Supervisors like the FMA and DIA regularly check AML/CFT compliance by requesting documentation from reporting entities. A key focus is whether your AML/CFT audit has been conducted on time and if any deficiencies identified have been addressed.
Here, we explain why timely audits matter, what AML supervisors expect, and how Strategi Compliance can help.
Why timely audits matter
AML/CFT audits are required under Section 59 of the AML/CFT Act, and supervisors take them seriously. An overdue audit can raise red flags and lead to further scrutiny. Completing audits on time shows AML supervisors that you are proactive about compliance and risk management.
What supervisors want to see
When the FMA or DIA requests documentation, they are primarily looking for:
- Completed audits: AML supervisors want proof that your AML/CFT audit was conducted on time. If it wasn’t, they will request an explanation and a plan to address the delay.
- Action on deficiencies: If your audit identified deficiencies, supervisors expect a clear action plan outlining how and when they will be addressed.
How to respond to supervisor requests
When responding to FMA or DIA requests, ensure you:
- Respond promptly: Meet deadlines and submit all requested documents on time.
- Be transparent: If your audit identified deficiencies, provide a clear explanation of the corrective actions taken or planned.
- Provide a plan: If there are ongoing issues, outline steps and timeframes for resolution.
How Strategi Compliance can help
At Strategi Compliance, we can assist with:
- Preparing and reviewing your AML/CFT audit to ensure compliance.
- Addressing deficiencies and creating a clear remediation plan.
- Liaising with supervisors to ensure timely and accurate responses.
- Providing ongoing compliance support to help you stay ahead of regulatory requirements.
Timely audits and proactive compliance are key to avoiding regulatory issues. Addressing deficiencies promptly and providing clear action plans demonstrate your commitment to strong AML/CFT practices.
Need help with your AML/CFT audit or responding to supervisor requests? Strategi Compliance is here to assist – get in touch today!