Isle of Man Financial Services Authority publishes phase 2 thematic review findings on estate agents’ AML and CFT compliance

The Isle of Man Financial Services Authority has published the Phase 2 findings of its thematic review of the Island’s estate agents, assessing how firms meet their obligations under the Anti-Money Laundering and Countering the Financing of Terrorism Code 2019 and manage money laundering, terrorist financing and proliferation financing risks. Phase 2 comprised on-site inspections of 12 estate agents, building on data gathered through a Phase 1 questionnaire. The work focused on business risk assessments, customer risk assessments, new business relationships, and staff training. The report sets out key takeaways, examples of good practice, areas for improvement, and the Authority’s observations, drawing on testing of firms’ policies, procedures and controls intended to detect and prevent ML, TF and PF; the sector recorded GBP 532.85 million of transactions in 2023. Firms across all licensed and registered sectors are encouraged to read the report and consider any actions needed to ensure their risk-based compliance regimes are effective, up to date and properly documented.