1. Definition of a PEP
A Politically Exposed Person is a natural person who is or has been entrusted with prominent public functions, for example heads of State or government, ministers, members of parliament, members of supreme courts, ambassadors, high-ranking armed-forces officers, members of the administrative bodies of State-owned enterprises and senior officials of international organisations.
2. Family members
The checks also cover family members, such as a spouse or partner, children and their spouses or partners, and parents.
3. Close associates
Persons known to have close links are also covered, for example joint beneficial ownership of legal entities or other close business relationships with a PEP.
4. Why additional checks are carried out
PEP status entails a potentially higher risk of money laundering and corruption. For this reason the law requires enhanced due-diligence measures, including management authorisation to establish or continue the relationship.
5. Documentation that may be required
We may request additional information on the source of funds and wealth and enhanced monitoring of the relationship. PEP status does not in itself imply any presumption of unlawfulness.
6. Legal basis
Checks are carried out in accordance with applicable anti-money-laundering law, including the Luxembourg law of 12 November 2004 as amended and the relevant European directives. [DETAILED LEGAL REFERENCES — TO CONFIRM]
Questions on this document?
Write to our Compliance function at compliance@asteo.eu or to our Data Protection Officer at dpo@asteo.eu. Postal correspondence: ASTEO LUXEMBOURG S.A., 120 Boulevard de la Pétrusse, L-2330 Luxembourg, Grand Duchy of Luxembourg.
This document is provided for information purposes and constitutes a professional draft pending validation by ASTEO's Legal and Compliance function. In the event of any discrepancy between language versions, the English version prevails unless mandatory local law requires otherwise.
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