LML4807 ASSIGNMENT 02 2024 SEMESTER 02

Carefully read the factual scenario below and answer the questions that follow with reference to the Financial Intelligence Centre Act 38 of 2001 (FICA). Marcus is a newly employed teller at the Money Galore Bank in South Africa. One day he is approached by a gentleman who identifies himself as Mr. Soobramoney. Although Marcus is not sure who the person is, he looks similar to someone that he has recently seen on TV. Mr. Soobramoney advises Marcus that he is a frequent visitor to South Africa and that he has a diplomatic relation with the government of South Africa. He presents Marcus with an Indian passport. Upon opening the passport, Marcus establishes the famous name Rakish Soobramoney, the newly elected president of India. President Soobramoney asks Marcus to open a bank account for him. 1. In addition to the ordinary identification steps that Marcus is required to take before opening such account, what additional steps must Marcus take in order to open an account in the name of President Soobramoney in terms of FICA? (4) 2. Marcus generally knows that FICA requires the bank to keep records relating to the identification and verification steps taken in 1 above. What type of information must the bank keep records of in relation to the business relationship with President Soobramoney? (4) 3. Marcus, without seeking advice from his line manager, calls DocSave (Pty) Ltd that operates a business of documents storage and archiving. He informs them that he will forward all the recent records of customers’ identification and verification via email and instructs them to keep the records of this information electronically. Does FICA allow the bank to keep the records of the information in electronic form with another person?