Third Time’s the Charm: 3 FINTRAC Administrative Penalties

On April 5th, FINTRAC, the Canadian FIU, announced that it had levied administrative penalties on 3 firms for violations of PCMLTFA (Prevention of Crime (Money Laundering) and Terrorist Financing Act and the attendant regulations (PCMLTFR):

  • Diamond Exchange Toronto (Toronto, Ontario): CAD 12,750
    • Failure to develop and apply written compliance policies and procedures;
    • Failure to assess and document the risks related to money laundering and terrorist financing; and
    • Failure to develop and maintain a written, ongoing compliance training program.
  • Becksley Capital (Toronto, Ontario): CAD 28,500
    • Inadequate written ongoing compliance training program;
    • Failure to institute and document the prescribed two year review; and
    • Failure to take reasonable measures when opening an account to determine if it will be used by or on behalf of a third party.
  • Victoria Jewellers (Regina, Saskatchewan): CAD 13,500
    • Failure to develop and apply written compliance policies and procedures;
    • Failure to assess and document the risks related to money laundering and terrorist financing; and
    • Failure to develop and maintain a written, ongoing compliance training program.

Links:

Diamond Exchange Toronto Penalty

Becksley Capital Penalty

Victoria Jewellers Penalty

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