BNM issues Supplemental Document No. 2 to the Money Services Business AML/CFT Policy Document

On 19 September 2019, Bank Negara Malaysia (“BNM”) issued the Anti-Money Laundering and Counter Financing of Terrorism (AML/CFT) – Money Services Business (Sector 3) (Supplementary Document No 2) (“S.D. No. 2”) which took effect immediately.  At the same time, BNM also issued a set of Frequently Asked Questions to provide clarifications on S.D. No. 2.
S.D. No. 2 enables reporting institutions which are licensed under the Money Services Business Act 2011 to carry on money changing business through online channel or mobile channel to adopt electronic Know Your Customer (“e-KYC”) for on-boarding of customers, subject to fulfilment of the requirements set out in S.D. No. 2.
BNM had issued an Exposure Draft of S.D. No. 2 on 9 August 2019.  The Alert that we had issued on the exposure draft can be accessed here.