According to the Basel Committee principles, which actions would make a customer identification program at...

Arobust customer identification programis critical in preventing money laundering and financial crime.

Option B (Correct):Understanding the nature and purpose of a customer’s business helps banks assess thelegitimacyof financial activity and identify potential risks.

Option D (Correct):Understandingwhya customer selects a particular bank provides insights intopossible risk factors, such as jurisdictional concerns or access to certain financial instruments.

Option A (Incorrect):Limiting online activities is not a standard CDD (Customer Due Diligence) measure. Risk-based controls are applied but do not involve blanket restrictions.

Option C (Incorrect):While online verification is useful,in-person or government-sourced verificationis preferred.