How Kappawise Vet Enhances Due Diligence in Singaporean Real Estate

The Council for Estate Agencies (CEA) in Singapore mandates stringent measures for the Prevention of Money Laundering and Financing of Terrorism (PMLFT). Real estate agents (EAs) and real estate salespersons (RESs) are required to undertake Customer Due Diligence (CDD) measures when transacting with their clients. Kappawise Vet, an all-in-one Customer Due Diligence (CDD) and client onboarding platform, is designed to meet these regulatory demands.

Why KYC Compliance is Critical in Real Estate

The CEA’s PMLFT regulations emphasize the importance of CDD to prevent illicit activities in the real estate sector. Here are some key requirements from the CEA.

Mandatory CDD Measures

“The PMLFT Regulations require EAs and RESs to undertake Customer Due Diligence measures when transacting with their clients.”

KappaWise Vet automates and streamlines these CDD measures, ensuring that every transaction is compliant without unnecessary delays.

Risk Assessment

“EAs and RESs must conduct CDD and determine the risks of ML/TF before they facilitate each property sale or purchase transaction.”

With Kappawise Vet, real estate professionals can efficiently assess and monitor the risks of money laundering and terrorist financing, leveraging advanced risk assessment tools integrated into the platform.

Client Identity Verification

“EAs and RESs must obtain and record their client’s identity and obtain the client’s written acknowledgement that the information…is accurate.”

Kappawise Vet simplifies identity verification by automating document collection, ensuring all client information is accurate and securely stored.

Screening Against Designated Lists

“EAs and RESs must screen their client and beneficial owners against the UN lists of designated individuals and entities…the First Schedule of the TSOFA…and any list that may be provided by the authorities from time to time.”

The platform seamlessly integrates with global watchlists and designated entity lists, including all of those highlighted by the CEA, providing real-time screening to ensure compliance with international and local regulations.

Ongoing Due Diligence

“EAs and RESs shall conduct ongoing due diligence on their clients who they have an ongoing business relationship with (e.g., a corporate client such as a developer or REIT property manager).”

Kappawise Vet facilitates continuous monitoring of client activities, alerting agents to any changes in risk profiles and ensuring ongoing compliance.

Identification of Politically Exposed Persons (PEPs)

“EAs and RESs must take reasonable measures to determine whether the client is a PEP or a family member or close associate of a PEP.”

The platform includes robust features to identify PEPs and their relatives and close associates (RCA), reducing the risk of facilitating transactions with high-risk individuals.

Ultimate Beneficiary Owners (UBOs)

“EAs and RESs must perform enhanced CDD measures for…business relations and transactions with a client or beneficial owner who is a foreign PEP.”

Kappawise Vet is able to help pierce corporate veils and identify the beneficiary owners of companies.

The Benefits of Kappawise Vet for Real Estate Professionals

KappaWise Vet offers a comprehensive solution for real estate agents and salespersons, enabling them to navigate the complexities of regulatory compliance. Here’s why KappaWise Vet stands out:

  • Automation and Efficiency: By automating the CDD process, KappaWise Vet reduces the administrative burden on agents, allowing them to focus on core business activities.
  • Enhanced Security: The platform ensures the highest levels of data security, protecting sensitive client information in compliance with industry standards.
  • Scalability: Whether managing a few clients or hundreds, KappaWise Vet scales seamlessly to meet the needs of any real estate business.
  • Real-Time Updates: Stay compliant with real-time updates on regulatory changes and integration with the latest watchlists and designated entities.
  • User-Friendly Interface: Designed with ease of use in mind, the platform offers intuitive navigation and comprehensive support, making it accessible for all users.

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