Safe Harbour

Safe Harbour refers to a provision or set of legal protection that shields a person or organisation from certain legal liabilities or consequences when they have taken specific actions to comply with AML regulations and report suspicious activities to appropriate authorities.

The concept of safe harbour is designed to encourage individuals and entities, particularly financial institutions, to actively participate in AML efforts without fear of reprisal for making reports or disclosures related to potential money laundering or suspicious transactions. It basically offers a legal shield for those who act in good faith to identify and report AML related issues, even if their actions may breach client confidentiality or privacy.