KYC AML Policy

1. Introduction

This Policy is provided to help you, as a potential or actual client of T.M. Financials (the “Company” or “us”), understand the basic principles the Company employs to discharge its regulatory duties relating to customer identification and verification, and the measures the Company takes to prevent money laundering and terrorist financing on its trading platforms.

This Policy forms an integral part of the Client Agreement between you and the Company, along with other terms and policies governing your relationship with us. As a prerequisite to opening and maintaining a trading account, you must agree to, accept, and consent to the terms of the Client Agreement. By doing so, you also agree to the terms of this Policy.

You must ensure that you have read and understood the contents of this Policy before commencing any operations on your Trading Account.

This Policy establishes the Company’s framework and procedures for:
i. Preventing the Company from being used, intentionally or unintentionally, by criminal elements for money laundering or financing of terrorist activities.
ii. Enabling the Company to know and understand its clients, their background, and source of funds.
iii. Properly identifying and verifying the identity of clients.

This Policy may be modified or altered by the Company at any time, with or without notice.

2. Legal Framework

The Company is required to comply with the following anti-money laundering laws and regulations of Mauritius (as amended from time to time):

  • The Financial Intelligence and Anti-Money Laundering Act 2002 (FIAMLA)
  • The Prevention of Corruption Act 2002
  • The Prevention of Terrorism Act 2002

In accordance with these laws, the Company must establish policies and procedures to prevent money laundering activities. These include, inter alia:

i. Identification and due diligence procedures for clients, through a risk-based approach.
ii. Record-keeping procedures regarding client identity and their transactions on our platforms.
iii. Internal reporting procedures to the Company’s Money Laundering Reporting Officer (MLRO), who reviews information or suspicions of client involvement in money laundering.
iv. Internal control and risk management procedures to prevent money laundering.
v. Examination of transactions considered vulnerable to money laundering, especially large, unusual, or transactions lacking obvious financial or legal purpose.

3. Risk-Based Approach

3.1. Risk-Based Approach in Client Verification

The Company applies appropriate measures and procedures using a risk-based approach, focusing its efforts where the risk of money laundering and terrorist financing is higher. This approach applies during:

  • Client identity verification;
  • Collection of information to build clients’ economic profiles;
  • Ongoing monitoring of client transactions and activities.

Client acceptance is determined after a detailed risk assessment, considering:

  • The client’s profile and transactions;
  • Country of origin or operations;
  • Any other relevant factors.

In accordance with law, the Company verifies the identity of clients and beneficial owners (where the client is a body corporate) during the establishment of the business relationship. Verification may be completed via submitted documents, electronically, or by other means at the Company’s discretion.

3.2. Timing of Client Identification

  • Identification of clients is performed prior to establishing the business relationship.
  • Verification of identity is completed prior to or during the establishment of the relationship, to avoid disruption of business where the risk of money laundering or terrorist financing is low.
  • In cases where risk cannot be considered low, enhanced due diligence must be completed before the business relationship begins.
  • Each client must complete the Company’s KYC (Know Your Customer) procedures by submitting relevant documentation or passing electronic verification.

3.3. Operation of Trading Account Prior to Completion of Verification

  • The Company, at its sole discretion, may permit clients deemed low risk to operate their Trading Account during the establishment of the relationship, subject to a maximum deposit limit of 500,000 Mauritius Rupees (or equivalent in other currencies).
  • Such clients must complete full KYC onboarding and provide all relevant documents within 14 days of opening the Trading Account.

If a client fails to meet the KYC and verification requirements within this timeframe:

  • The Company shall return the deposited funds as part of the termination process and close the account.
  • The relationship will be considered void, and funds must be returned to a bank account in the depositor’s name.
  • If funds cannot be returned to the source account, they shall be retained in a separate bank account until the client completes KYC and due diligence to the Company’s satisfaction, at which point the funds may be withdrawn.

5. Client Identification

To ascertain the true identity of each client, the Company requires the following information and documents:

5.1. Natural Persons

Information required:
i. True name (as stated on official identity card or passport)
ii. Full residential address, including postal code
iii. Telephone number
iv. Email address
v. Date of birth
vi. Nationality
vii. Details of occupation

Documents required:
i. Valid proof of identity
ii. Recent proof of residence (utility bill, local tax authority bill, or bank statement not older than 3 months)
iii. Other documents as may be reasonably required by the Company to verify the client’s source of wealth and occupation

5.2. Legal Entities (Body Corporate, Company, or Other Legal Entity)

Documents and information required:
i. Full name of the legal entity
ii. Address of the legal entity (place of operations)
iii. Certificate of incorporation
iv. Certified copy of license
v. Copy of latest audited accounts or latest management accounts
vi. Certificate or register of directors
vii. Certificate or register of shareholders
viii. Structure chart identifying the company’s Ultimate Beneficial Owner (UBO)
ix. Certified copy of the passport and certified copy of the latest proof of address (less than 3 months old) of two directors
x. Certified copy of the passport and certified copy of the latest proof of address (less than 3 months old) of shareholders
xi. List of authorized signatories or mandates with specimen signatures
xii. Full KYC documents for the ultimate beneficial owner, including evidence of beneficial ownership

5.3. Additional Provisions

  • The Company reserves the right to require notarized and/or apostilled copies of the above documents, along with an English translation if necessary.
  • The Company may implement additional due diligence measures where there is an elevated risk of money laundering.
  • By entering into the Client Agreement, the Client authorizes the Company to conduct searches and transfer information to external databases or verification service providers (such as World Check) as deemed necessary for KYC and verification.
  • The Company retains full discretion regarding the type and form of KYC documents required. Clients will be advised of specific requirements by the Company’s onboarding officer.

6. Politically Exposed Persons (PEPs)

It is the Company’s policy not to establish a business relationship or accept as clients persons who are classified as Politically Exposed Persons (PEPs) or their immediate family members, due to the additional risks they present.

  • The Company may perform checks in external databases (such as World Check) to identify whether a potential client is considered a PEP or is included in any sanctions list.

The meaning of PEP includes natural persons who are or have been entrusted with prominent public functions in any country, such as:
i. Heads of state, heads of government, ministers, and deputy or assistant ministers
ii. Members of parliaments
iii. Members of supreme courts, constitutional courts, or other high-level judicial bodies whose decisions are not subject to further appeal (except in exceptional circumstances)
iv. Members of courts of auditors or boards of central banks
v. Ambassadors and high-ranking officers in the armed forces
vi. Members of administrative, management, or supervisory bodies of state-owned enterprises

7. Record Keeping

The Company documents its verification process, including all KYC information provided by clients, the methods used and results of verification, and the resolution of any discrepancies identified during the process.

  • Records contain details of documents relied on to verify client identity, including:
    • Type of document
    • Identification number
    • Place of issuance
    • Date of issuance and expiration (if applicable)
  • For non-documentary verification, the Company retains documents describing the methods and results of verification.
  • Records also include descriptions of how any discrepancies were resolved.
  • The Company retains all KYC documents, client information, and transaction records for five (5) years after termination of the relationship with the client.

8. Unacceptable Jurisdictions

The Company does not accept clients from the following jurisdictions:

Mauritius, United States of America, Afghanistan, American Samoa, Anguilla, Dominica, Fiji, Guam, Palau, Panama, Trinidad and Tobago, Virgin Islands (U.S.), Vanuatu, Central African Republic, Democratic Republic of Congo, North Korea, Ukraine, Russia, Iran, Iraq, Indonesia, Libya, Mali, Somalia, Sudan, Yemen, State of Palestine., United Arab Emirates.

This list is subject to updates from time to time. Clients must review the latest version of this Policy before commencing registration for a Client Login.