EuroGoldCash Anti-Money Laundering Policy
EuroGoldCash, as a digital currency provider, has a responsibility and a
commitment to prohibit and actively prevent money laundering and any activity
that facilitates money laundering or the funding of terrorist or criminal
activities. To fulfill this goal we have implemented a specific,
comprehensive, internal Anti-Money Laundering Policy.
What is Money Laundering?
Money laundering is generally defined as engaging in acts designed to
conceal or disguise the true origins of criminally derived proceeds so
that the unlawful proceeds appear to have been derived from legitimate
origins or constitute legitimate assets. Generally, money laundering occurs
in three stages: (1) cash first enters the financial system at the
"placement" stage, where the cash generated from criminal activities is
converted into monetary instruments, such as money orders or traveler's
checks, or deposited into accounts at financial institutions; (2) at the
"layering" stage, the funds are transferred or moved into other accounts or
other financial institutions to further separate the money from its criminal
origin; and (3) at the "integration" stage, the funds are reintroduced into
the economy and used to purchase legitimate assets or to fund other criminal
activities or legitimate businesses. Terrorist financing may not involve the
proceeds of criminal conduct, but rather attempt to conceal the origin or
intended use of the funds, which will later be used for criminal purposes.
AML Compliance Officer Designation and Duties
EugoGoldCash designates its CEO as its Anti-Money Laundering Program
Compliance Officer (“AML CO”), to supervise EuroGoldCash's AML Program.
The AML CO is qualified by experience, knowledge and training, including
subscriptions to monthly newsletters, which identifies new industry issues.
He receives an electronic subscription to the Compliance Reporter, which
compiles regulatory news stories segregated by category and date. To
supplement these sources, the AML CO attends regulatory conferences.
EuroGoldCash has also designated a backup AML CO.
The supervisory duties of the AML CO include: monitoring the Company’s
AML compliance, overseeing communication, as well as coordinating and
conducting training for employees. The AML CO will also ensure that proper
AML records are kept. When warranted, the AML CO will ensure that all
necessary reports are filed in accordance with Panamanian law.
Customer Identification and Verification.
We collect certain customer identification information from each customer
who opens or maintains an account. We record customer identification
information, verification methods, and the results; documents are requested
of all existing clients and prospective clients are notified that certain
documents are required in order to open an account.
We verify customer identity through documentary evidence, non-documentary
evidence, or both. We use documents to verify customer identity when
appropriate documents are available. In light of the increased instances of
identity fraud, we will supplement the use of documentary evidence by using
the non-documentary means described below whenever possible. We may also use
such non-documentary means, after using documentary evidence, if we are
still uncertain about whether we know the true identity of the customer. In
analyzing the verification information, we will consider whether there is a
logical consistency among the identifying information provided, such as the
customer’s name, street address, zip code, telephone number and company
registration.
We understand that we are not required to take steps to determine whether
the document that the customer has provided to us for identity verification
has been validly issued and that we may rely on a government- issued
identification as verification of a customer's identity. If, however, we
note that any document shows some obvious form of fraud, we consider that
factor in determining whether we can form a reasonable belief that we know
the customer’s true identity.
Our company prohibits the receipt of physical currency as well as any
monetary instruments. This policy is long standing and is documented in
the AML Program, which all associates are encouraged to read upon hire
and every year thereafter.
EuroGoldCash has reviewed all areas of its business to verify that all
potential money laundering risks are covered in the procedures described
above. No additional areas of risk exist and therefore no other procedures
are necessary at this time.