EXHIBIT (h)(32)
CUSTOMER IDENTIFICATION PROGRAM ADDENDUM TO TRANSFER AGENCY AGREEMENT
THIS ADDENDUM, dated September ______, 2003, modifies the Transfer Agency
Agreement by and between UMB Fund Services, Inc. ("UMBFS") and
Xxxxxxxx-Xxxxxxxxx Institutional Funds (the "Trust"), such Transfer Agency
Agreement being hereinafter referred to as the "Agreement."
WHEREAS, Section 326 of the USA PATRIOT Act (the "Act") and final rules adopted
by the Department of the Treasury's Financial Crimes Enforcement Network (the
"Rules") require the Trust to develop and implement a written customer
identification program, which among other things, is designed to verify the
identity of any person opening an account and determine whether such person
appears on any list of known or suspected terrorists or terrorist organizations;
WHEREAS, in order to assist its transfer agent clients with their customer
identification compliance responsibilities under the Act and the Rules, UMBFS
has provided to the Trust for its consideration and approval written procedures
describing various tools designed to assist in the verification of persons
opening accounts with the Trust and determination of whether such persons appear
on any list of known or suspected terrorists or terrorist organizations, and the
Trust has, after review, selected various procedures and tools to comply with
its customer identification program and its obligations under the Act and the
Rules (the "Verification Procedures"); and
WHEREAS, the Trust desires to implement the Verification Procedures as part of
its overall anti-money laundering program and, subject to the terms of the
Rules, delegate to UMBFS the day-to-day operation of the Verification Procedures
on behalf of the Trust.
NOW THEREFORE, the parties agree, and the Agreement is hereby modified, as
follows:
1. The Trust acknowledges that it has had an opportunity to review, consider
and comment upon and select the Verification Procedures and the Trust has
determined that they, as part of the Trust's overall anti-money laundering
program, are reasonably designed to prevent the Trust from being used for
money laundering or the financing of terrorist activities and to achieve
compliance with the applicable provisions of the Bank Secrecy Act and the
implementing regulations thereunder.
2. Based on this determination, the Trust hereby instructs and directs UMBFS
to implement the Verification Procedures on its behalf, as such may be
amended or revised from time to time.
3. It is contemplated that the Verification Procedures will be amended from
time to time by the parties as directed by the Trust based on its
experience in the operation of the Verification Procedures and/or as
additional regulations are adopted and/or regulatory guidance is provided
relating to the Trust's anti-money laundering responsibilities.
4. UMBFS agrees to provide to the Trust (i) any reports received by UMBFS from
any government agency or applicable industry self-regulatory organization
pertaining to UMBFS' anti-money laundering monitoring on behalf of the
Trust as provided in this Addendum, (ii) any action taken in response to
anti-money laundering violations as described in (i), and (iii) an annual
report of its verification activities on behalf of the Trust. UMBFS shall
provide such other reports on the verification activities conducted at the
direction of the Trust as may be agreed to from time to time by UMBFS and
the Trust's anti-money laundering compliance officer.
5. The Trust hereby directs, and UMBFS acknowledges, that UMBFS shall (1)
permit federal regulators access to such information and records maintained
by UMBFS and relating to UMBFS' implementation of the Verification
Procedures on behalf of the Trust, as they may request, and (2) permit such
federal regulators to inspect UMBFS' implementation of the Verification
Procedures on behalf of the Trust.
6. Fees and expenses (other than those already set forth in the Agreement) for
services to be provided by UMBFS hereunder as well as under that certain
Addendum dated as of July 24, 2002 relating to the implementation of
certain monitoring procedures under Section 352 of the Act are set forth on
are set forth on Schedule C, as hereby amended, to the Agreement.
7. This Addendum constitutes the written instructions of the Trust pursuant to
the terms of the Agreement. Except to the extent supplemented hereby, the
Agreement, as previously supplemented, shall remain in full force and
effect.
8. This Addendum shall be effective as of October 1, 2003, or, if later, as of
the compliance date for the Rules.
IN WITNESS HEREOF, the undersigned have executed this Addendum as of the date
and year first above written.
XXXXXXXX-XXXXXXXXX INSTITUTIONAL FUNDS
(the "Trust")
By:
--------------------------------
Authorized Officer
UMB FUND SERVICES, INC.
("UMBFS")
By:
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Authorized Officer
