Under New Zealand’s Anti-Money Laundering and Countering Financing of Terrorism Act 2009, law firms are legally required to verify the identity of certain clients before providing legal services. This process is known as Customer Due Diligence (CDD).
These requirements are not unique to law firms. Banks, real estate agents, accountants, and other professionals are also subject to the same legislation and must collect similar documentation. The purpose is to help prevent money laundering and the financing of terrorism by ensuring transparency in financial and legal transactions.
Who needs to provide AML documents?
You may be required to provide AML documentation if your matter involves:
- Buying or selling property
- Establishing or managing trusts or companies
- Handling client funds or financial transactions
These are referred to as captured activities, and clients engaging in them are known as captured clients under the AML/CFT Act.
What documents are required?
Standard Due Diligence
For all captured clients, we require:
- A verified photo ID (e.g. passport or driver licence)
- Proof of residential address (e.g. utility bill or bank statement) dated within the last 3 months
Enhanced Due Diligence
For most conveyancing transactions, or trusts we will also request:
- Evidence of source of funds (e.g. bank statements, payslips, IRD documents, gifting letters, etc.)
- Evidence of source of wealth (e.g. investment or inheritance documents)
We cannot begin work until CDD is completed
Please note that we are legally prohibited from commencing work on your matter until the required CDD has been completed. This includes reviewing documents, providing advice, or taking any steps on your behalf. We appreciate your prompt cooperation in providing the necessary information so we can proceed without delay.
Working With Dimension GRC
To streamline this process, we’ve partnered with Dimension GRC, a trusted external onboarding provider. Dimension GRC will contact you directly to assist with completing your CDD or Enhanced Due Diligence requirements. They act on our behalf to securely collect and verify the necessary documentation, ensuring compliance with AML regulations.
Read more about Dimension GRC here.
You can expect clear instructions and support throughout the process. If you have any questions or concerns, you’re welcome to contact either Dimension GRC or our team directly.
