SOE AND PEP CLASSIFICATION – Managing and avoiding regulatory, reputational and financial risk is a significant challenge for institutions around the world.
Best practice compliance requires close scrutiny of customers, counterparties and partners, especially where these have a connection to some kind of political office. Politically Exposed Persons (PEPs) need to be subjected to a higher level of scrutiny along with their immediate family, close associates and linked entities (companies, close corporations, trusts etc.) and State Owned Entities (SOEs) need also to be fully identified and understood.
This paper discusses the definitions of PEPs and SOEs and suggests that for the purposes of best practice, it is necessary to identify companies that may not be state-owned but where the state has a definite financial interest.
Click below to download.
Loading...