FINTRAC imposes an administrative monetary penalty on Crystal Currency Exchange Inc. — FINTRAC — CA

News release

May 29, 2025 — Ottawa —
Financial Transactions and Reports Analysis Centre of Canada (FINTRAC)

FINTRAC announced today that it has imposed an administrative monetary penalty on Crystal Currency Exchange Inc. Following a compliance examination, this money services business in Burnaby, British Columbia, was imposed an administrative monetary penalty of $348,067.50 on March 5, 2025, for non-compliance with Part 1 of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act and associated Regulations.

Crystal Currency Exchange Inc. was found to have committed the following administrative violations:

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

Failure to report Large Cash Transactions of $10,000 or more in cash in a single transaction;

Failure to submit outgoing electronic funds transfer reports of $10,000 or more in the course of a single transaction, together with prescribed information;

Failure to submit incoming electronic funds transfer reports of $10,000 or more in the course of a single transaction, together with prescribed information;

Failure to appoint a compliance officer;

Failure to develop and apply written compliance policies and procedures that are kept up to date;

Failure to assess and document the risk of a money laundering or terrorist financing offence;

Failure to develop and maintain a training program; and

Failure to institute and document the prescribed review.

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 works with businesses to help them understand and comply with their obligations under the Act. We are also 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 supervisor, FINTRAC ensures that businesses subject to the Proceeds of Crime (Money Laundering) and Terrorist Financing Act comply with their obligations under the Act and associated Regulations. The Centre also analyzes information and discloses financial intelligence to law enforcement and national security agencies to assist their investigations of money laundering, terrorist activity financing, sanctions evasion 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, including international electronic funds transfers, large cash transactions, large virtual currency transactions and suspicious transactions.

Suspicious transaction reporting, in particular, is critical to FINTRAC's ability to generate actionable financial intelligence for Canada's law enforcement and national security agencies.

Under the Proceeds of Crime (Money Laundering) and Terrorist Financing Act, administrative monetary penalties are meant to encourage change in the non-compliant behaviour of businesses.

In 2023–24, FINTRAC issued 12 Notices of Violation of non-compliance to businesses for a total of $26,115,999.50.

FINTRAC has imposed more than 140 penalties across most business sectors since it received the legislative authority to do so in 2008.

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