1. COMPANY POLICY

1.1 Balena Ltd, a limited liability company registered in Saint Lucia  with company registration number  2024-00076, with registered address at Ground Floor, The Sotheby Building, Rodney Village, Rodney Bay, Gros-Islet, Saint Lucia.

1.2 Balena Ltd has set out this anti-money laundering (AML) policy that is applicable to all staff to help prevent and detect potential money laundering or terrorist financing activity. 

1.3 All staff will be trained in AML processes and procedures for the Company and will actively participate in preventing the services of the Company from being exploited by criminals and terrorists for money laundering or terrorist financing purposes. The objectives of this and elated policies are:

• ensuring the Company’s compliance with all applicable laws, statutory instruments of regulation, and requirements of the Company’s supervisory body;
• protecting the Company and its staff as individuals from the risks associated with breaches of the law, regulations and supervisory requirements;
• preserving the good name of the Company against the risk of reputational damage presented by implication in money laundering and terrorist financing activities;
• making a positive contribution to the fight against crime and terrorism.

1.4 Failure to comply with the AML and associated policies could result in disciplinary proceedings which could ultimately lead to dismissal.

2. MONEY LAUNDERING & TERRORIST FINANCING

2.1 Money Laundering is the process of disguising the origin of the proceeds of crime. Terrorist financing provides funds for terrorist activity. The use of products and services by money launderers and terrorists exposes the Company to significant criminal, regulatory and reputational risk.

2.2 Money Laundering. There are three broad groups of offences related to money laundering that the Company must avoid committing. These are:

• knowingly assisting (in a number of specified ways) in concealing, or entering into arrangements for the acquisition, use, and/or possession of, criminal property;
• failing to report knowledge, suspicion, or where there are reasonable grounds for knowing or suspecting, that another person is engaged in money laundering or terrorist financing; 
• tipping off, or prejudicing an investigation.

2.3 Staff will be trained in AML awareness and how to spot potentially suspicious activity (refer to the Company’s Reporting Suspicious Activity Policy).

2.4 Terrorist Financing. There can be considerable similarities between the movement of terrorist property and the laundering of criminal property: some terrorist groups are known to have well established links with organized criminal activity. However, there are two major differences between terrorist property and criminal property. More generally:

• often only small amounts are required to commit individual terrorist acts, thus increasing the difficulty of tracking the terrorist property;
• terrorists can be funded from legitimately obtained income, including charitable donations, and it is extremely difficult to identify the stage at which legitimate funds become terrorist property. 

2.5 The Company will ensure its staff is well versed in AML awareness and the underlying policies and procedures allowing the Company to demonstrate compliance with applicable rules and regulations in this aspect.

2.6 The Company will enforce a strict anti-money laundering policy with zero tolerance for money laundering or terrorist financing activities and ensure it knows who its customers are and also who it is going into business with.

2.7 This policy applies to all individuals working at all levels within the Company, including senior managers, officers, directors, employees, consultants, contractors, trainees, home workers, part-time and fixed-term workers, casual and agency staff, all of whom are collectively referred to as ‘staff’ in this document.

2.8 This policy is designed to provide direction to staff on the approach and management of Anti-Money Laundering (AML) and Counter-Terrorist Financing (CTF) within the Company.

This policy supports management’s objective of mitigating the following risks:

• Money laundering;
• Terrorist financing;
• Sanctions;
• Politically exposed persons (PEPs);
• Legal and regulatory risk.

3. CONTINUOUS TRANSACTION DUE DILIGENCE

3.1 The Company will monitor account activity with special attention, and to the extent possible, the background and purpose of any more complex or large transactions and any transactions which are particularly likely, by their nature, to be related to money laundering or the funding of terrorism.

3.2 The Company will adopt a risk-based approach to managing the risks presented by the business, taking into account legislation and industry guidance as applicable.

3.3 The Company recognize, that risks change over time and will continually and regularly update its risk management procedures as part of its overall risk management framework.

3.4 When an employee of the Company detects any activity that may be suspicious, he or she will notify the AML Compliance Person. AML Compliance Person will determine whether or not and how to further investigate the matter. This may include gathering additional information internally or from third-party sources, contacting the government.

4. TRAINING

4.1 The Company will develop ongoing employee training under the leadership of the AML Compliance Person and senior management. The training will occur on at least an annual basis. It will be based on the Company’s size, its resources and be updated as necessary to reflect any new developments in the law.

4.2 All employees will be made aware, through the annual compulsory training, of:

• The risks of money laundering and terrorist financing, the relevant legislation, and their obligations under that legislation;
• The Company’s procedures in how to recognize and deal with potential money laundering or terrorist financing suspicious transactions or activity.