undertaken before Lane Neave can act on that matter.

How does this affect you as a client?

This means you will have to provide us with personal information and identification documents. If you are instructing us on behalf of an entity, we may also need to request proof of entity ownership and control structures, and/or information to prove the source of wealth or funds you are using.

How to provide this information

For New Zealand and Australian residents, we use an electronic verification system provided by our trusted and authorised third party provider, First AML Limited. This process enables you to complete verification requirements from anywhere by using a mobile phone to enter your personal details, take a photo of your driver licence or passport ID and record a short video of yourself for biometric matching to your ID.

Alternatively, the verification process can be completed in person.  This involves providing your identity documents to us and signing a client form giving consent for us to verify this information and undertake further checks as required by the Act. You can bring identification documents with you when you come to a meeting at our office, where we will take a copy and verify this for our records. If you are unable to visit the office, we can accept certified copies of original documents. Read our section on Trusted Referees to find out how to get your documents certified as a true and correct copy.

For more information on the kinds of documents you may be required to provide, please refer to the Identification Documents section.

When to provide this information

You will receive a Lane Neave Information request by email from our Compliance Department. The requested information must be provided before we can start work on your behalf. If we are not able to obtain the required information from you, it is unlikely we can commence your instructions and will not be able to act for you.

How Lane Neave collects, uses and discloses this information

Lane Neave collects and uses the requested information (“AML information”) for the following due diligence related checks:

• To check and meet Information Assurance Identification Standards to ensure identity information you have provided matches that held by relevant government departments or public datasets, e.g. DIA passport and NZTA driver licence databases, Land Information New Zealand property records, Centrix Credit Bureau.  This includes running anti-fraud and anti-tampering checks.
• To check and meet Binding Assurance Identification Standards by confirming that a person “matches” the identify information they have provided. When completing electronic identity verification this involves the collection of biometric information including a video of the individual and image of the face from the provided identity document. A biometric authentication check is then completed via scans of the face geometry across both images before human review by the Lane Neave Compliance Department.  For manual document certification, binding assurance is undertaken and recorded as a “true likeness of the named individual” by the Lane Neave employee or Trusted Referee.
• To check and confirm the existence and ownership structure of non-individual client structures, e.g. companies, partnerships and trusts. This can include confirming entity details against company and charity registers or official documents and running credit checks where required.
• To check and confirm we are not prohibited from acting for you for any other reason under the Act. This includes running politically exposed person (PEP), adverse media and sanction checks.
• To check and confirm the funds or wealth used in transactions has come from legitimate sources.

We may collect your personal data directly or indirectly from another individual acting on your behalf. We may also collect and share information indirectly with our authorised and trusted third party service provider, First AML Limited, who access a range of government, financial and international databases to collect and verify information. All such use of AML information when accessing those databases is limited to compliance with our obligations under the Act and any other applicable law. Information collected by First AML Limited is held subject to its Privacy Policy.

How your consent is obtained

Lane Neave can only undertake AML information checks with your consent, which is given when using our electronic verification system or by signing a consent form or we make available for that purpose. You may withdraw your consent at any time prior to us undertaking our due diligence process.  To do so, please contact compliance@laneneave.co.nz or the lawyer working with you.

We may provide a copy of the form we collect or, where an electronic verification system is used, any online form and the electronic consent provided, to the third parties used if they require it to evidence your consent in the information matching process they undertake for us.

How your personal data is retained

We retain data for as long as required by law. In New Zealand, the AML/CFT Act requires a minimum retention period of 5 years after the end of a business relationship. Identity documents, and the biometric information contained therein, are retained by Lane Neave to meet this requirement.

Biometric information used solely for the purposes of biometric processing by third-party provider First AML is deleted 30 days after AML information requirements are completed. First AML delete all personal information held by them 5 years after the last completion of your due diligence requirements.

Privacy requirements

Please refer to Lane Neave’s privacy policy for further information on our responsibilities under the Privacy Act 2020.

Lane Neave’s privacy policy sets out information on how to make a complaint. In addition, if your complaint relates to information obtained from an Australian government agency in connection with our identity checking process and you are dissatisfied with the handling of your complaint and you reside in Australia you may contact the Office of the Australian Information Commissioner or Australian Financial Complaints Authority (AFCA):

Office of the Australian Information Commissioner
GPO Box 5218, Sydney NSW 2001
Telephone: 1300 363 992
Mail: GPO Box 5218 Sydney NSW 2001
Fax: +61 2 9284 9666
Email: enquiries@oaic.gov.au