Part 2AML/CFT requirements and compliance
Compliance with AML/CFT requirements
61Reporting entities to ensure that branches and subsidiaries comply with AML/CFT requirements
A reporting entity must ensure that its branches and subsidiaries that are in a foreign country apply, to the extent permitted by the law of that country, measures broadly equivalent to those set out in this Act and regulations with regard to the requirements for customer due diligence (including ongoing customer due diligence), risk assessments, AML/CFT programmes, and record keeping.
If the law of the foreign country does not permit the application of those equivalent measures by the branch or the subsidiary located in that country, the reporting entity must—
- inform its AML/CFT supervisor accordingly; and
- take additional measures to effectively handle the risk of a money laundering offence and the financing of terrorism.
A reporting entity must communicate (where relevant) the policies, procedures, and controls that it establishes, implements, and maintains in accordance with this subpart to its branches and subsidiaries that are outside New Zealand.


