11) In what circumstances should the consent of the designated authority be obtained?

Where a regulated entity has knowledge or reasonable grounds to believe that the funds involved in a transaction are criminal property, the regulated entity must obtain the appropriate consent of the designated authority before doing that transaction or otherwise decline to proceed with the transaction. Failing this, the regulated entity may be liable for engaging in a prohibited act. A prohibited act is defined as a money laundering offence under sections 92 and 93 of POCA.

At the time of making the appropriate disclosure of this suspicion to the FID, the nominated officer should apply for the appropriate consent to conduct the transaction.