“Failure to conduct AML properly comes with multiple risks – that was not an option for us”
Kevin Hall, Director of NZ Operations
Discover how commercial law firm Hamilton Lock NZ (formerly Anderson Creagh Lai) found a cost effective, compliance solution to manage their AML obligations.
When anti-money laundering legislation came into force, it meant many businesses including Hamilton Locke NZ were faced with implementing and managing their AML compliance frameworks, customer due diligence processes, and additional administrative duties.
With a background in AML, Kevin Hall, Director of NZ Operations was committed to creating a robust approach, while ensuring the effectiveness of the team, their service to clients, and that business profitability did not suffer.
Hamilton Locke NZ’s vision was for clients to never negatively feel the impact of the due diligence process, and not to hold up the business of doing business.
Aligning compliance with business values
As a full-service corporate and commercial law firm Hamilton Locke NZ has 23 staff led by partners with a high level of experience in corporate, commercial, property and litigation matters. They pride themselves on delivering advice that exceeds the quality of major law firms, and focuses on commercial realities, taking the complex and making it simple.
Hamilton Locke NZ want the quality, energy and honesty they bring to every client relationship to be replicated in their approach to AML/CFT, and demanded a solution that was fast, efficient, accurate and wholly compliant.
Recognising the commitment they needed to make to complete due diligence exercises thoroughly, and the pressures the team would face it was a logical decision to invest in an outsourcing solution.
Choosing the right partner
Hamilton Locke NZ wanted an expert solution that treated their customers with care and respect, and so connected with tic company in 2019. They quickly formed a good relationship with the team and saw the technical capability and expertise that was available.
From the beginning Hamilton Locke NZ understood the importance of AML/CFT compliance in preventing criminal activity and also the criminal liability and reputational damage it could bring if they failed to do things properly. There was no room for error in choosing a partner in compliance and they needed to ensure all their requirements could be met.
Key requirements included:
- Smooth onboarding process
- Secure easy to use tool so their lawyers could easily submit requests and view cases
- Speedy turnaround times so business wasn’t delayed
- Expert advice to deal with trickier cases and reviews
- Strong suite of services to support all compliance obligations
- Thorough reporting to make it easy for lawyers and auditors to review progress and activity
In addition, Hamilton Locke NZ’s key objectives were for AML to be done comprehensively and compliantly. It was important to their business to be compliant, have a clean record with regulators and generate trust. And, if any bad players crossed their path, they wanted the system to manage the situation to protect their business.
Implementation and onboarding
Once Hamilton Locke NZ partnered with tic company the onboarding process began without delay.
At first tic company completed a customer due diligence (CDD) exercise across the whole of Hamilton Locke NZ’s database to ensure checks were compliant and accurately recorded. A big exercise but well worth it to get the foundations right.
The Hamilton Locke NZ AML/CFT risk assessment and compliance programme frameworks were already under development but to validate quality of work and provide further guidance they were reviewed by tic company.
Since then, numerous due diligence exercises have been completed by tic company and ongoing training provided to the Hamilton Locke NZ legal team to minimise the risk of non-compliance.
“We can rely on tic to come back with a risk rating which is consistent with our compliance programme, thoroughly and completely, something we cannot achieve ourselves – so the investment is well worth it.”
Kevin Hall, Director of NZ Operations
The proof is in the results
Two external reviews have been completed on Hamilton Locke NZ compliance procedures and at the time of writing one is underway, all have achieved excellent results. Although Hamilton Locke NZ keep a copy of records on their own internal systems, the auditor uses the tic company online portal rather than Hamilton Locke NZ systems to review activity as they are familiar with the tic portal.
The auditors could easily pick out the complicated CDD clients, find information, and check that documentation was complete and clients had been dealt with thoroughly.
All cases looked at by the auditors were passed with no issues.
While the Hamilton Locke NZ leadership team have a high level of AML knowledge, they quickly recognised that having an expert partner enabled them access to a cost-effective solution to help with day-to-day due diligence, complicated cases, and compliance reviews.
Too many reporting entities feel an unnecessary burden when dealing with anti-money laundering. Taking the early decision to outsource, the Hamilton Locke NZ team find dealing with CDD so easy. The lawyers understand what is required under the AML Act and can easily submit CDD requests online but don’t have to spend time on the execution. It just makes life easier and ensures accuracy of results.
Compliance that enables, not inhibits
Hamilton Locke NZ’s decision to invest in expert AML outsourcing has delivered more than just peace of mind. It’s ensured they can focus on delivering high-quality legal advice without the drag of administrative inefficiency or compliance uncertainty.
The result? A robust compliance programme that protects their business, supports their lawyers, and builds trust with their clients without slowing down the pace of business.
“We could hire a dedicated compliance professional but it would cost a whole lot more. Tic is a cost-effective solution with a high-quality result.”
Kevin Hall, Director of NZ Operations
For more real-life case studies, see how real estate agent Ray White, reduced risk and saved time with a company-wide solution to managing compliance. Read Ray White case study: Finding an end-to-end compliance solution.
