An analysis of anti-money laundering legislation from a notarial perspective

Abstract

Notaries have a key role to play in combating money laundering and the funding of terrorism. Indeed, the shift in legislators’ focus, from financial institutions to designated non-financial businesses and professions, has meant the inclusion of antimoney laundering legislation within its ambit. The broad aim of this thesis is to examine this role of the notary and to analyse the effects the inclusion of notaries within the scope of anti-money laundering legislation has had on the notarial profession. Not all of the work carried out by notaries falls within the scope of this legislation. However, when carrying out work which falls within the scope of anti-money laundering legislation, notaries are bound to carry out a number of obligations mainly: customer due diligence, record keeping, training of employees and internal and external reporting. Although these form part of a new set of obligations imposed on notaries, there are numerous similarities with previously existing obligations emanating from the Notarial Profession and Notarial Archives Act. This thesis aims to analyse the new set of obligations from a notarial perspective whilst also highlighting the similarities with other obligations imposed on notaries. The introduction of notaries within the scope of anti-money laundering legislation has also led to a number of conflicts between the notaries’ new role as subject persons and their functions and duties described in the Notarial Profession and Notarial Archives Act. This thesis highlights these issues whilst also proposing changes in order to mitigate these conflicts. The concluding remarks also suggest the way forward for notaries in their role as subject persons.