Politically Exposed Foreign Person or PEP (UK)
The UK definition of a PEP, as found in the Money Laundering Regulations 2007 are as follows: (This is one text, which is ultimately used by the Joint Money Laundering Steering Group when issuing their Guidance Notes.)
Section 14(5) of the ML Regulations define a PEP as:
“a politically exposed person” means a person who is —
(a) an individual who is or has, at any time in the preceding year, been entrusted with a prominent public function by —
i. a state other than the United Kingdom;
ii. a Community institution; or
iii. an international body, including a person who falls in any of the categories listed in paragraph 4(1)(a) of Schedule 2;
(b) an immediate family member of a person referred to in sub-paragraph (a), including a person who falls in any of the categories listed in paragraph 4(1)(c) of Schedule 2; or
(c) a known close associate of a person referred to in sub-paragraph (a), including a person who falls in either of the categories listed in paragraph 4(1)(d) of Schedule 2.
Where Schedule 2 provides the following clarification: Politically exposed persons
(1) for the purposes of regulation 14(5) are:
(a) individuals who are or have been entrusted with prominent public functions include the following—
i. heads of state, heads of government, ministers and deputy or assistant ministers;
ii. members of parliaments;
iii. members of supreme courts, of constitutional courts or of other high-level judicial bodies whose decisions are not generally subject to further appeal, other than in exceptional circumstances;
iv. members of courts of auditors or of the boards of central banks;
v. ambassadors, chargés d’affaires and high-ranking officers in the armed forces; and
vi. members of the administrative, management or supervisory bodies of state-owned enterprises;
(b) the categories set out in paragraphs (i) to (vi) of sub-paragraph (a) do not include middle-ranking or more junior officials;
(c) immediate family members include the following—
i. a spouse;
ii. a partner;
iii. children and their spouses or partners; and
iv. parents;
(d) persons known to be close associates include the following—
i. any individual who is known to have joint beneficial ownership of a legal entity or legal arrangement, or any other close business relations, with a person referred to in regulation
14(5)(a); and
ii. any individual who has sole beneficial ownership of a legal entity or legal arrangement which is known to have been set up for the benefit of a person referred to in regulation
14(5)(a).
(2) In paragraph (1)(c), “partner” means a person who is considered by his national law as equivalent to a spouse.
Read more about this topic: Politically Exposed Person
Famous quotes containing the words politically, exposed, foreign and/or person:
“All you can be sure about in a political-minded writer is that if his work should last you will have to skip the politics when you read it. Many of the so-called politically enlisted writers change their politics frequently.... Perhaps it can be respected as a form of the pursuit of happiness.”
—Ernest Hemingway (1899–1961)
“He made for the door, automatically resuming his glasses and leaving in front of her, on the floor, his right slipper in token of his speedy return. Then, his desire exposed and his eyes wicked behind their strong lenses, he attempted to push her toward the bed.”
—Vladimir Nabokov (1899–1977)
“When translating one must proceed up to the intranslatable; only then one becomes aware of the foreign nation and the foreign tongue.”
—Johann Wolfgang Von Goethe (1749–1832)
“Remove advertising, disable a person or firm from preconising [proclaiming] its wares and their merits, and the whole of society and of the economy is transformed. The enemies of advertising are the enemies of freedom.”
—J. Enoch Powell (b. 1912)