COMPLIANCE CONTROLS WITH TRUSTNET.TRADE
Trustnet.Trade is Cargodian’s compliance product. Before a mercantile trade is accepted by Cargodian, the companies involved and their beneficial owners (so-called Ultimate Beneficial Owners, UBO) are checked for sanctions and embargoes.
Universal Trade Partner ID (UTPID)
The basis of Trustnet.Trade is the UTPID (Universal Trade Partner ID). Via a partner network, Cargodian has access to verified company data worldwide. The UTPID was developed for a uniform and globally unique identification (Legal Entity Identifier). This gives a registered company only one unique ID.
The UTPID is the basis for our global blockchain network and identifies your company and your trade transactions worldwide in a secure and immutable way.
For each trade transaction, Cargodian performs various compliance checks.
Know Your Business Partner (KYB)
Companies often have complex ownership structures. Trustnet.Trade’s KYB audit searches all trading partner structures across all parent companies worldwide, down to all known natural persons involved. This distinguishes Trustnet.Trade from many other compliance screening solutions that often only look at the company involved and its direct owners.
Sanctions and Embargo Controls
Companies are required to identify the business partner and each Ultimate Beneficial Owner (UBO) and check those against existing sanctions and embargoes. Cargodian performs this check for both trading partners, as well as the types of goods and the countries involved.
This check is performed for each trade transaction.
PEP and AMS
Politically exposed persons and their immediate environment are subject to special requirements with regard to a compliance check.
Trustnet.Trade therefore also checks whether one of the beneficial owners is listed as a Politically Exposed Person (PEP).
The Adverse Media Screening (AMS) evaluates relevant news about the audited companies and their beneficial owners.
Dual Use Trade Controls
Both trading partners shall comply with export and import regulations of the country of export and the country of import. Should an import or export permit be necessary, either the seller/exporter and/or the buyer/importer shall ensure this. Cargodian also performs checks based on the Dual-Use Directives of the European Union. Should an inquiry or approval be necessary for the trade goods, Cargodian will inform the trading partners thereof.
