Cordium has added a solution to its platform to protect wealth and fund firms from financial crime.
The solution from the governance, risk and compliance provider is designed to help wealth and fund firms adapt to new requirements of the Criminal Finances Act, set to go into effect in September 2017.
Introduced by HM Revenue and Customs (HMRC), the new legislation is intended to prevent the facilitation of tax evasion in the UK and abroad.
Cordium has developed a solution aligned with the six guiding principles that constitute a reasonable prevention defence, as outlined by HMRC:
* Risk assessment – Determine areas of vulnerability and necessary courses of action
* Proportionate procedures – Implement appropriate risk management policies and systems
* Top-level commitment – Ensure a culture of compliance from the senior level down
* Due diligence – Maintain a thorough knowledge of all parties acting on firm’s behalf
* Communication and training – Ensure policies are understood throughout the organisation
* Monitoring and review – Regularly assess effectiveness and make improvements, as needed
Cordium managing director Matthew Crisp said: 'Fund managers, wealth managers, and other financial service businesses are subject to a higher risk of facilitating tax evasion and we expect such businesses to be held to a higher standard when it comes to the changes required.'
He added: 'The speed with which the new rules have materialised means that firms need to act immediately to ensure compliance. Our new solution will help clients adapt to the measures as quickly as possible in a manner that is practical from a business perspective.'