July 15 2019
The naming provisions of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act(PCMLTFA) were amended on June 21 when Bill C-97, The Budget Implementation Act, 2019, received royal assent. Now, any financial institution, securities dealer, money services business or other reporting entity that is issued a notice of violation for violating provisions of the PCMLTFA or its regulations must be publicly named by FINTRAC.
What you need to know
- A reporting entity that is issued a notice of violation by FINTRAC will be named if it: pays the penalty associated with the notice of violation; is unsuccessful in its representations to FINTRAC’s director with respect to the notice of violation; enters into a compliance agreement with FINTRAC with respect to the notice of violation; or fails to respect the terms of a compliance agreement.
- FINTRAC’s public notice will disclose the name of the reporting entity, the nature of the violation and the penalty amount.
- Reporting entities can no longer delay public naming by appealing the notice of violation to the federal court.