Resolution SBS No. 789-2018: Standard for the Prevention of Money Laundering and Terrorist Financing Applicable to Obligated Subjects Under the Supervision of the UIF - Peru

Lima, February 28, 2018
S.B.S. Resolution
No. 789-2018

The Superintendent of Banking, Insurance and Private Pension Fund Administrators

CONSIDERING:

That, Article 3 of Law No. 27693, Law creating the Financial Intelligence Unit of Peru and its amendments, provides that it is the function and authority of the Superintendence of Banking, Insurance and Private Pension Fund Administrators, through the Financial Intelligence Unit of Peru - UIF-Peru, to regulate, in coordination with the supervisory bodies of obligated subjects, the guidelines, requirements, sanctions and other aspects related to the prevention systems of obligated subjects to report and of suspicious operation reports and the format of operation records, among others, in accordance with the scope of what is established in said law and its Regulation;

That, Article 3 of Law No. 29038, Law that incorporates the UIF-Peru into the Superintendence of Banking, Insurance and Private Pension Fund Administrators, modified by Legislative Decree No. 1249, Legislative Decree that dictates measures to strengthen the prevention, detection and sanction of money laundering and terrorism, concordant with Article 9-A of Law No. 27693, establishes that obligated subjects to inform the UIF-Peru include, among others, mining companies, real estate agents and lottery games and similar;

That, through Supreme Decree No. 020-2017-JUS, the new Regulation of Law No. 27693 is approved;

That, the Third Complementary Final Provision of Legislative Decree No. 1249, provided that the Superintendence of Banking, Insurance and Private Pension Fund Administrators must issue the regulation on the prevention of money laundering and terrorist financing, applicable to the obligated subjects that are within the scope of its supervision, through the UIF-Peru;

That, in this context, it is necessary to approve the standard for the prevention of money laundering and terrorist financing applicable to the obligated subjects to inform referred to in numeral 3.1 of Article 3 of Law No. 29038, which are under the supervision of the Superintendence of Banking, Insurance and Private Pension Fund Administrators, through the UIF-Peru, in the matter of prevention of money laundering and terrorist financing, which establishes provisions in accordance with the risk analysis of the regulated activities;

That, likewise, it is necessary to establish some aspects for the adequate implementation of the money laundering and terrorist financing prevention system of lawyers and public accountants who are members of their respective colleges, who are obligated subjects according to item 29 of numeral 3.1 of Article 3 of Law No. 29038 and the adaptation of various provisions to the new regulatory framework;

Having the approval of the UIF-Peru and of the Adjunct Superintendent of Legal Advice; and in accordance with the exceptional conditions established in numeral 3 of Article 14 of the Regulation that establishes provisions relative to the publicity, publication of normative projects and dissemination of legal norms of a general nature, approved by Supreme Decree No. 001-2009-JUS and its modifying norms;

In exercise of the powers conferred by Legislative Decree No. 1249, Law No. 29038 and the General Law of the Financial System and the Insurance System and Organic Law of the Superintendence of Banking and Insurance, Law No. 26702 and its modifying norms, in concordance with Law No. 27693 and its modifying and regulatory norms;

RESOLVES:

Article 1.- Approve the Standard for the Prevention of Money Laundering and Terrorist Financing Applicable to the Obligated Subjects Under the Supervision of the UIF-Peru, in the matter of prevention of money laundering and terrorist financing; with the following text:

STANDARD FOR THE PREVENTION OF MONEY LAUNDERING AND TERRORIST FINANCING APPLICABLE TO THE OBLIGATED SUBJECTS UNDER THE SUPERVISION OF THE UIF-PERU, IN THE MATTER OF PREVENTION OF MONEY LAUNDERING AND TERRORIST FINANCING

TITLE I
OF THE MONEY LAUNDERING AND TERRORIST FINANCING PREVENTION SYSTEM

CHAPTER I
GENERAL PROVISIONS

Article 1.- Scope of Application
This standard is applicable, at the national level, to all obligated subjects to inform under the supervision of the SBS, through the UIF-Peru, in the matter of prevention of money laundering and terrorist financing, in accordance with what is established in this standard, unless they are expressly regulated within the scope of application of another standard.

Article 2.- Scope
2.1. This standard is applicable to obligated subjects who dedicate themselves to the following activities, taking into consideration the definitions provided in Article 3 of this standard:

1. Real Estate Agent.
2. Marketing of machinery and equipment included in National Subheadings No. 84.29, No. 85.02 and No. 87.01 of the National Tariff Classification.
3. Trade in jewelry, precious metals and/or precious stones.
4. Mining Companies.
5. Foreign Exchange Buying and Selling.
6. Buying and Selling of Vehicles and Vessels.
7. Construction.
8. Trade in coins, art objects and postage stamps.
9. Buying and Selling of Aircraft.
10. Racecourses and their agencies.
11. Lottery games and similar.
12. Non-profit Organizations (NPOs) that collect, transfer and disburse funds, resources or other assets for charitable, religious, cultural, educational, scientific, artistic, social, recreational or solidarity purposes or for the realization of other types of altruistic or benevolent actions or works; and facilitate credits, microcredits or any other type of economic financing.
13. Lending and/or Pawn.
14. Real Estate Company.
15. Legal entities whose corporate purpose is the provision of legal and/or accounting services, which carry out or intend to carry out on behalf of their client or on their account, in a habitual manner, the activities established in current legislation, hereinafter, professional legal entities.

2.2. The obligated subject must comply with the applicable norms provided in Title II of this Standard.

2.3. In the event that the registered obligated subject loses said status because i) it ceases to exercise the activity, ii) it has a final resolution that cancels or revokes the authorization for the exercise of the function or activity or iii) due to regulatory modification, it must communicate this through a request with the character of a sworn declaration to the UIF-Peru, through the SISDEL platform (plaft.sbs.gob.pe/sisdel) or another electronic means determined by the SBS, attaching the information and documentation that supports the request, within a period not exceeding thirty (30) days from the occurrence of the event or from notification to the obligated subject of the final resolution.

Within fifteen (15) days following the receipt of said request, the UIF-Peru verifies the loss of said status, proceeding to communicate to the requesting obligated subject that it has effected the cancellation of the secret codes assigned to the obligated subject and to the compliance officer, requiring the delivery of the information subject to conservation referred to in Article 31 of this standard, within a period not exceeding thirty (30) days from the receipt of the communication.

Article 3.- Definitions and Abbreviations
For the application of this standard, the obligated subject considers the following definitions and abbreviations:

1. Aircraft: Apparatus or mechanism that can circulate in the air space using the reactions of the air and that are suitable for the transport of people or things, excluding from this definition the apparatus or mechanisms known as ground effect or air cushion vehicles.

2. Real Estate Agent: Natural or legal person, with valid registration in the Real Estate Agent Registry of the Ministry of Housing, Construction and Sanitation, that carries out real estate intermediation operations in exchange for an economic consideration within the national territory. For the purposes of this standard, the activity is restricted to real estate property buying and selling operations.

3. Beneficial Owner: Natural person included within the scope of Article 3, paragraph 3.1, item a) of Legislative Decree No. 1372, Legislative Decree that regulates the obligation of legal entities and/or legal entities to inform the identification of Beneficial Owners, and its amendments.

4. [Deleted by Resolution SBS No. 02351-2023 of July 12, 2023, effective from July 14, 2023.]

5. Code: Code of conduct for the prevention of ML/TF.

6. Marketing of machinery and equipment included in National Subheadings No. 84.29, No. 85.02 and No. 87.01 of the National Tariff Classification: Activity consisting of the buying and selling and/or leasing of new or used machinery and equipment included in National Subheadings No. 84.29, No. 85.02 and No. 87.01 of the National Tariff Classification.

7. Foreign Exchange Buying and Selling: Activity carried out by a natural person with a business or a legal person with valid registration in the "Registry of Companies and Persons who carry out Financial or Currency Exchange Operations" held by the SBS, which consists of the buying and selling of foreign currency or legal tender in: i) presencial manner, in a establishment with a valid operating license for foreign currency exchange issued by the corresponding Municipality, or ii) electronically, through a technological platform, must have, if applicable, the respective authorization issued by the corresponding Municipality. It does not include cryptoassets or cryptocurrencies.

8. Trade in Jewelry: Buying and selling of a jewelry item for an amount equal to or greater than US$ 1,000.00, its equivalent in national currency or other currencies, if applicable. For the purposes of this standard, jewelry constitutes the object intended for personal adornment, made of gold and/or precious stones, used anywhere on the human body; also known as jewelry. It includes design jewelry and/or handmade gold and/or precious stones and does not include costume jewelry.

9. Trade in Precious Metals and/or Precious Stones: For the purposes of this standard, activity carried out by a natural person or a legal person, which consists of the buying and selling of gold and/or precious stones provided for in the Third Complementary Final Provision of the UIF Regulation.

10. Trade in Coins, Art Objects and Postage Stamps: For the purposes of this Standard, it is understood as the buying and selling by piece of such concepts whose amount is equal to or greater than US$1,000.00, its equivalent in national currency or other currencies, if applicable. It does not include the buying and selling of foreign exchange.

11. Buying and Selling of Vehicles, Vessels and Aircraft: Activity carried out by a natural person with a business or a legal person, which consists, for the purposes of this standard, in the buying and selling of new vehicles for an amount equal to or greater than US$ 15,000.00, its equivalent in national currency or other currencies, per unit; and in the buying and selling of new vessels and new aircraft for an amount equal to or greater than US$ 10,000.00, its equivalent in national currency or other currencies, per unit.

12. Construction: Activity that, for the purposes of this standard, refers to the execution of a new building work for housing, office and/or commercial purposes, commissioned by a third party that is not the State, excluding the construction of metal structures or similar; in accordance with the definitions provided in the National Building Regulation approved by Supreme Decree No. 011-2006-VIVIENDA, the Technical Standards that integrate it or those that replace it.

13. Days: Calendar days.

14. Identity Document: National Identity Document for Peruvians, and the foreigner's ID card, passport or legally established document for the identification of foreigners, as applicable.

15. Executor: The natural person who requests or physically carries out the operation.

16. Orderer: The person in whose name the operation is carried out.

17. Beneficiary: The natural or legal person in whose favor the operation is carried out.

18. Vessel: Vessel with a gross tonnage of less than 100, of maritime, riverine and lacustrine scope, in accordance with the Regulation of Legislative Decree No. 1147, which regulates the strengthening of the Armed Forces in the competencies of the National Maritime Authority - General Directorate of Captaincies and Coast Guard, Supreme Decree No. 015-2014-DE, that given its characteristics is included in the national headings No. 8903910000, No.8903999000, 8901101100, No. 8901901100, No. 8903920000 and No.8903991000 of the National Tariff Classification, and whose buying and selling value is for an amount equal to or greater than US$10,000.00, its equivalent in national currency or other currencies, if applicable.

19. Mining Companies: Natural person with a business or legal person, that carries out any of the activities of the mining industry under the concession system and, in addition, is dedicated to the marketing of gold, understood as the buying and selling, import for consumption and/or definitive export of raw or semi-finished gold, without prejudice to the denomination given to it, as well as that obtained as a direct product of a mining and/or metallurgical process.

20. Legal Entities: Are i) autonomous patrimonies managed by third parties that lack legal personality or ii) contracts in which two or more persons, who associate temporarily, have a common right or interest to carry out a specific activity, without constituting a legal person. Investment funds, mutual funds for investment in securities, fiduciary patrimonies and consortia, among others, are considered in this category.

21. FP: Financing of the Proliferation of Weapons of Mass Destruction.

22. Terrorist Financing: Crime typified in Article 4-A of Decree Law No. 25475, Decree Law that establishes the penalty for the crimes of terrorism and the procedures for investigation, instruction and trial, and its modifying norms; as well as in Article 297, last paragraph, of the Penal Code and its amendments.

23. Economic Group: Set of two or more legal persons, national or foreign, in which one of them exercises control over the others, or when control over the legal persons corresponds to one or more natural persons who act as a decision-making unit.

24. Racecourses and their agencies: Sports facilities where equestrian events are held, considering as such horse races organized by entities authorized by current regulations, for which bets are made. For the purposes of this standard, it does not include remote sports betting via internet or other communication means (tele-racecourse, tele-turf or similar).

25. Real Estate Company: Activity that, for the purposes of this standard, is restricted to real estate property buying and selling.

26. Lottery games and similar: Public game administered by a branch of lotteries belonging to a Public Charity Society or private companies sponsored by a certain Public Charity Society or that meet the requirements established in the legislation on the matter. It includes traditional lottery played through tickets, cards and similar, electronic lottery, instant lottery and other modalities of lottery games.

27. ML/TF: Money Laundering and Terrorist Financing.

28. Money Laundering: Crime typified in Legislative Decree No. 1106, Legislative Decree for Effective Fight against Money Laundering and other Crimes Related to Illegal Mining and Organized Crime, and its modifying norms.

29. Law: Law No. 27693, Law creating the Financial Intelligence Unit of Peru, UIF-Peru, and its modifying and complementary norms.

30. Manual: Manual for the prevention and management of ML/TF and FP risks.

31. Coin: Metal piece, minted, with its own value (denomination), in which the monetary unit of a country is represented, which is of collection and as such has a value that exceeds its melting value, known as historical, aesthetic and/or numismatic value.

32. Standard: Standard for the prevention of money laundering and terrorist financing applicable to the obligated subjects under the supervision of the Superintendence of Banking, Insurance and Private Pension Fund Administrators, through the UIF-Peru, in the matter of prevention of money laundering and terrorist financing.

33. Art Object: Material object or work created in all cases by natural persons, that effectively belongs to the author and is not a copy of another's work; that can be of historical, archaeological, artistic and/or cultural interest.

34. Unusual Operations: Operations carried out or attempted to be carried out, whose amount, characteristics and periodicity do not relate to the client's economic activity, fall outside the parameters of normality current in the market or do not have an evident legal basis. Without prejudice to the nature and complexity of the operation, additional information or criteria can be considered, such as the economic activity of suppliers and counterparties, geographic zones or countries at risk of ML/TF, sources of financing, among others.

35. Suspicious Operations: Operations carried out or attempted to be carried out, whose amount or characteristics do not relate to the client's economic activity, or that do not have an economic basis; or that by their number, amounts transacted or the particular characteristics of these, can reasonably lead to suspect that the obligated subject is being used to transfer, handle, take advantage of or invest resources coming from criminal activities or intended for their financing.

36. Supervisory Body: the UIF-Peru.

37. Non-profit Organizations (NPOs): Non-profit legal entity constituted in the form of an association or foundation and registered in the SUNARP registry, which in addition to collecting, transferring and disbursing funds, resources or other assets for charitable, religious, cultural, educational, scientific, artistic, social, recreational or solidarity purposes or for the realization of other types of altruistic or benevolent actions or works; facilitates credits, microcredits or any other type of economic financing. These NPOs are supervised in the matter of ML/TF prevention solely by the UIF-Peru, without prejudice to being registered with the Peruvian Agency for International Cooperation (APCI) or the Foundation Supervision Council (CONSUF).