A. Accept only those clients whose identity is established by conducting due diligence appropriate to the risk profile of the client.

Transcription

1 Custmer Acceptance Plicy (CAP) A. Accept nly thse clients whse identity is established by cnducting due diligence apprpriate t the risk prfile f the client. B. Where the investr is a new investr, accunt must be pened nly after ensuring that pre accunt pening KYC dcumentatin and prcedures are cnducted. - dcuments as per standard nrms t be cllected - identity verificatin f the client t be made thrugh supprt desk PBSPL will fllw the industry standard in implementing the prcedure fr KYC. C. Any transactin frm a client may be accepted nly after Custmer acceptance prcedure is cmpleted. Hwever, Custmer acceptance prcedure and Transactin acceptance prcedure may be initiated simultaneusly in case f lw risk custmers. If Custmer acceptance prcedure rejects a custmer and custmer des nt respnd t requests fr additinal infrmatin, the accunt pening will be rejected. A suitable cnditin may be incrprated in the accunt pening/transactin request frm t this effect. D. The Clients are intrduced in the system thrugh recgnized partners r Mutual fund Partners r Relatinship Managers r any knwn identity. Knw yur client standards identificatin f custmer: A Identity generally means a set f attributes which tgether uniquely identify a natural r legal persn. An individual's identity cmprises his/her name recent phtgraph, signature, date f birth, and the residential address at which he/she can be lcated. In case f nn-individuals, identificatin is established with the help f registratin number, cpies f incrpratin dcuments, lcatin, address f head ffice / registered ffice and identity f authrized signatries.

2 B Identificatin evidence shuld be verified fr: The named accunt hlder(s)/the persn in whse name an investment is registered; Any principal beneficial wner f funds being invested wh is nt the accunt hlder r named investr; Pwer f Attrney Hlders. The failure r refusal by an applicant/custmer falling under high-risk categry t prvide satisfactry identificatin evidence within 30 days f seeking infrmatin and/r withut adequate explanatin may lead t a suspicin that the investr is engaged in mney laundering. In such circumstances, Principal fficer may cnsider making a suspicius activity reprt. C. A risk-based apprach will be adpted twards certificatin f dcuments. Fr lw risk clients, reliance will be placed n a self-certified cpy f the dcuments required t prve identity and address. Fr high-risk clients, the cpies f identificatin dcuments have t be attested by gvernment gazetted fficers r ntarised by a public ntary r by any ther persn wh has pened an accunt with PBSPL after adhering t KYC nrms stipulated under this plicy. Where the beneficial wner is a well established entity like religius trust/endwment bard registered as such with any gvernment authrity, educatinal trust having a standing f nt less than 10 years and gd reputatin in the lcality where it is situated, recgnised Nngvernment rganisatin, cmpanies listed n recgnized stck exchanges, SEBI registered intermediary, IRDA registered insurance cmpany r insurance intermediary, pensin fund registered under apprpriate authrity, SEBI recgnised stck exchange, scheduled cmmercial bank, gvernment departments, gvernment agencies, statutry bdies, public sectr undertakings and such ther entities f irrefutable reputatin the dcumentatin fr establishing identificatin include certified true cpies f Memrandum and Articles f Assciatin and Certificate f Incrpratin. Hwever, identificatin f the authrised signatry shall be n the lines f lw risk individual custmers.

3 Custmer Identificatin Prcedure Pre-accunt Opening: The submissin f all dcuments required under this plicy is a prerequisite fr accunt pening fr all custmers. Incmplete applicatin (including incmplete dcumentatin) is t be rejected. PBSPL will fllw the industry standard fr implementing custmer identificatin prcedure. Hwever, prf f identity and address prf will be verified based n dcumentatin prvided. In case there is a deviatin frm the abve then the apprval f any senir persn r management shall be taken and the prcess shall be cmpleted.

4 Indicative list f suspicius activities A. Cash Transactins: PBSPL des nt accept cash fr any investment nr des it pay cash twards any redemptin r refunds. Therefre, instances f suspicin n the grunds f cash transactin are nt expected. B. Pay rders / Demand Drafts incming payments: All investments thrugh pay rders/ demand drafts f Rs. 50,000 r mre will require a declaratin frm the custmer that the surce f funds is legitimate r any ther prf as specified under circulars issued by SEBI / Exchanges frm time t time. If the amunt paid thrugh pay rder/demand draft is Rs 50,000 r mre, prcedure given under suspicius transactins may be fllwed if there is n supprting received fr the same. C. Third Party incming payments issued in India: If the cheque twards investment is issued by a payer ther than the accunt hlder r ne f the accunt hlders in case f jint accunt, the fllwing prcedure shall be fllwed: Discurage accepting third party cheques. Hwever, the third party cheque is twards investment by minr r dependent member f the family viz., wife, sn r daughter, father, mther, brther r sister, such third party payments may be accepted if declaratin t that effect is made in the applicatin frm. Further, btain a declaratin frm the custmer cnfirming that the surce f funds fr the payment is legitimate. If n declaratin is given, the transactin will be rejected. D. Transactins that d nt make ecnmic sense Using multiple client cdes fr trading fr same client

5 Frequent churning f particular scripts t generate vlume in the script E Attempts t avid Reprting / Recrd Keeping requirements: Investrs reluctant t prvide infrmatin Investr induces the PBSPL nt t file any reprt / frms F Unusual Activities: O O Any unusual requests like nt-sending f accunt statements Very large number f bank accunts Sudden surge in activity level, Inperative accunts fr mre than 12 mnths becming active suddenly. Frequent change f bank mandates / address i.e., three r mre changes in six mnths. G Custmer wh prvides insufficient infrmatin: Infrmatin / Additinal infrmatin requested but nt frthcming (with in 30 days r request) in relatin t transactins with PBSPL. Frequent Returned Undelivered status n cmmunicatins t investr; 5 r mre in a calendar year. H Certain Suspicius Funds Transfer Activities Inward Wire transfer frm verseas which is nt supprted by adequate declaratins

6 Cuntry f Inward Wire Transfers differing frm Cuntry mentined in bank mandates Bank mandates mentined in high risk and mderate risk cuntries All custmers, channel partners and distributrs are requested t understand PBSPL plicy n KYC standards and AML measures and cperate with PBSPL in implementing these plicy.