Summary


This article will outline what Beneficial Ownership means under Australian, New Zealand, and United Kingdom AML legislation.


TABLE OF CONTENTS



What is Beneficial Ownership?


Australia


As per the AML/CTF Rules 2007 (Part 1.2.1), a beneficial owner means:

  1. has effective control of a customer or person on whose behalf a transaction is conducted; or
  2. owns a prescribed threshold of the customer or person on whose behalf a transaction is conducted


Please note the prescribed threshold is 25% or more for the definition of beneficial owner under the AML/CTF Rules 2007 (Part 1.2.1). 


New Zealand


As per the AML/CFT Act Section 5(1), a beneficial owner means any individual who:

  1. has effective control of a customer or person on whose behalf a transaction is conducted; or
  2. owns a prescribed threshold of the customer or person on whose behalf a transaction is conducted


Please note the prescribed threshold is more than 25% for the definition of beneficial owner under section 5(1) of the Act. Please refer to the AML/CFT (Definitions) Regulations 2011. 




United Kingdom


As per the Reg 5, MLR 2017, a beneficial owner means any individual who: 

  1. has effective control of a customer or person on whose behalf a transaction is conducted; or 
  2. owns or controls (directly or indirectly) more than 25% of shares or voting rights (Reg 5(1)(b) MLR 2017); or 
  3. an individual who controls the body corporate