In the electronic environment of NECS the transacting parties will not generally sign Land Registry instruments. Instead they will authorize a Subscriber to do so on their behalf. It is, therefore, essential that the Subscriber is satisfied about the identity of their Client.
The standard of Client Identity Verification is a critical risk mitigation measure in NECS. It gives all of the participants in a NECS transaction confidence about who they are dealing with. After considering the existing options for a CIV standard the National Project Team came to the conclusion that there needs to be a purpose-built standard for NECS. The standard will need to facilitate electronic property transactions, be compatable with current banking industry practice and expected future legal and conveyancing industry practices under the Anti Money Laundering legislation, and satisfy the Land Registries concerns for mitigating fraud and minimising compensation claims on their assurance funds.
More work is currently being done on determining the detail of the CIV standard for NECS and how it will be applied in particular circumstances.
NECS newsletter Aug 09
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