Section 7K: New Technology or Arrangement For Customers or Businesses That Do Not Present Themselves

1) The indexing entity shall identify and assess the risks associated with the financing of terrorist acts and money laundering arising from the introduction of new or existing instruments and business practices, non-existent customers or transactions, distribution systems or new or under-development technologies.

2) The identification and assessment of risks under sub-section (1) shall be carried out before using such equipment, business practices, distribution systems or technologies.

3) The reporting entity shall take adequate measures to manage the risks identified and assessed by sub-section (1).

4) In order to address the specific risks related to financial investment in asset laundering and terrorist activities that may occur when establishing a business relationship or doing business with a client who is not present himself, the indicting entity shall formulate and implement a policy and procedure regarding the identification and enrichment of the client.