Financial Information Unit Identified Foreign PEPs as High Risk

The Financial Information Unit (the “UIF”, after its acronym in Spanish) issued UIF Resolution No. 128/2019 (the “Resolution”), published in the Official Gazette on December 6, 2019, by means of which it amended UIF Resolution No. 134/2018, by establishing that foreign Politically Exposed Persons (PEP) are considered to be high risk and, consequently, must be subject to enhanced due diligence.

This applies to all foreign PEPs with the exception of those belonging to international organizations, in whose cases their risk level must be determined and, if necessary, appropriate due diligence measures proportional to the associated risk and the operation or operations involved must be applied.

Likewise, on December 6, 2019, UIF published its “Guide for Anti-Money Laundering and Terrorism Financing Risk Management in relation to Customers (and Ultimate Beneficiaries) who are Politically Exposed Persons” with the purpose of assisting reporting entities in their compliance obligations in respect of PEPs, which may be consulted (in Spanish) at the following link: https://www.argentina.gob.ar/sites/default/files//guia_pep_0.pdf.