Region

Jurisdiction

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2022-01-13

FINTRAC imposes an administrative monetary penalty on Libro Credit Union Limited

FINTRAC imposed a $156,750 administrative monetary penalty on London-based Libro Credit Union Limited for non-compliance with the Proceeds of Crime (Money Laundering) and Terrorist Financing Act. The credit union was found to have failed to submit required suspicious transaction reports and neglected to implement prescribed special measures to mitigate identified high risks. This enforcement action underscores FINTRAC's commitment to ensuring financial entities strictly adhere to Canada's anti-money laundering and anti-terrorist financing obligations.

Canada

Financial Transactions and Reports Analysis Centre Canada

From:

Financial Transactions and Reports Analysis Centre of Canada (FINTRAC)

News release

January 13, 2022 , Ottawa ON

FINTRAC announced today that it has imposed an administrative monetary penalty on Libro Credit Union Limited, also operating as Libro Credit Union. This credit union in London, Ontario, was imposed an administrative monetary penalty of $156,750 on October 12, 2021, for non-compliance with Part 1 of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act and its associated Regulations.

Libro Credit Union Limited was found to have committed the following violations:

Failure to submit suspicious transaction reports where there were reasonable grounds to suspect that transactions were related to a money laundering or a terrorist financing offence; and

Failure to take prescribed special measures to mitigate its high risks.

Quote

“Canada's Anti-Money Laundering and Anti-Terrorist Financing Regime is in place to protect the safety of Canadians and the security of Canada's economy. FINTRAC is committed to working with businesses to help them understand and comply with their obligations under the Act. At the same time, we will be firm in ensuring that businesses continue to do their part and we will take appropriate actions when they are needed.”

Quick Facts

As Canada's financial intelligence unit and anti-money laundering and anti-terrorist financing regulator, FINTRAC ensures that businesses subject to the Proceeds of Crime (Money Laundering) and Terrorist Financing Act comply with their obligations under the Act and its Regulations. The Centre also analyzes information and discloses financial intelligence to police, law enforcement and national security agencies to assist their investigations of money laundering, terrorist activity financing and threats to the security of Canada.

Casinos, financial entities, money services businesses, real estate brokers and sales representatives, and several other business sectors are required under the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to keep certain records, identify clients, maintain a compliance regime and report certain financial transactions to FINTRAC.

FINTRAC's Administrative Monetary Penalties program is one of the most open and transparent of its kind, including in relation to penalty calculations.

With the changes to the Proceeds of Crime (Money Laundering) and Terrorist Financing Act in 2019, FINTRAC is required to make public the name of all persons and entities that receive an administrative monetary penalty.