> ## Documentation Index
> Fetch the complete documentation index at: https://docs.parcha.ai/llms.txt
> Use this file to discover all available pages before exploring further.

# High Risk Industry Check

> Verify that a business does not operate in prohibited or high-risk industries

The high risk industry check response payload contains a detailed analysis of a business's industry classification and activities. The response includes verified industry information and overall validation results.

## Check ID

`kyb.high_risk_industry_tool_v2`

## Response Structure

```typescript theme={null}
{
  type: "IndustryActivityCheckResult";
  verified_industry?: string;
  verified_business_activity?: string;
  passed: boolean;
}
```

## Example Response

```json theme={null}
{
  "type": "IndustryActivityCheckResult",
  "verified_industry": "Financial Technology Services",
  "verified_business_activity": "Development and provision of business verification and compliance software solutions",
  "passed": true
}
```

## Response Fields

<ResponseField name="type" type="string">
  The type identifier for the response. Will be "IndustryActivityCheckResult".
</ResponseField>

<ResponseField name="verified_industry" type="string | null">
  The verified industry classification of the business.
</ResponseField>

<ResponseField name="verified_business_activity" type="string | null">
  The verified description of the business's activities and operations.
</ResponseField>

<ResponseField name="passed" type="boolean">
  Whether the check passed (business is not in a prohibited or high-risk industry) or failed (business is in a prohibited or high-risk industry).
</ResponseField>

## Key Components

### Industry Analysis

The check evaluates business activities in several dimensions:

1. **Primary Business Activity**: Main industry classification and activities
2. **Secondary Activities**: Additional business lines or services
3. **Industry Relationships**: Connections to regulated or restricted industries

### Risk Categories

Industries are classified into three risk levels:

1. **Prohibited Industries**: Sectors where business operations are not allowed, such as:
   * Adult Entertainment
   * Illegal Substances
   * Weapons and Arms
   * Gambling
   * Other restricted activities

2. **High Risk Industries**: Sectors requiring enhanced due diligence, such as:
   * Cryptocurrency
   * Money Services
   * Precious Metals
   * Real Estate
   * Other regulated industries

3. **Standard Risk Industries**: Sectors with normal risk levels

### Verification Process

The check performs the following verifications:

1. Analyzes business registration and licensing documents
2. Reviews website and marketing materials
3. Examines product and service descriptions
4. Verifies against industry classification standards
5. Screens for connections to prohibited or high-risk activities