New Zealand’s Financial Markets Authority files case against CLSAP NZ for AML/CFT non-compliance

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New Zealand’s Financial Markets Authority (FMA) has filed a case against CLSA Premium New Zealand Limited (CLSAP NZ) for allegedly breaching the country’s AML/CFT Act. CLSAP NZ is a financial service provider engaging in brokering, financial advice and derivatives.

According to the FMA, CLSAP NZ did not undertake sufficient or enhanced customer due diligence. It also failed to report suspicious transactions and appropriately maintain records complying with the AML/CFT Act.

The FMA’s proceedings include transactions worth over $32.5 million. CLSAP NZ conducted these transactions between April 2015 and November 2018. The company is likely to face a penalty of $2 million for its AML/CFT violations.