FINTRAC RELAXES PHOTO ID AUTHENTICATION REQUIREMENT DURING PHYSICAL DISTANCING
FINTRAC guidance sets out the process for verifying the identity of an individual not physically present, via an electronic copy of the government-issued photo ID, by requiring that the authenticity of such government-issued photo ID be determined “by using a technology capable of assessing the document’s authenticity.”
The IIAC approached FINTRAC in early April to request that as a result of the pandemic, FINTRAC permit the use of the single source method using government-issued photo ID through Zoom, FaceTime, WebEx, etc. without the need for the firm to have technology to authenticate the document.
We are pleased to report that after carefully considering our request, FINTRAC, as a temporary measure, has removed the requirement for the firm to have technology to authenticate the identification. As a result, a firm can now simply authenticate the client’s identification via video chat, etc.
It is important for firms to note that they must keep a record of all clients identified using this temporary method and re-verify the identity of clients in accordance with the Proceeds of Crime (Money Laundering) and Terrorist Financing and Regulations when the physical distancing measures have been lifted by public health authorities.
The excerpt from FINTRAC’s website is as follows:
“In instances where the use of credit file and dual-process methods is not possible and where reporting entities can only rely on a government-issued photo identification document to verify the identity of a client not physically present, FINTRAC is now providing additional temporary flexibility to reporting entities… For as long as public health authorities continue to require physical distancing, FINTRAC relaxes the requirement to authenticate a government-issued photo identification document through the use of a technology. As such, where an individual is not physically present, reporting entities can apply human judgement to determine whether a document that they are viewing appears to be authentic. However, all other requirements related to the use of a government-issued photo identification document continue to apply.”
For more information, please contact Michelle Alexander.