The International Financial Services Centres Authority (IFSCA) has issued Frequently Asked Questions (FAQs) on the IFSCA (Anti Money Laundering, Counter Terrorist Financing and Know Your Customer) Guidelines, 2022 to provide clarity on the implementation of the Guidelines. The FAQs clarify that they are intended solely for guidance and do not constitute legal advice. In the event of any inconsistency, the provisions of the applicable Acts, Rules, Regulations, and the Guidelines will prevail.
The FAQs explain the applicability of the Guidelines to all Regulated Entities (REs) licensed, recognized, registered, or authorized by IFSCA, and clarify governance and compliance requirements relating to the appointment of Designated Directors and Principal Officers, formulation and approval of AML/CFT/KYC policies, and responsibilities of governing bodies. They also provide guidance on situations involving Fund Management Entities (FMEs), Alternative Investment Funds (AIFs), and branches of regulated entities operating in the IFSC.
Further, the FAQs outline the obligations of regulated entities regarding registration on the FIU-IND FINGate 2.0 portal, including the registration process, reporting requirements under the Prevention of Money Laundering (Maintenance of Records) Rules, 2005, and specific instructions for IFSC entities. The document aims to promote uniform interpretation and effective implementation of the AML/CFT/KYC framework across regulated entities operating in the International Financial Services Centre.
