I am not a money launderer or a terrorist - why do I have to prove this to the EBS?

This is annoying, what happened to "innocent until proven guilty"?....

Image source: www.pearse-trust.ie.

The Educational Building Society (EBS) has written to me to inform me that under the "Criminal Justice (Money Laundering and Terrorist Financing) Act 2010 (Section 33)" that a "block has now been placed" on my account. How dare they do this! 

The account is a joint account with my 11-year old niece. I have recently provided the required identification and proof of my address to the Liffey Street branch who told me that everything is now in order. Clearly not. I also had to do this for my own account which I set up in 1985!

While my niece does have a passport (with a photo of her as a baby), she of course does not have a utility bill or any documentation to prove her address.

The EBS, and other financial institutions, have been told to do this by the Government. We, the customers, have to prove that we are not terrorists, criminals, or money launderers. Presumably they don't want to have such nasty people to have accounts. But my question is this - HOW COME SUCH PEOPLE ARE ALLOWED TO RUN THE FINANCIAL INSTITUTIONS AND GET AWAY WITH F**KING UP THE COUNTRY?