Money Laundering (Hansard, 22 March 2004)

§ Bob Spink
To ask the Chancellor of the Exchequer what guidance he has published for estate agents on the requirements of the money laundering regulations which comes into force on 1 March; and if he will make a statement. [162457]

§ Ruth Kelly
The Money Laundering Regulations 2003, which came into force from 1 March 2004, impose high-level objectives to counter money laundering upon those carrying out business in the regulated sector. The Government, in line with the approach taken in the 1993 Money Laundering Regulations, does not issue guidance on the Regulations, instead encouraging industry bodies, regulators and supervisory authorities to provide guidance upon how best to meet the requirements of the Regulations. This allows industry the opportunity to tailor procedures to the differing circumstances and risks specific to individual sectors, thereby encouraging a more efficient, proportionate and flexible way of complying with the regulatory requirements. We are aware that the Royal Institute of Chartered Surveyors (RIGS) and the National Association of Estate Agents (NAEA) have drawn up guidance for members; the RIGS guidance to estate agent members and real estate auctioneers is also available to non-members and the general public on its web site.
Industry guidance can be submitted to Treasury for approval.
645W

§ Bob Spink
To ask the Chancellor of the Exchequer whether a photcopy of a conveyancing solicitor's or conveyancer's identification documentation will be sufficient to enable estate agents to meet the money laundering regulations. [162458]

§ Ruth Kelly
The Money Laundering Regulations 2003 require, among other things, that identification procedures are maintained, in certain circumstances, which require the collection of satisfactory evidence of identity for an applicant for business.
We are encouraging, and working with, industry bodies to provide guidance as to what procedures might satisfy this requirement. Ultimately it would be for the courts to decide individual cases whether identification procedures were sufficient.