1.1. This AML Policy, or rules of procedure for the prevention of money laundering and terrorist financing, and compliance with international sanctions (hereinafter referred to as the "Rules"), has been developed by HF RWA GROUP LTD, a company registered at 20 Wenlock Road, London, England, N1 7GU, registration number 16199387 (hereinafter referred to as the "Company"), in order to prevent engaging in transactions involving suspected money laundering and terrorist financing and to ensure the identification and reporting of such activities. Any questions related to this policy should be addressed to HF RWA GROUP LTD, 20 Wenlock Road, London, England, N1 7GU, or by e-mail to support@harvest-finance.io.
1.2. The obligation to observe these Rules rests with the Management Board members and employees of the Company, including temporary staff and agents of the Company who initiate or establish a Business Relationship (as defined in section 2.6) (hereinafter collectively called the "Representative"). Every Representative must confirm awareness of the Rules with a signature.
1.3. These Rules are primarily based on the regulations of the Money Laundering and Terrorist Financing Prevention Act (hereinafter referred to as the "Act") and the International Sanctions Act (hereinafter referred to as "ISA").
2.1. Money Laundering — is a set of activities with the property derived from criminal activity or property obtained instead of such property with the purpose to: I. Conceal or disguise the true nature, source, location, disposition, movement, right of ownership or other rights related to such property; II. Convert, transfer, acquire, possess or use such property for the purpose of concealing or disguising the illicit origin of property or of assisting a person who is involved in criminal activity to evade the legal consequences of his or her action; III. Participation in, association to commit, attempts to commit, and aiding, abetting, facilitating, and counselling the commission of any of the actions referred to in subsections 2.1.I and 2.1.II.
2.2. Terrorist Financing — acts of financing terrorism as defined in § 2373 of the Penal Code of Great Britain.
2.3. International Sanctions — a list of non-military measures decided by the European Union, the United Nations, another international organization, or the government of Great Britain aimed to maintain or restore peace, prevent conflicts and restore international security, support and reinforce democracy, follow the rule of law, human rights, and international law, and achieve other objectives of the common foreign and security policy of the European Union.
2.4. Compliance Officer or CO — a representative appointed by the Management Board responsible for the effectiveness of the Rules, conducting compliance over the adherence to the Rules, and serving as the contact person of the FIU.
2.5. FIU — Financial Intelligence Unit of the Police and Border Guard Board of Great Britain.
2.6. Business Relationship — a relationship of the Company established in its economic and professional activities with the Client.
2.7. Client (User) — a natural or legal person who uses the services of the Company.
2.8. Beneficial Owner — is a natural person who: I. Taking advantage of his influence, exercises control over a transaction, operation, or another person and in whose interests or favor or on whose account a transaction or operation is performed. II. Ultimately owns or controls a legal person through direct or indirect ownership of a sufficient percentage of the shares or voting rights or ownership interest in that person. III. Holds the position of a senior managing official if the person specified in clause II cannot be identified and there is no doubt that such person exists or where there are doubts as to whether the identified person is a beneficial owner. IV. In the case of a trust, civil law partnership, community, or legal arrangement, the beneficial owner is the natural person who ultimately controls the association.
2.9. Politically Exposed Person or PEP — is a natural person who is or has been entrusted with prominent public functions.
2.9.1. This includes positions in the European Union and in other international organizations.
2.9.2. A family member of a PEP includes the spouse, or a person considered to be equivalent to a spouse, of a politically exposed person; a child and their spouse, or a person considered to be equivalent to a spouse, of a politically exposed person; a parent of a politically exposed person.
2.9.3. A close associate of a PEP is a natural person who has close business relations with a politically exposed person.
2.10. Local Politically Exposed Person or local PEP — a natural person who performs or has performed prominent public functions in Great Britain, a contracting state of the European Economic Area, or in an institution of the European Union.
2.11. Company — HF RWA GROUP LTD, a company registered at 31 Kingston Avenue, Huddersfield, England, HD5 9HH.
2.12. Management Board or MB — the management board of the Company. A Member of the MB, as appointed by a relevant MB decision, is responsible for the implementation of the Rules.
3.1. HF RWA GROUP LTD has appointed a Compliance Officer (“CO”), who is fully responsible for executing the Rules. The CO reports to the Management Board (MB) any significant breaches of the internal AML policy and procedures, as well as deviations from the regulations, codes, and standards of good practice.
3.2. Responsibilities of the AML Compliance Officer include: I. Requesting appropriate identity documents to identify the Client and its representatives; II. Requesting documents and information concerning the activities of the Client and the legal origin of funds; III. Requesting information about the Beneficial Owners of a legal person; IV. Screening the risk profile of the Client, selecting appropriate Customer Due Diligence (CDD) measures, and assessing the risk whether the Client is or may become involved in Money Laundering or Terrorist Financing; V. Re-identifying the Client or the representative of the Client if there are any doubts regarding the correctness of the information received during the initial identification.
3.2.1. The AML Compliance Officer is also responsible for monitoring the compliance of the Rules with relevant laws and the activity of Representatives with the procedures established by the Rules.
3.2.2. They will compile and keep updated data regarding countries with a low tax risk, and high and low risk of Money Laundering and Terrorist Financing, as well as economic activities with great exposure to these risks.
3.2.3. The CO is tasked with conducting training, instructing, and updating the Representatives on matters pertaining to the prevention of Money Laundering and Terrorist Financing.
3.2.4. They must report to the MB annually (or more frequently, if necessary) on compliance with the Rules, and on circumstances with a suspicion of Money Laundering or Terrorist Financing.
3.2.5. The CO will collect, process, and analyze data received from Representatives or Clients concerning suspicious and unusual activities.
3.2.6. Collaboration with and reporting to the Financial Intelligence Unit (FIU) on events of suspected Money Laundering or Terrorist Financing, and responding to inquiries from the FIU, are crucial roles of the CO.
3.2.7. Finally, the CO is expected to make proposals on remedying any deficiencies identified during checks.
4.1. HF RWA GROUP LTD adheres to one of the main international standards for the prevention of illegal activities, specifically Customer Due Diligence (“CDD”). CDD measures include:
I. Identifying the Client and verifying its identity using reliable, independent sources, documents, or data, including e-identifying;
II. Identifying and verifying the representative of the Client and the right of representation;
III. Identifying the Client's Beneficial Owner;
IV. Conducting ongoing CDD on the Client's business to ensure the Company’s knowledge of the Client and its source of funds is correct;
V. Obtaining information on whether the Client is a PEP, PEP’s family member, or PEP’s close associate.
4.2. To comply with the DD obligation, Representatives have the right to request:
I. Information regarding identification and verification of the right of representation. If the right of representation does not arise from law, the name of the document used for establishing and verification of the right of representation, the date of issue, and the name of the issuing party;
II. Email address;
III. Phone number and Telegram messenger contact;
IV. Occupation.
4.3. If the Client is a legal person, the following data shall be recorded:
I. Name of the Client;
II. Registry code (or registration number and registration date) of the Client;
III. Names and authorizations of members of the Management Board or the head of the branch or other relevant body;
IV. Telecommunications numbers;
V. Email address;
VI. Phone number.
4.4. Employees of the Company have the right to verify the authenticity of identification information by requesting relevant documents from the Client.
4.5. For natural persons and the representatives of Clients, identification can be performed using documents such as:
I. Personal ID card (ID card, e-resident card, or residence permit card);
II. Passport or diplomatic passport;
III. Travel document issued in a foreign country;
IV. Driving license (if it includes the name, facial image, signature, and personal code or date of birth of the holder).
4.6. For legal persons, their legal capacity shall be verified based on documents like:
I. For those registered in Great Britain, identification based on an extract of a registry card of the commercial register;
II. Foreign legal persons identified based on a relevant register extract or a registration certificate transcript issued by a competent authority not earlier than six months before submission;
III. Personal identification code or, in its absence, the date and place of birth and place of residence;
IV. Articles and memorandum of association;
V. Documents confirming the management and ownership structure.
4.7. The representative of a Client shall submit a document certifying the right of representation in the required format.
4.8. To verify the Client's address, documents such as a utility bill, tax or tariff bill from the local government, or a bank statement may be used.
4.9. For high-risk business relationships, the Company may request information relating to the source of the Client’s funds or wealth and any additional information necessary for clarification.
4.10. Verification of original documents requires control and verification of data using at least two reliable and independent sources.
4.11. The Company is entitled to seek information about the Client from third parties if the business relationship represents a high risk.
4.12. Verification of the source of funds, including virtual currency assets or wealth, will require details of the Client's status, employment, or business/profession.
4.13. Company employees may request additional data or evidence of employment/occupation deemed necessary, including supporting documents such as labor agreements, bank statements, or letters from the employer.
4.14. If there's doubt about the correctness of data or documents provided by the Client or if suspicious activity is detected, the Company will require additional verification from the Client.
4.15. For payment bank card use on the website harvest-finance.io, special verification in accordance with AML requirements may be necessary.
4.16. The Company reserves the right to freeze any Client account suspected of involvement in suspicious activities related to money laundering.
4.17. After final confirmation of the Client's identity, the Company has the right to refuse potential legal liability for situations when its services are used for criminal activities.
4.18. According to the standards of activities to resist money laundering, the Company reserves the right to request additional documents or any other information necessary for the identification of the person or verification of transactions performed by the Client.
5.1. HF RWA GROUP LTD reserves the right to conduct ongoing checks of its Clients. This includes regular reviews and updates of the company's information regarding its Clients' activities, the level of risk they present, and any contradictions with previously received information or beliefs about the Client.
5.2. HF RWA GROUP LTD's AML monitoring program will conduct periodic assessments of its systems and control arrangements to prevent the company from being used to further financial crime. The Compliance Officer (CO) is responsible for reporting these findings to the Management Board (MB) and governing body on a periodic basis, at least annually.
5.3. In line with legal requirements and for security reasons, HF RWA GROUP LTD may provide limited services for account opening and transaction processing to citizens and residents of, as well as individuals staying in countries where transactions are prohibited by international sanctions.
5.4. HF RWA GROUP LTD implements the International Sanctions as determined by the UN, the EU, the U.S., or state bodies (i.e., the Government), ensuring not to engage in any actions that directly or indirectly evade Financial Sanctions. The company does not work with Users from the following countries and regions, known as "Restricted Countries":
Afghanistan
Albania
Cambodia
Cayman Islands
Cuba
South Sudan
Sudan
Syria
The Bahamas
Trinidad and Tobago
United States
These geographic restrictions are applied based on lists defined by relevant authorities and may be subject to updates periodically.
