What is Politically Exposed Person (PEP) – Management of PEPs

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What is a Politically Exposed Person (PEP)?

A PEP is a person who holds or previously held a high-ranking public profile. It is either in his own country, a foreign country, or an international organization.  The following are the categories of PEPs:

Foreign Politically Exposed Person

These could include senior politicians, Presidents, Prime Ministers, Judges, Military Leaders, Executives of Government Companies, High-level Officials, or other key political party members.

Domestic Politically Exposed Persons

These individuals are similar to foreign PEPs but in their own motherland country. They include the MNAs and MPAs but do not include unsuccessful election candidates.

International Organization PEPs

These include high-ranking officials in international organizations such as the United Nations (UN), the International Monetary Fund (IMF), and the World Bank.

Notes:

Close Associate of PEPs

These include individuals with business or financial relations with a PEP, business partners, and beneficiaries of companies set up for a PEP’s advantage, or people closely connected to a PEP professionally or socially.

Family Member of PEPs

This includes the Spouse, Children, Parents, Grandparents, or Siblings of a PEP.

Conclusion

A PEP is a high-profile public official who falls in the above-described categories. These include foreign PEPs, Domestic PEPs, and international organization PEPs. However, mid and low-level officials are not considered PEPs. Family members and people who are financially related are considered closely related to PEPs.