70. Are reporting entities required to enforce enhanced due diligence policies and procedures regarding politically exposed persons?

"Number 16 – Politically Exposed Persons (PEPs)

16.1 Reporting entities should check current and new customers to determine whether they are Politically Exposed Persons, as defined in Section 3 of the Law on
Anti-Money Laundering and Combating the Financing of Terrorism, as part of the customer due diligence process. Reporting entities should gather sufficient
information from the said customer and research further data or information to determine the level of AML/CFT risk.

16.2 Once a PEP is identified, reporting entities should take reasonable measures to establish the source of wealth and funds of such persons.

16.3 The decisions to enter into or continue business relationships with these PEPs should be made by the senior management of reporting entities.

16.4 Reporting entities should develop a risk profile of each PEP based on information collected from the customer and obtained through independent research
and understand the full nature of the business relationship and transaction activity. There should be on-going monitoring of the relationship and activity against the risk profile and any concerns arising from the monitoring process should be reported to senior management and, if appropriate, also reported to the CAFIU."

Source: Number 16, Prakas on Anti- Money Laundering and Combating the Financing of Terrorism relating to All Reporting Entities not regulated by the National Bank of Cambodia, 2010

Develop a risk profile, monitor the relationship and activity against the risk profile