Anti Money Laundering Initiatives

We are obligated to collect identity information from our clients when the client's case falls under the scope of the Anti-Money Laundering Act. This can e.g. be in connection with advising clients on real estate transactions, company formations, other transactions, or advisory services relating to these matters.

If our client is an individual, we are obligated to gather the client's name and social security number (or equivalent unique identification number). Subsequently, we must verify the identity information through an independent and reliable source, such as a passport, driver's license, health insurance card, birth certificate, or similar document. We evaluate on a case-by-case basis the extent and type of documentation, data, or information required for our verification to comply with legal requirements.

We are obligated to understand our clients and their intentions for engaging with our services. This obligation entails knowing why you, as a client, seek a relationship with us and the involvement of such relationship. This information may include details about income, any payments to be facilitated, including those abroad, or other transfers to our client account.

If our clients conduct transactions that are atypical for their circumstances or if they seek advice on unusual transactions, we are obligated to conduct further investigation and may also be required to report this matter to the authorities.

Politically exposed persons (PEPs) are individuals who hold specific public positions of trust. We ask about whether you are a PEP or closely associated with one, as we are required to conduct a more rigorous customer due diligence process when our clients fall into these categories.

In Denmark, PEPs include:

• Ministers and heads of departments
• Members of the Danish Parliament and the EU Parliament
• Members of the executive committee or equivalent body in political parties represented in the Danish Parliament.
• Supreme Court judges and judges of international courts
• The management of Danmarks Nationalbank, the Danish auditor of public accounts, and the Danish member of the European Court of Auditors
• The Chief of Defense, the Deputy Chief of Defense, Service Chiefs, ambassadors for Danish embassies
• The board of directors and executive management in companies where the state owns 50% or more, or otherwise has real control over the company, as well as directors in agencies and members of the board in agencies where this group of people has actual decision-making authority
• Persons nominated, appointed, or employed by the government, a ministry, or a minister in an international organization established by the conclusion of a formal international political agreement

You are closely related to PEP if you are:

• Spouse, registered partner, or de facto cohabitant
• Children and their spouses, registered partners, or de facto cohabitants
• Parents of a person who falls within one of the above PEP categories

You are a close business partner of a PEP if you:

• Are the actual owner of a company or other legal entity jointly with a PEP
• Have a close business relationship with a PEP in other ways, for example, through trade over an extended period
• Are the sole beneficial owner of a company or other legal entity created solely for the benefit of a PEP.

If our client is a legal entity, such as a company or association, we are required to gather information about the entity, including elucidating its ownership and control structure. This is typically achieved for Danish companies through an extract from the Central Business Register (CVR).

Furthermore, we are obligated to obtain the name and social security number (or equivalent unique identification number) of either the entity's actual owners, day-to-day management, or board of directors and verify the identity information through an independent and reliable source, such as a passport, driver's license, health insurance card, birth certificate, or similar document. Refer to the FAQ section on natural persons for more details.

We are obligated to conduct a specific assessment from task to task, determining the extent and type of documentation, data, or information required to ensure that our verification process complies with the applicable requirements.

We need to obtain a copy of identification/ID from the company's beneficial owners. If the company has no beneficial owners, we must obtain identification from the company's day-to-day management. The day-to-day management will typically be the registered director(s). If the company does not have day-to-day management, we must obtain identification from the company's board of directors.

In the 'PEP' section of this FAQ, you can find information on what constitutes a Politically Exposed Person (PEP) and why we inquire about this. A company itself cannot be a PEP, but we are obligated to investigate whether there is a PEP within the relevant circle of individuals, as this could impact the overall risk assessment that we are required to conduct for the customer relationship.

We are obliged to retain a copy of the documentation regarding our client's identity information and any additional information we have gathered. We must be able to provide evidence to the Bar Association, which oversees law firms that we have conducted a customer due diligence procedure. Furthermore, we are obligated to retain information, documents, etc. for 5 years from the termination of the customer relationship or the completion of the transaction/case.

We cannot suffice with merely viewing identification or documentation that one of our employees or partners is related to or has known our customers for an extended period or in a personal capacity.

We are obligated to regularly update our understanding of our clients by acquiring new information and documentation. This may occur, for example, if the scope or nature of the advice we provide to the customer changes, or if we become aware that the previously obtained information is incorrect or inadequate.

If our client refuses to provide the necessary identification details, we are obligated to terminate the client relationship, and consequently, we cannot offer further advice or assist with the matter. Additionally, in such instances, we are required to assess whether reporting to the authorities is necessary.

We are required to monitor our clients' transactions and activities associated with Lund Elmer Sandager. This monitoring aims to investigate whether there are suspicions that the transactions and activities may be linked to money laundering or the financing of terrorism. If, contrary to expectations, we encounter a suspicious transaction, we must conduct further investigation, such as contacting the customer and gathering additional information. If, during our investigation, we cannot confirm that the transaction is not suspicious, we are obligated to report it to the authorities. LES is bound by confidentiality regarding any reports we make and, therefore, cannot inform our clients or other parties about them.

You can send identification details via email. We can receive encrypted emails, including "secure mail", and all emails sent from Lund Elmer Sandager are encrypted with at least TLS encryption (Transport Layer Security). If you are unsure whether your email is encrypted when you send information to us, you may upload the identification details via a secure link. In this case, please request your contact person at Lund Elmer Sandager to provide you with this link.

You can learn more about Lund Elmer Sandager's handling of personal data in our privacy policy on our website. You can find it here. We may be obligated to disclose personal data to the Danish Financial Intelligence Unit  in connection with a report.