yorky1000
Blogger
Share this content
0
764

Money laundering gone mad?

Money laundering gone mad?

I act for a small residents association with a turnover of £7K. We need a change of cheque signatories. Before agreeing the Co-Op bank want proof of ID of all 12 committee members. This is totally insane. Some of the info required, the members have flatly refused to supply. They are quoting FCA rules - are they correct or have we got a jobsworth?

Is this correct? Does anyone know how to access the rule book?

Replies

Please login or register to join the discussion.

03rd Mar 2016 16:20

My experience is that you even if it isn't FCA rules, it is internal policy. The chances of getting around their requirements are slim to zero as they have little tick boxes that must be ticked!

Thanks (0)
avatar
By JimFerd
03rd Mar 2016 16:37

The committee members were likely on the account before the new AML rules came in. 

With there being a change to the account, this may cause them to need to identify all of the members properly.

Thanks (0)
avatar
03rd Mar 2016 16:46

Do you really need 12 signatories?

The simple way would be to tell those who refuse to confirm their ID that they will have to be removed as signatories. That way they will either comply, or else they can be removed, and they will no longer be a problem.

Thanks (0)
avatar
03rd Mar 2016 16:49

They are not signatories - there are just 3 signatories. Co-op seem to think that because they are on the Committee they are key parties to the account and as such should be verified. Absolute *********

Thanks (0)
avatar
03rd Mar 2016 17:30

Over the top application of ML rules

I had exactly this when I took over as treasurer of a club last year and it took THREE MONTHS to get the signatory changed for Coop bank!  I told them I was the MLNO were I work so was aware of the type of rules they had to comply with but it made no difference at all.

They wanted everything down to inside leg measurement for all committee members as well as the normal id stuff for the signatories and of course many of them were out of the country at various times as most of the committee are no longer working.

However the one I had feared would cause problems (Santander due to the adverse publicity I had heard) was all done in 3 weeks with no problems at all.

Just hang in there and tell them you will be making a claim for any extra costs incurred while you can't get payments approved etc.

Good luck

 

 

Thanks (0)
03rd Mar 2016 17:49

Bankers

The bank decides how it will fulfil the rules, not the customer.   Refuse all you want but don't expect to have the banking facilities.   You're over a barrel here.

Slightly more sinister - but why are some of the committee unwilling to prove who they are ?

Thanks (1)
avatar
03rd Mar 2016 18:01

If it's the Co-op,

you are doomed. It took me 3 months to get a signatory removed. I found a really helpful chap in the end in the bank but even he struggled to get it resolved - they kept just asking for more info. At least we exchanged some entertaining emails.

Thanks (0)
avatar
04th Mar 2016 10:40

Unwilling to prove

Its not unwillingness to prove - its the intrusive nature of some of the questions which even I as a fully qualified FCA with an unblemished record was hesitating to respond to. These are people planting flowerbeds not growing drugs. It is not drugs - its not money laundering - its £7K for goodness sake - to maintain a park which the council should be maintaining.

Its a pity the Co-op cant control their own executives with the same enthusiasm.

Thanks (0)
Share this content