Identify a preliminary step you would take when your firm first receives instructions to act in the sale of 25 Kynaston Road with regard to anti-money laundering?

• A. Open a file for the sale
• B. Obtain evidence of the client's identity
• C. Send the TA6 and TA10 forms to the client
• D. Write to the buyer's lawyers

Answer: (B)

The key idea is that anti-money laundering relies on identifying and verifying who you are dealing with before you proceed with the transaction. When you first receive instructions to act in a sale, you must perform customer due diligence by establishing the client’s identity and, where relevant, gathering information to understand the purpose of the business and the likely source of funds. The initial step in this process is obtaining evidence of identity—for example, obtaining identity documents and a proof of address. This verification is essential to confirm the client is who they say they are and to enable you to assess risk and comply with reporting requirements as the matter progresses.

Opening a file, or sending property information forms to the client, or writing to the buyer’s lawyers are normal conveyancing tasks that occur after identity verification and other initial checks. They are not the first AML action, which is why the step about obtaining identity evidence is the best answer.