Dáil Éireann Debate, Tuesday - 17 December 2013
133. Deputy Pat Breen asked the Minister for Finance in view of the increase in online banking and the requirement to provide proof of identity original documentation for same, if there are any plans to introduce a system of online proof of identity which would satisfy the requirements for those institutions as provided for in the Criminal Justice (Money Laundering and Terrorist Financing) Act 2013; and if he will make a statement on the matter. [53830/13]
View answerThe customer due diligence requirements are set out in the Criminal Justice (Money Laundering and Terrorist Financing) Act 2010 (as amended by the Criminal Justice (Money Laundering and Terrorist Financing Act 2013). Section 33 of the 2010 Act requires designated persons (such as banks) to apply customer due diligence measures prior to establishing a business relationship with a customer e.g. opening a bank account. The customer due diligence measures require that the designated person must identify and verify the customer's identity on the basis of documents or information that the designated person has reasonable grounds to believe can be relied upon to confirm the identity of the customer.
The 2010 Act does not limit the range of documents or information that a designated person may have reasonable grounds to believe can be relied upon to confirm the identity of the customer. My Department has published Guidelines on the prevention of the use of the financial system for the purpose of money laundering and terrorist financing on the application of the 2010 Act. These guidelines specify a non-exhaustive range of documentation which the bank may choose to accept for the purposes of verifying identity including in paper or electronic format. While a designated person may use online sources during the verification of identity, the requirement remains to verify the customer's identity on the basis of documents (whether or not in electronic form) or information that the designated person has reasonable grounds to believe can be relied upon to confirm the identity of the customer.
Ultimately, it is up to each bank to decide, on a risk based approach, what form of customer identification it will accept.
