AML policy and KYC policy | Duxa Capital
18122
page-template-default,page,page-id-18122,ajax_fade,page_not_loaded,,qode_grid_1200,qode-child-theme-ver-1.0.0,qode-theme-ver-11.0,qode-theme-bridge,wpb-js-composer js-comp-ver-5.7,vc_responsive
 

AML policy and KYC policy

AML policy and KYC policy
Here, AML policy refers to Anti-money Laundering policy and KYC policy refers to Know Your Customer policy.
The AML policy and KYC policy laid out on this page apply to Duxa Capital and all of its affiliates, who will henceforth be referred to “the affiliates” on this page. The purpose of this policy is to not allow, when it is in the knowledge of the company and its affiliates, any activities that facilitate the use of money for laundering and/or criminal and/or illegal purposes. All the parties associated with the company as affiliates, employees, officers, and partners are obligated to adhere to the contents of the AML policy and KYC policy.
To make the policy clear, money laundering refers to and will refer to on this page as an activity by a person, corporation or any other entity to keep the sources of money hidden to avoid legal actions. At the same time, this person, corporation, or an entity attempts to make this money appear as legal and lawful.
Money laundering takes place in multiple phases. While there are three main phases that make up the money laundering process, a fourth phase can be added for further clarity. The existing three phases include placement, layering, and integration. The fourth phase can be added to explain the start of the process and is named as production. This is the most important stage of money laundering as it defines how entities produce huge amounts of money for laundering purposes.
In the production stage, the entity, which can be a corporation, an individual, a government official, a group of government officials, etc., finds ways to produce money for laundering purposes. For example, a government might bring unnecessary and unneeded projects into the country to make commissions during the execution and completion of these projects. By joining hands with the hired companies and offering them a “cut”, the government shows the costs of the projects much higher than the actual costs on the records. The difference between the “real” cost and the cost “on record” is the money that will be used for laundering purposes.
The placement phase is when this money is converted into different financial instruments and placed into different types of accounts for storing it until it is transported out of the system. The money can be converted into bonds, traveler’s checks, foreign currencies, etc. and then put away in a number of accounts at banks.
The layering phase is the most important, deceptive, and deciding phase of money laundering in which the money launderer moves the stored amount in and out of tens and even hundreds of different accounts. These accounts can be fake i.e. opened in the names of individuals who are either dead or completely unaware of accounts in their names. The purpose of moving the money in and out of accounts is to layer the records in such a way that the trail of the money becomes unrecognizable.
The last and the integration phase is when the money is brought back into the system. This money is then used for making assets, starting businesses, and conducting illegal activities under the disguise of “legal”. Any funding that helps terrorist organizations, terrorist activities, criminal actions, etc. is also considered illegal in the system of Duxa Capital.
Any staff members, partners, affiliates, stakeholders, etc. of Duxa Capital are required by law and obligated under the provision of anti-money laundering and Know Your Customer policies to adhere to the contents of these policies. These Duxa Capital employees, partners, affiliates, etc. have to ensure their adherence to these policies to make the system safe for the legal clients. The laws that they have to adhere to include provisions from FATF’s Money Laundering Recommendations, Basel Committee of Banking Supervision’s account opening guidelines from 2003, and Customer Due Diligence for Banks.
Duxa Capital is dedicated to customer’s safety and hence has introduced continuing training programs for its partners, affiliates, and employees to learn about anti-money laundering and KYC policies. It facilitates all of its stakeholders to receive the necessary courses and educational training programs to apply KYC and AML policies in their daily company-related activities.