How do you “prove” where you live for the purposes of FICA and why is it so important?South Africa signed an International Protocol to try to counter Money Laundering and Terrorism. Included in this are measures designed to assist in preventing drug traffickers, smuggling for the sex-trade, terrorist operations and crime syndicates.
How does this affect you? Well many institutions require you to be FICA’D. In other words you must be properly identified.
In the case of an individual they should produce a Copy of their Identity Document or Passport or other suitable means of identification. These means of identification are set out in the Regulations of the Financial Intelligence Centre Act.
Proof of residence can prove a more vexed matter particularly in the case of farmers or persons living in rural areas. Various methods of proving a residential or fixed abode address may be employed. These include an Eskom or other official account which shows the Erf or Property description of the property where there is no fixed address, a letter from a Local Councillor who can identify the person and where they live. An Attorney is also what is known as an “Accountable Institution” which means that they can personally visit you at your abode and can then make a declaration to this effect.
In many instances people who are married have proof of residence in one of their names but the spouse has no such proof. In this instance there is a simple affidavit to be signed by the person who does have a utility bill or other official account in their name showing their residential address which both they and the person trying to prove their address must both sign before a Commissioner of Oaths and both parties must supply copies of their Identity Documents.
There are various other rules concerning the identity of Companies and Close Corporations and Trusts all of which have varying degrees of complexity and which must be treated slightly differently in each instance.
An accountable institution has a duty to report any suspicious activity which would include accepting cash payments over a certain amount (currently R25 000,00).
For more information contact : Mike Forsyth, MGF Attorneys 033 3431100/082 8005257/This email address is being protected from spambots. You need JavaScript enabled to view it.