AML requests from solicitor&financial institutions

Source of funds etc

Didn't find your answer?

Anyone else getting these?

I had another request today from a landlord who had sold his properties and now trying to invest the proceeds. I'm managed to duck pretty much all these requests so far but it's seems to be becoming more common.

 

Replies (11)

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By David Ex
30th May 2023 12:13

You mean you’re being asked? What exactly is it they’re asking?

Surely the client can just wave the completion statement.

Thanks (2)
Replying to David Ex:
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By Hugo Fair
30th May 2023 12:35

I too am bemused ... so either it's fog-head day or further explanation is required.

"I had another request today from a landlord who had sold his properties and now trying to invest the proceeds" ...

- Presumably landlord is existing client?
- And financial details of sale of properties are therefore already known?
- Client is trying to invest in a property/fund/whatever and the administrator of this requires AML clearance (not just of client but of source of funds)?

So who is asking you for what exactly?

Thanks (1)
Replying to David Ex:
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By SouthCoastAcc
30th May 2023 13:30

Sorry. Solicitors and financial institutions asking me as the client's accountant for official letters which detail the our clients source of funds and so on. There have been questionnaires too.

Yes in this case it should be straightforward but I've also had requests for clients where it isnt so straightforward.

It's frustrating but maybe I'm the only one to get these requests.

It feels very much like the requesting businesses are pushing the AML legwork and risk from them to us.

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By ireallyshouldknowthisbut
30th May 2023 12:16

I'm not keen on saying too much other than factual information, they are clearly looking at source of the funds. So I might say "client disposed of property X, with a net cash after tax of Y" and leave it there. And naturally ignore their form and add a massive disclaimer on your letter or email.

I have had some try and piggy back on our ID checks and have been told a flat "no chance"

Thanks (3)
Replying to ireallyshouldknowthisbut:
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By SouthCoastAcc
30th May 2023 13:32

Yep you are spot on. Good to know.

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John Toon
By John Toon
30th May 2023 14:53

If it were me I'd signpost them to someone like Armalytix and let them rely on the factual information presented and make their own interpretation rather than pretend to be someone elses MLRO.

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By Tom+Cross
30th May 2023 15:02

I think I'd be asking my PII provider whether this is a question I should/can answer, if it was me.
Sounds like much "buck" passing here, rather than practical due diligence.
It's the Solicitor or the Financial Advisers who are being remunerated for "their" work and expertise, while your firm is simply a cog in a wheel. Surely?

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By Roland195
30th May 2023 15:26

I have had a similar request recently- client investing money into a newly formed company to buy a property and the solicitor asking for confirmation that this investment was the proceeds of the sale of another property.

Can't say why the company solicitor preferred to ask me rather than the solicitor who dealt with the sale or why they wouldn't just accept the paperwork.

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Replying to Roland195:
the sea otter
By memyself-eye
30th May 2023 15:53

because they can't sue paperwork.

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By jon_griffey
30th May 2023 17:32

Bl**dy solicitors again. They should not be asking you this. You are not the client's keeper and you do not know the answer.

You 'understand' that the client sold a property but you don't know and cannot be expected to know that this is the source of the proceeds that are being invested. For all you know the proceeds from the property sale are being kept in the Nationwide and it is the cash from under the mattress that is being invested.

Thanks (2)
Replying to jon_griffey:
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By Hugo Fair
30th May 2023 19:56

Ah, quantum proceeds (in two different states and two different places at the same time ... depending on who is doing the looking)?

Thanks (3)