Politically Exposed Person/Head of International Organization Definitions
“Close Associate” can be an individual who is closely connected to a politically exposed person (“PEP”) or head of an international organization (“HIO”) for personal or business reasons. Some examples of a close association for personal or business reasons include a person who is: a) business partners with, or who beneficially owns or controls a business with, a PEP or HIO, b) in a romantic relationship with a PEP or HIO, such as a boyfriend, girlfriend etc. c) involved in financial transactions with a PEP or a HIO, d) a prominent member of the same political party or union as a PEP or HIO, e) serving as a member of the same board as a PEP or HIO; or closely carrying out charitable works with a PEP or HIO.
“Family Member” means a mother, father, child, brother, sister, half-brother, half-sister, spouse or common-law partner, ex-spouse or ex-common law partner, spouse or common-law partner’s mother or father. An ex-spouse or partner of a domestic PEP or HIO are considered a family member of a domestic PEP or HIO until the domestic PEP or HIO ceases to be a domestic PEP or HIO.
“Politically Exposed Domestic Person” means an individual that holds, or has held within the last five years, one of the following offices or positions in or on behalf of the Canadian federal government, a Canadian provincial government or a Canadian municipal government:
- Governor General, lieutenant governor or head of government;
- member of the Senate or House of Commons or member of a legislature;
- deputy minister (or equivalent rank);
- ambassador or an ambassador’s attaché or counsellor;
- military officer (with rank of general or above);
- president of a corporation that is wholly owned directly by His Majesty in right of Canada or a province;
- head of a government agency;
- judge of an appellate court in a province, the Federal Court of Appeal or the Supreme Court of Canada;
- leader or president of a political party represented in a legislature; or
- mayor, reeve or other similar chief officer of a municipal or local government (the classification of mayor captures the head of a city, town, village, or rural or metropolitan municipality, regardless of the size or population).
“Politically Exposed Foreign Person” means an individual that holds, or has held, one of the following offices or positions in or on behalf of a foreign state:
- head of state or government;
- member of the executive council of government or a member of a legislature;
- deputy minister (or equivalent rank);
- ambassador or an ambassador’s attaché or counsellor;
- military officer (with rank of general or above);
- president of a state-owned company or bank;
- head of a government agency;
- judge of a supreme court, constitutional court or other court of last resort; or
- leader or president of a political party represented in a legislature.
“Head of an International Organization” is a person who currently holds or has held within the last 5 years the specific office or position of head of an international organization and the international organization that they head or were head of is either:
- an international organization established by the governments of states;
- an institution of an organization referred to in (a) above; or
- an international sports organization.
This would be the primary person who leads that organization, for example a president or CEO.
“International Organization” is an organization set up by the governments of more than one country. An organization established by means of a formally signed agreement between the governments of more than one country would be considered an “international organization”. Whether the organization is captured within the definition depends upon how it has been established, between governments of states, not where it operates. International organizations are recognized by their member countries, but they are not resident organizations of any country. An international organization may operate only domestically or only in one foreign country.