The importance of proving your identity

When you purchase a share in a racehorse via our Racehorse Syndication service, we request specific personal details via our online Application Form and/or the Application Form at the end of one of our Product Disclosure Statements.

Here are some frequently asked questions about this requirement.

Why do we ask for proof of identity?

The Anti-Money Laundering and Counter Terrorism Financing Act 2006 (AML/CTF Act) imposes an obligation on Australian Financial Service Providers like us, to detect and deter money laundering and terrorism financing.

By law, all businesses providing financial services have to check the identity of anyone who wants to buy any product/service from them and establish Customer Due Diligence procedures to determine whether additional customer information should be collected and/or verified. This assists the identification, mitigation and management of any Money Laundering and Terrorism Financing risk.

Identity Verification

What information do I need to provide?

At a minimum we require your full name, date of birth and current residential address.

What does Kinematic do with that information?

By using a reputable “fintech” platform trusted by numbers banks, institutions and wagering providers, we attempt to verify your identity and residential address against reliable and trustworthy government and independent data sources.

We also check that you are not listed on a global sanction, Politically Exposed Persons (PEP), fraudulent activity register or other watchlist.

What if I can’t provide the documents you suggest?

In some circumstances we might request additional information such as a Driver’s Licence Number, Medicare Card Number or even a copy of a recent Utilities Bill or Rental Contract. This might occur if we are unable to verify your identity and address via one of the more common databases. For example, you may have recently moved home and have not updated the state or federal electoral roll or driver’s licence.

You may have genuine reasons for not being able to provide any other recommended documents. For example, you may not have a passport, may not have a driver’s licence or your council rates, rental agreeement or utility bills may be in your partner’s name. To help in these cases, we have procedures that allow us to accept other types of proof. Just discuss with us how best we can prove your identity and physical address.

Please remember that, by law, you must provide satisfactory proof of your identity and bona fides to become a racehorse owner. If you cannot do this, we cannot accept your application to purchase a share interest in the horse.

If we suspect a provided document has been forged, tampered with, cancelled or stolen, we will engage the appropriate authorities or authentication service to establish that this is the case, and if so will lodge a Suspicious Matter report.

There are two fundamental benefits you receive by our diligence procedures.

Help prevent crime

Whilst we consider racehorse ownership as a low risk activity for Money Laundering or Terrorism Financing, it is a feasible option for criminals.

Please help us to prevent crime by being patient if we ask you to provide documents to prove your identity.

Know the other co-owners in your horse

You should be comforted knowing that each and every co-owner in the horse you are purchasing a share interest in, has had their identity and bona fides verified. The last thing you want is to own a horse with individuals who have provided a false identity or address, or are suspect individuals on any watch list or fraudulent activity registers.

Posted in Racehorse Ownership.