(AML) Anti-Money Laundering Policy of www.drop.skin

Introduction: DropSkin is a brand name of Mallet Solutions LP (Company registered in Northern Ireland) Suite 425 142a Saintfield Road, Lisburn, Northern Ireland, BT27 6UH

Objective of the Policy

At www.drop.skin, we prioritize the security of all users by conducting regular account verifications. This process ensures that the registered details are accurate and that the deposit methods used are legitimate and not compromised. Our objective is to establish a robust framework for combating money laundering (ML).

Commitment to Anti-Money Laundering (AML)

DropSkin implements stringent measures to mitigate ML risks, dedicating appropriate resources for this purpose. We uphold high standards of AML compliance, requiring both management and employees to adhere to these standards, thus preventing the misuse of our services for money laundering.

Compliance Standards

DropSkin's AML program aligns with several regulatory frameworks, including:

• EU Directive 2015/849 on the prevention of the use of the financial system for money laundering.
• EU Regulation 2015/847 on information accompanying transfers of funds.
• EU sanctions and restrictive measures against individuals and embargoes on specific goods and technology.
• Belgium’s Law of 18 September 2017 on the prevention of money laundering and limitation of cash use.

Definition of Money Laundering

Money laundering involves the conversion, transfer, concealment, acquisition, possession, or use of property derived from criminal activities to disguise its illicit origins or assist in evading legal consequences.

AML Organization and Implementation

DropSkin has appointed high-level management to oversee ML prevention and designated an Anti-Money Laundering Compliance Officer (AMLCO) responsible for enforcing AML policies and procedures.

Policy Implementation Requirements

Significant changes to DropSkin's AML policy require approval from the D Level Management. An annual Enterprise-wide risk assessment (EWRA) identifies and understands risks specific to DropSkin's operations. This risk assessment informs our AML policy, focusing on various factors like products, services, customer transactions, and geographic locations.

Minimum Standards: Know-Your-Customer (KYC)

DropSkin's KYC standards necessitate thorough due diligence on high-risk customers, requiring identification and verification based on reliable documents. This ongoing process includes monitoring customer relationships and transactions to ensure compliance.

Customer Identification and Verification

Customers must provide:

• A copy of a passport, ID card, or driving license alongside a handwritten note mentioning www.drop.skin.
• Proof of address, such as a recent utility bill (issued within the last three months).

Ongoing Due Diligence and Monitoring

DropSkin conducts periodic reviews for high-risk customers to keep their data up-to-date. Transaction monitoring ensures that any unusual or suspicious transactions are identified and investigated promptly.

Internal Control and Reporting

DropSkin's internal procedures guide staff on when and how to report suspicious transactions. The AML team analyzes these reports and determines whether to notify the Financial Intelligence Unit (FIU) or terminate business relations with the customer.

Procedures and Record Keeping

Operational guidance on AML rules, including KYC standards, is accessible to all staff via DropSkin’s intranet. Records related to identification and transactions are retained for at least ten years following the end of the business relationship or transaction.

Training and Auditing

DropSkin provides comprehensive AML training for all staff, ensuring awareness of AML duties. This includes mandatory programs for new employees and specialized sessions by AML experts. Regular internal audits assess AML activities to ensure compliance and effectiveness.