Party Due Diligence – what are the requirements?

The FIC Amendment Act requires businesses to conduct a risk assessment (due diligence) on all parties before they enter into a business relationship or transaction. Some of the requirements of the Act are prescriptive, while others require businesses to define their own processes and rules based on the risk inherent to the business.

Party Due Diligence (PDD) is a Sanlam term for the legislative requirements, such as those required by the FIC Amendment Act, that relate specifically to the combating of financial crimes, including terrorist financing, money laundering, tax evasion and bribery. It refers to the processes that businesses must follow to know exactly who they’re doing business with.

Sanlam would like to share some pertinent information about PDD processes and requirements in our different businesses. This information is intended to help you understand the implications specific to you and your teams.

Click here to read the PDD requirements.

All businesses already require the data indicated, and application forms and systems have been adjusted for this. The documentation requirements are currently as follows:

  • For Glacier, Sanlam Savings endowments and other discretionary savings, the document requirements are already applicable
  • For Sanlam Savings retirement products and Sanlam Individual Life, the document requirements will be phased in later.

Keep an eye out for further updates.