Record keeping requirements for casinos

From: Financial Transactions and Reports Analysis Centre of Canada (FINTRAC)

Overview

This guidance came into effect on June 1, 2021.

Casinos have record keeping requirements under the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA) and associated Regulations.

This guidance outlines certain record keeping requirements for casinos. You have additional record keeping requirements that are detailed in the following guidance:

Related guidance

Who is this guidance for

Casinos

In this guidance

What records must I keep and what must they contain?
What are my responsibilities when maintaining records?
What are the exceptions to the record keeping requirements?

**Note: Throughout this guidance, all references to dollar amounts (such as $10,000) are in Canadian dollars.

1. What records must I keep and what must they contain?

You must keep the following records:

Reports — a copy of every report sent to FINTRAC
- Suspicious Transaction Reports
- Terrorist Property Reports
- Large Cash Transaction Reports
- Large Virtual Currency Transaction Reports
- Casino Disbursement Reports
- Electronic Funds Transfer Reports
Large cash transaction records
Large virtual currency transaction records
Records of electronic funds transfers of $1,000 or more
Receipt of funds records of $3,000 or more
Foreign currency exchange transaction tickets
Records of credit extension of $3,000 or more
Account records
- Records for account holders and persons authorized to give instructions
- Signature cards
- Intended use of an account
- Applications
- Account operating agreements
- Deposit slips
- Debit and credit memos

**Note: When you are required to keep records about clients, you should be as descriptive as possible. Being descriptive when recording the nature of the principal business or occupation of a client will help determine whether a transaction or activity is consistent with what would be expected for that client. For example, when the client's occupation is "manager", the record should reflect the area of management, such as "hotel reservations manager" or "retail clothing store manager". When an entity's principal business area is "sales", the record should specify the type of sales, such as "pharmaceutical sales" or "retail sales".

a. Reports — a copy of every report sent to FINTRAC

You must keep a copy of every report that you submit to FINTRAC as a record.

Suspicious Transaction Reports

When you submit a Suspicious Transaction Report (STR) to FINTRAC, you must keep a copy of it.^{Footnote 1}

Retention: At least five years after the day the STR was submitted.^{Footnote 2}

Terrorist Property Reports

When you submit a Terrorist Property Report (TPR) to FINTRAC, you must keep a copy of it.^{Footnote 3}

Retention: At least five years after the day the TPR was submitted.^{Footnote 4}

Large Cash Transaction Reports

When you submit a Large Cash Transaction Report (LCTR) to FINTRAC, you must keep a copy of it.^{Footnote 5}

Retention: At least five years from the date the LCTR was created.^{Footnote 6}

Large Virtual Currency Transaction Reports

When you submit a Large Virtual Currency Transaction Report (LVCTR) to FINTRAC, you must keep a copy of it.^{Footnote 7}

Retention: At least five years from the date the LVCTR was created.^{Footnote 8}

Casino Disbursement Reports

When you submit a Casino Disbursement Report (CDR) to FINTRAC, you must keep a copy of it.^{Footnote 9}

Retention: At least five years from the date the CDR was created.^{Footnote 10}

Electronic Funds Transfer Reports

When you submit an Electronic Funds Transfer Report (EFTR) to FINTRAC, you must keep a copy of it.^{Footnote 11}

Retention: At least five years from the date the EFTR was created.^{Footnote 12}

b. Large cash transaction records

You must keep a large cash transaction record when you receive $10,000 or more in cash.^{Footnote 13}

Large cash transactions include the receipt of $10,000 or more in cash for the following transactions:^{Footnote 14}

the sale of chips, tokens or plaques;
a front cash deposit;
a safekeeping deposit;
the repayment of any form of credit, including repayment by markers or a counter cheque;
a bet of fiat currency; and
the sale of casino cheques.

If you authorize a person or an entity to receive funds on your behalf, and that person or entity receives $10,000 or more in cash in accordance with the authorization, you are deemed to have received the amount when it is received by the person or entity, and you must keep a large cash transaction record.^{Footnote 15}

**Note: This obligation is subject to the 24-hour rule.^{Footnote 16}

A large cash transaction record must include:^{Footnote 17}

the date you received the cash;
if the amount is received for deposit into an account:
- the account number(s);
- the name of each account holder—if the cash was deposited into more than one client account, all names must be included in the record; and
- the time of the deposit, if it was made during your normal business hours, or an indication of "night deposit" if the deposit was made outside of your normal business hours;
for any person involved in the transaction (including the person from whom you received the cash), their name, address, date of birth, and occupation, or in the case of a sole proprietor, the nature of their principal business;
for any entity involved in the transaction (including the entity from which you received the cash), their name, address and nature of their principal business;
the type and amount of each fiat currency received;
the purpose of the transaction (for example, the cash was used to buy chips, etc.);
the method by which you received the cash (for example, in person, by mail, by armoured car, etc.);
the exchange rates used and their source (if applicable);
if other accounts are affected by the transaction, include:
- the account number and type of account; and
- the name of each account holder;
every reference number connected to the transaction that is meant to be similar to an account number;
the following details about the remittance (i.e. the disposition) of, or exchange for, the cash received:
- the method of remittance (for example, cheque, money order, etc.);
- if the remittance is in funds, the type and amount of each type of funds involved;
- if the remittance is not in funds, the type of remittance (for example, virtual currency, etc.) and value if different from the amount received in cash; and
- the name of every person or entity involved in the remittance, their account number or policy number or, if there is no account or policy number, their identifying number.

Retention: At least five years from the date the large cash transaction record was created.^{Footnote 18}

c. Large virtual currency transaction records

You must keep a large virtual currency (VC) transaction record when you receive VC in an amount equivalent to $10,000 or more.^{Footnote 19}

If you authorize a person or an entity to receive VC on your behalf, and that person or entity receives VC in an amount equivalent to $10,000 or more in accordance with the authorization, you are deemed to have received the VC when it is received by the person or entity, and you must keep a large VC transaction record.^{Footnote 20}

**Note: This obligation is subject to the 24-hour rule.^{Footnote 21}

A large VC transaction record must include:^{Footnote 22}

the date you received the VC;
if you received the amount for deposit into an account, the name of each account holder;
for any person involved in the transaction (including the person from whom you received the VC), their name, address, date of birth, and occupation, or in the case of a sole proprietor, the nature of their principal business;
if any other entities are involved in the transaction (including the entity from which you received the VC), their name, address and the nature of their principal business;
the type and amount of each VC involved in the receipt;
the exchange rates used and their source;
if other accounts are affected by the transaction, include:
- the account number and type of account; and
- the name of each account holder;
every reference number connected to the transaction that is meant to be similar to an account number; and
every transaction identifier (this may include a transaction hash or a similar identifier, if applicable), and every sending and receiving address.

Retention: At least five years from the date the large virtual currency transaction record was created.^{Footnote 23}

d. Records of electronic funds transfers of $1,000 or more

Initiating an EFT of $1,000 or more

When you initiate, at the request of a person or entity, an electronic funds transfer (EFT) of $1,000 or more, you must record:^{Footnote 24}

the date the EFT was initiated;
the type and amount of each type of funds that is involved in the initiation;
if the client is a person, their name, address, date of birth, telephone number, and their occupation, or in the case of a sole proprietor, the nature of their principal business;
if the client is an entity, its name, address, telephone number, and nature of its principal business;
the exchange rates used and their source;
the name and address of each beneficiary;
if an account is affected by the initiation:
- the account number and account type; and
- the name of each account holder;
the number of every account that is affected by the EFT, other than those affected by the initiation; and
every reference number that is connected to the EFT and is meant to be similar to an account number.

Sending an international EFT of $1,000 or more

When you send, as an intermediary, an international EFT of $1,000 or more that was initiated by another reporting entity, you must record:^{Footnote 25}

the date the EFT was sent;
if fiat currencies are exchanged in the course of sending the EFT, the type and amount of each fiat currency involved in the exchange;
the exchange rates used and their source;
for every account affected by the sending:
- the account number and account type; and
- the name of each account holder;
every reference number connected to sending the EFT that is meant to be similar to an account number;
the name, address, and telephone number of the person or entity who requested the initiation of the EFT, unless after taking reasonable measures that information was not included with the transfer and it is not otherwise known; and
the name and address of each beneficiary, unless after taking reasonable measures that information was not included with the transfer and it is not otherwise known.

Final receipt of an international EFT of $1,000 or more

When you are the final recipient of an international EFT of $1,000 or more, you must record:^{Footnote 26}

the date the EFT was finally received;
the type and amount of each type of funds that is involved in the final receipt;
the name, address, telephone number, date of birth and occupation, or in the case of a sole proprietor, the nature of their principal business, of each person who is a beneficiary;
the name, address, telephone number, and nature of the principal business of each entity that is a beneficiary;
the date of the remittance;
the exchange rates used for the remittance and their source;
if the remittance is in funds, the type and amount of each type of funds involved in the remittance;
if the remittance is not in funds, the type of remittance and its value, if different from the amount of funds finally received;
for every account affected by the final receipt or remittance:
- the account number and account type; and
- name of each account holder;
every reference number connected to the EFT that is meant to be similar to an account number;
the name and address of the person or entity that requested the initiation of the EFT, unless after taking reasonable measures, that information was not included with the transfer or it is not otherwise known; and
the number of every account that is affected by the EFT, other than those affected by the final receipt or remittance.

**Note: International EFTs and EFTs within Canada sent via a SWIFT MT-103 message or equivalent are subject to the travel rule.^{Footnote 27} Please see FINTRAC's Travel rule guidance for more information.

Retention: At least five years from the date the EFT record was created.^{Footnote 28}

e. Receipt of funds record of $3,000 or more

When you receive $3,000 or more in funds in a single transaction, you must keep a record that indicates the receipt of funds and includes:^{Footnote 29}

the date you received the funds;
if the client is a person, their name, address, date of birth and occupation, or in the case of a sole proprietor, the nature of their principal business;
if the client is an entity, its name, address and the nature of their principal business;
if other persons are involved in the transaction, their name, address, date of birth, and occupation, or in the case of a sole proprietor, the nature of their principal business;
if other entities are involved in the transaction, their name, address and the nature of their principal business;
the amount of funds received and the amount of any part of the funds that is received in cash;
the method by which the amount is received (for example, in person, by mail, by armoured car, etc.);
the type and amount of each fiat currency involved;
the purpose of the transaction (for example, the funds were used to purchase chips)
the exchange rates used and their source (if applicable);
if other accounts are affected by the transaction, include:
- the account number and type of account; and
- the name of each account holder; and
every reference number connected to the transaction that is meant to be similar to an account number.

Retention: At least five years from the date the receipt of funds record was created.^{Footnote 30}

f. Foreign currency exchange transaction tickets

You must keep a foreign currency exchange transaction ticket, which may take the form of an entry in a transaction register, for every foreign currency exchange transaction you conduct, regardless of the amount.^{Footnote 31} Each transaction ticket must include:^{Footnote 32}

the date of the transaction;
if the transaction was of $3,000 or more and requested by a person, their name, address, date of birth, and occupation, or in the case of a sole proprietor, the nature of their principal business;
if the transaction was of $3,000 or more and requested by an entity, its name, address, and the nature of its principal business;
type and amount of each fiat currency received from the client and the type and amount of each fiat currency given to the client;
the method by which the payment was made and received;
the exchange rates used and their source;
for every account affected by the transaction:
- the account number and account type; and
- the name of each account holder;
every reference number that is connected to the transaction that is meant to be similar to that of an account number.

Retention: At least five years from the date the foreign exchange transaction record was created.^{Footnote 33}

g. Records of credit extension of $3,000 or more

When you extend credit to a client for $3,000 or more, you must keep a record of:^{Footnote 34}

the date the credit was extended;
the amount of credit extended;
if the client is a person, their name, address, date of birth, and occupation, or in the case of a sole proprietor, the nature of their principal business;
if the client is an entity, its name, address and the nature of its principal business; and
the terms of the extension of credit.

Retention: At least five years from the date the record of credit extension was created.^{Footnote 35}

h. Account records

For every account opened for a client, you must keep the following records:

Records for account holders and persons authorized to give instructions

You must keep a record for every account holder (person, corporation or other entity) and for every other person who is authorized to give instructions in respect of the account.

For a person, the record must include their name, address, telephone number, date of birth, and their occupation, or in the case of a sole proprietor, the nature of their principal business.^{Footnote 36}

For an account holder that is a corporation or an entity other than a corporation, the record must include its name, address, telephone number, and the nature of its principal business.^{Footnote 37}

For a corporation, you must also keep a copy of the part of its official corporate records that contains any provision relating to the power to bind the corporation regarding the account or a transaction.^{Footnote 38} This could be found in, for example:

the articles of incorporation; or
the bylaws of the corporation that set out the officers duly authorized to sign on behalf of the corporation, such as the president, treasurer, vice-president, comptroller, etc.

Retention: At least five years from the date the record was created. However, if this information is kept in one of the other account records, then the retention of that other record applies – at least five years from the date the account is closed.^{Footnote 39}

Signature cards

You must keep a signature card for every person authorized to give instructions on an account you open.^{Footnote 40} It can include a person's handwritten signature or an electronic signature that was created or adopted by the person.^{Footnote 41}

An electronic signature can be numeric, character-based, or biometric, so long as it is unique to the person and a record can be kept. An electronic signature may also be encrypted. For example, a client's personal identification number (PIN) can be used as an electronic signature. FINTRAC's expectation is that it will be able to review a signature card record during an examination, but the electronic signature does not need to be unencrypted.

You can keep a single signature card for a client that holds multiple accounts. You do not need to create a new signature card every time they open a subsequent account.

Retention: At least five years from the date the account was closed.^{Footnote 42}

Intended use of an account

You must keep a record of the intended use of an account.^{Footnote 43}

Retention: At least five years from the date the account was closed.^{Footnote 44}

Applications

You must keep a record of every application in respect of an account.^{Footnote 45}

Retention: At least five years from the date the account was closed.^{Footnote 46}

Account operating agreements

You must keep a record of every account operating agreement that you create or receive in respect of an account.^{Footnote 47} An account operating agreement is a document that outlines the agreement between you and your client about the account's operation.

Retention: At least five years from the date the account was closed.^{Footnote 48}

Deposit slips

You must keep a deposit slip for every deposit to an account.^{Footnote 49} A deposit slip means a record that includes:^{Footnote 50}

the date of the deposit;
the name of the person or entity that makes the deposit;
the amount of the deposit, and any part of the deposit that is made in cash;
the method by which the deposit was made; and
the number of the account the deposit went into and the name of each account holder.

Retention: At least five years from the date the deposit slip was created.^{Footnote 51}

Debit and credit memos

You must keep every debit and credit memo that you create or receive regarding an account.^{Footnote 52}

Retention: At least five years from the date the debit or credit memo was created.^{Footnote 53}

2. What are my responsibilities when maintaining records?

In order to comply with your record keeping requirements, you must keep records in such a manner that they can be provided to FINTRAC within 30 days of a request.^{Footnote 54} The records may also be requested through a judicial order by law enforcement to support an investigation of money laundering or terrorist activity financing. A record (or a copy) may be kept in a machine-readable or electronic form, so long as a paper copy can easily be produced.^{Footnote 55}

Employees who keep records for you are not required to keep them after their employment ends. The same is true for persons in a contractual relationship with you, when the contractual relationship ends, they no longer have to keep records for you.^{Footnote 56} You have to obtain and keep the records that were kept for you by an employee or a contractor before the end of the person's employment or contract.

There may be situations where you are required to keep records for purposes other than complying with your obligations under the PCMLTFA. For example, a federal or provincial regulator may require you to keep records in addition to those described in this guidance. If this is the case, you must still meet the requirements described in this guidance. For example, the retention period for your records can be longer than what is described, but it cannot be shorter.

3. What are the exceptions to the record keeping requirements?

If you are required to keep a record with information that is readily available in other records, you do not have to record the information again.^{Footnote 57}

For example, when you keep a copy of a large cash transaction report (LCTR) you may choose to use this as your large cash transaction record for the same transaction, so long as all of the information that would otherwise be kept in the large cash transaction record is captured within the report. Any requirement related to keeping the large cash transaction record would still apply, such as verifying identity.

EFTs conducted by credit/debit card

If you are initiating an international EFT of $1000 or more, sending an international EFT of $1000 or more initiated by another person or entity, or are the final recipient of an international EFT of $1000 or more by means of a credit/debit card, you do not need to keep the associated transaction records, if the beneficiary has an agreement with the payment service provider that allows for the payment of goods and services by those means.^{Footnote 58}

Financial entities, public bodies, and very large corporations or trusts

You are not required to keep a receipt of funds record, a large cash transaction record, or a large VC transaction record if the funds, cash or VC is received from a client that is a financial entity (FE) or a public body, or from a person who is acting on behalf of a client that is an FE or public body.^{Footnote 59}

You are not required to keep the records identified in this guidance for EFTs, foreign currency exchange transactions, extensions of credit, receipt of funds, and account records, when you open an account for, or a transaction is conducted by: ^{Footnote 60}

a public body;
a very large corporation or trust; or
a subsidiary of those entities, if the financial statements of the subsidiary are consolidated with those of the public body, or very large corporation or trust.

Virtual currency

When you receive VC as compensation for the validation of a transaction that is recorded in a distributed ledger or you receive a nominal amount of VC for the sole purpose of validating a different transaction or a transfer of information, you are not required to keep a large VC transaction record.^{Footnote 61}

Details and history

Published: April 2022

For assistance

If you have questions about your record keeping requirements, please contact FINTRAC by email at guidelines-lignesdirectrices@fintrac-canafe.gc.ca.

Footnote 1

Proceeds of Crime (Money Laundering) and Terrorist Financing Suspicious Transaction Reporting Regulations (PCMLTFSTRR), SOR/2001-317, s. 12.1(1).

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Footnote 2

Ibid

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Footnote 3

Ibid

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Footnote 4

Ibid

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Footnote 5

Proceeds of Crime (Money Laundering) and Terrorist Financing Regulations (PCMLTFR), SOR/2002-184, s. 144.

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Footnote 6

PCMLTFR, SOR/2002-184, s. 148(1)(c).

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Footnote 7

PCMLTFR, SOR/2002-184, s. 144.

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Footnote 8

PCMLTFR, SOR/2002-184, s. 148(1)(c).

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Footnote 9

PCMLTFR, SOR/2002-184, s. 144.

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Footnote 10

PCMLTFR, SOR/2002-184, s. 148(1)(c).

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Footnote 11

PCMLTFR, SOR/2002-184, s. 144.

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Footnote 12

PCMLTFR, SOR/2002-184, s. 148(1)(c).

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Footnote 13

PCMLTFR, SOR/2002-184, s. 72(1)

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Footnote 14

PCMLTFR, SOR/2002-184, s. 72(2).

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Footnote 15

PCMLTFR, SOR/2002-184, s. 142(1).

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Footnote 16

PCMLTFR, SOR/2002-184, s. 126.

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Footnote 17

PCMLTFR, SOR/2002-184, s. 1(2).

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Footnote 18

PCMLTFR, SOR/2002-184, s. 148(1)(c).

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Footnote 19

PCMLTFR, SOR/2002-184, s. 73.

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Footnote 20

PCMLTFR, SOR/2002-184, s. 143(1).

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Footnote 21

PCMLTFR, SOR/2002-184, s. 129.

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Footnote 22

PCMLTFR, SOR/2002-184, s. 1(2).

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Footnote 23

PCMLTFR, SOR/2002-184, s. 148(1)(c).

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Footnote 24

PCMLTFR, SOR/2002-184, s. 74(2)(c).

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Footnote 25

PCMLTFR, SOR/2002-184, s. 74(2)(d).

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Footnote 26

PCMLTFR, SOR/2002-184, s. 74(2)(e).

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Footnote 27

Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA), S.C. 2000, c. 17, s. 9.5 and PCMLTFR, SOR/2002-184, s. 124.

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Footnote 28

PCMLTFR, SOR/2002-184, s. 148(1)(c).

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Footnote 29

PCMLTFR, SOR/2002-184, ss. 1(2) and 74(2)(f).

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Footnote 30

PCMLTFR, SOR/2002-184, s. 148(1)(c).

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Footnote 31

PCMLTFR, SOR/2002-184, s. 74(2)(b).

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Footnote 32

PCMLTFR, SOR/2002-184, s. 1(2).

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Footnote 33

PCMLTFR, SOR/2002-184, s. 148(1)(c).

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Footnote 34

PCMLTFR, SOR/2002-184, s. 74(2)(a).

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Footnote 35

PCMLTFR, SOR/2002-184, s. 148(1)(c).

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Footnote 36

PCMLTFR, SOR/2002-184, s. 74(1)(b).

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Footnote 37

Ibid

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Footnote 38

PCMLTFR, SOR/2002-184, s. 74(1)(c).

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Footnote 39

PCMLTFR, SOR/2002-184, ss. 148(1)(a) and 148(1)(c).

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Footnote 40

PCMLTFR, SOR/2002-184, s. 74(1)(a).

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Footnote 41

PCMLTFR, SOR/2002-184, s. 1(2).

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Footnote 42

PCMLTFR, SOR/2002-184, s. 148(1)(a).

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Footnote 43

PCMLTFR, SOR/2002-184, s. 74(1)(d).

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Footnote 44

PCMLTFR, SOR/2002-184, s. 148(1)(a).

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Footnote 45

PCMLTFR, SOR/2002-184, s. 74(1)(e).

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Footnote 46

PCMLTFR, SOR/2002-184, s. 148(1)(a).

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Footnote 47

PCMLTFR, SOR/2002-184, s. 74(1)(f).

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Footnote 48

PCMLTFR, SOR/2002-184, s. 148(1)(a).

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Footnote 49

PCMLTFR, SOR/2002-184, s. 74(1)(g).

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Footnote 50

PCMLTFR, SOR/2002-184, s. 1(2).

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Footnote 51

PCMLTFR, SOR/2002-184, s. 148(1)(c).

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Footnote 52

PCMLTFR, SOR/2002-184, s. 74(1)(h).

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Footnote 53

PCMLTFR, SOR/2002-184, s. 148(1)(c).

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Footnote 54

PCMLTFR, SOR/2002-184, s. 149.

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Footnote 55

PCMLTFSTRR, SOR/2001-317, s. 12.1(2) and PCMLTFR, SOR/2002-184, s. 147.

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Footnote 56

PCMLTFSTRR, SOR/2001-317, s. 12.1(3) and PCMLTFR, SOR/2002-184, s. 148(2).

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Footnote 57

PCMLTFR, SOR/2002-184, s. 153.

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Footnote 58

PCMLTFR, SOR/2002-184, s. 150.1

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Footnote 59

PCMLTFR, SOR/2002-184, ss. 72(1), 73 and 74(2)(f).

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Footnote 60

PCMLTFR, SOR/2002-184, ss. 154(2)(m), (n) and (o).

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Footnote 61

PCMLTFR, SOR/2002-184, s. 151(1).

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Definitions

Accountant

A chartered accountant, a certified general accountant, a certified management accountant or, if applicable, a chartered professional accountant. (comptable)

Reference:
Proceeds of Crime (Money Laundering) and Terrorist Financing Regulations (PCMLTFR), SOR/2002-184, s. 1(2).

Accounting firm

An entity that is engaged in the business of providing accounting services to the public and has at least one partner, employee or administrator that is an accountant. (cabinet d'expertise comptable)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Act

The Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA). (la Loi)

Reference:
Proceeds of Crime (Money Laundering) and Terrorist Financing Administrative Monetary Penalties Regulations (PCMLTFAMPR), SOR/2007-292, s. 1, Proceeds of Crime (Money Laundering) and Terrorist Financing Registration Regulations (PCMLTFRR), SOR/2007-121, s. 1, PCMLTFR, SOR/2002-184, s. 1(2), and Proceeds of Crime (Money Laundering) and Terrorist Financing Suspicious Transaction Reporting Regulations (PCMLTFSTRR), SOR/2001-317, s. 1(2).

Administrative monetary penalties (AMPs)

Civil penalties that may be issued to reporting entities by FINTRAC for non-compliance with the PCMLTFA and associated Regulations. (pénalité administrative pécuniaire [PAP])

Affiliate

An entity is affiliated with another entity if one of them is wholly owned by the other, if both are wholly owned by the same entity or if their financial statements are consolidated. (entité du même groupe)

Reference:
PCMLTFR, SOR/2002-184, s. 4.

Annuity

Has the same meaning as in subsection 248(1) of the Income Tax Act. (rente)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Armoured cars

Persons or entities that are engaged in the business of transporting currency, money orders, traveller’s cheques or other similar negotiable instruments. (Véhicules blindés)

As soon as practicable

A time period that falls in-between immediately and as soon as possible, within which a suspicious transaction report (STR) must be submitted to FINTRAC. The completion and submission of the STR should take priority over other tasks. In this context, the report must be completed promptly, taking into account the facts and circumstances of the situation. While some delay is permitted, it must have a reasonable explanation. (aussitôt que possible)

Attempted transaction

Occurs when an individual or entity starts to conduct a transaction that is not completed. For example, a client or a potential client walks away from conducting a $10,000 cash deposit. (opération tentée)

Authentic

In respect of verifying identity, means genuine and having the character of an original, credible, and reliable document or record. (authentique)

Authorized person

A person who is authorized under subsection 45(2). (personne autorisée)

Reference:
Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA), S.C. 2000, c 17, s. 2(1).

Authorized user

A person who is authorized by a holder of a prepaid payment product account to have electronic access to funds or virtual currency available in the account by means of a prepaid payment product that is connected to it. (utilisateur autorisé)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Beneficial owner(s)

Beneficial owners are the individuals who are the trustees, and known beneficiaries and settlors of a trust, or who directly or indirectly own or control 25% or more of i) the shares of a corporation or ii) an entity other than a corporation or trust, such as a partnership. The ultimate beneficial owner(s) cannot be another corporation or entity; it must be the actual individual(s) who owns or controls the entity. (bénéficiaire effectif)

Beneficiary

A beneficiary is the individual or entity that will benefit from a transaction or to which the final remittance is made. (bénéficiaire)

Branch

A branch is a part of your business at a distinct location other than your main office. (succursale)

British Columbia notary corporation

An entity that carries on the business of providing notary services to the public in British Columbia in accordance with the Notaries Act, R.S.B.C. 1996, c. 334. (société de notaires de la Colombie-Britannique)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

British Columbia notary public

A person who is a member of the Society of Notaries Public of British Columbia. (notaire public de la Colombie-Britannique)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Cash

Coins referred to in section 7 of the Currency Act, notes issued by the Bank of Canada under the Bank of Canada Act that are intended for circulation in Canada or coins or bank notes of countries other than Canada. (espèces)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2) and PCMLTFSTRR, SOR/2001-317, s. 1(2).

Casino

A government, organization, board or operator that is referred to in any of paragraphs 5(k) to (k.3) of the Act. (casino)

Reference:
PCMLTFR, SOR/2002-184, s 1(2) and PCMLTFSTRR, SOR/2001-317, s. 1(2).

Certified translator

An individual that holds the title of professional certified translator granted by a Canadian provincial or territorial association or body that is competent under Canadian provincial or territorial law to issue such certification. (traducteur agréé)

Clarification request

A clarification request is a method used to communicate with money services businesses (MSBs) or foreign money services businesses (FMSBs) when FINTRAC needs more information about their registration form. This request is usually sent by email. (demande de précisions)

Client

A person or entity that engages in a financial transaction with another person or entity. (client)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 2(1).

Client identification information

The identifying information that you have obtained on your clients, such as name, address, telephone number, occupation or nature of principal business, and date of birth for an individual. (renseignements d'identification du client)

Competent authority

For the purpose of the criminal record check submitted with an application for registration, a competent authority is any person or organization that has the legally delegated or invested authority, capacity, or power to issue criminal record checks. (autorité compétente)

Completed transaction

Is a transaction conducted by a person or entity, that is completed and results in the movement of funds, virtual currency, or the purchase or sale of an asset. (opération effectuée)

Completing action

With respect to a reportable transaction, information related to the instructions provided by the person or entity making the request to the reporting entity to complete a transaction. For example, an individual arrives at a bank and requests to purchase a bank draft. The completing action is the details of how the reporting entity fulfilled the person or entity’s instructions which led to the transaction being completed. This includes what the funds or virtual currency initially brought to the reporting entity was used for (see “disposition”). A transaction may have one or more completing actions depending on the instructions provided by the person or entity. (action d’achèvement)

Compliance officer

The individual, with the necessary authority, that you appoint to be responsible for the implementation of your compliance program. (agent de conformité)

Compliance policies and procedures

Written methodology outlining the obligations applicable to your business under the PCMLTFA and its associated Regulations and the corresponding processes and controls you put in place to address your obligations. (politiques et procédures de conformité)

Compliance program

All elements (compliance officer, policies and procedures, risk assessment, training program, effectiveness review) that you, as a reporting entity, are legally required to have under the PCMLTFA and its associated Regulations to ensure that you meet all your obligations. (programme de conformité)

Context

Clarifies a set of circumstances or provides an explanation of a situation or financial transaction that can be understood and assessed. (contexte)

Correspondent banking relationship

A relationship created by an agreement or arrangement under which an entity referred to in any of paragraphs 5(a), (b), (d),(e) and (e.1) or an entity that is referred to in section 5 and that is prescribed undertakes to provide to a prescribed foreign entity prescribed services or international electronic funds transfers, cash management or cheque clearing services. (relation de correspondant bancaire)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 9.4(3) and PCMLTFR, SOR/2002-184, s. 16(1)(b).

Country of residence

The country where an individual has lived continuously for 12 months or more. The individual must have a dwelling in the country concerned. For greater certainty, a person only has one country of residence no matter how many dwelling places they may have, inside or outside of that country. (pays de résidence)

Credit card acquiring business

A credit card acquiring business is a financial entity that has an agreement with a merchant to provide the following services:

enabling a merchant to accept credit card payments by cardholders for goods and services and to receive payments for credit card purchases;
processing services, payment settlements and providing point-of-sale equipment (such as computer terminals); and
providing other ancillary services to the merchant.

(entreprise d'acquisition de cartes de crédit)

Credit union central

A central cooperative credit society, as defined in section 2 of the Cooperative Credit Associations Act, or a credit union central or a federation of credit unions or caisses populaires that is regulated by a provincial Act other than one enacted by the legislature of Quebec. (centrale de caisses de crédit)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Crowdfunding platform

A website or an application or other software that is used to raise funds or virtual currency through donations. (plateforme de sociofinancement)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Crowdfunding platform services

The provision and maintenance of a crowdfunding platform for use by other persons or entities to raise funds or virtual currency for themselves or for persons or entities specified by them. (services de plateforme de sociofinancement)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Current

In respect of a document or source of information that is used to verify identity, is up to date, and, in the case of a government-issued photo identification document, must not have been expired when the ID was verified. (à jour)

Dealer in precious metals and stones

A person or entity that, in the course of their business activities, buys or sells precious metals, precious stones or jewellery. It includes a department or an agent of His Majesty in right of Canada or an agent or mandatary of His Majesty in right of a province when the department or the agent or mandatary carries out the activity, referred to in subsection 65(1), of selling precious metals to the public. (négociant en métaux précieux et pierres précieuses)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Deferred profit sharing plan

Has the same meaning as in subsection 248(1) of the Income Tax Act. (régime de participation différée aux bénéfices)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Deposit slip

A record that sets out:

(a) the date of the deposit;
(b) the name of the person or entity that makes the deposit;
(c) the amount of the deposit and of any part of it that is made in cash;
(d) the method by which the deposit is made; and
(e) the number of the account into which the deposit is made and the name of each account holder.

(relevé de dépôt)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Directing services

A business is directing services at persons or entities in Canada if at least one of the following applies:

The business's marketing or advertising is directed at persons or entities located in Canada;
The business operates a ".ca" domain name; or,
The business is listed in a Canadian business directory.

Additional criteria may be considered, such as if the business describes its services being offered in Canada or actively seeks feedback from persons or entities in Canada. (diriger des services)

Distributed ledger

For the purpose of section 151 of the Proceeds of Crime (Money Laundering) and Terrorist Financing Regulations (PCMLTFR), a digital ledger that is maintained by multiple persons or entities and that can only be modified by a consensus of those persons or entities. (registres distribués)

Reference:
PCMLTFR, SOR/2002-184, s. 151(2).

Disposition

With respect to a reportable transaction, the disposition is what the funds or virtual currency was used for. For example, an individual arrives at a bank with cash and purchases a bank draft. The disposition is the purchase of the bank draft. (répartition)

Electronic funds transfer

The transmission—by any electronic, magnetic or optical means—of instructions for the transfer of funds, including a transmission of instructions that is initiated and finally received by the same person or entity. In the case of SWIFT messages, only SWIFT MT-103 messages and their equivalent are included. It does not include a transmission or instructions for the transfer of funds:

(a) that involves the beneficiary withdrawing cash from their account;
(b) that is carried out by means of a direct deposit or pre-authorized debit;
(c) that is carried out by cheque imaging and presentment
(d) that is both initiated and finally received by persons or entities that are acting to clear or settle payment obligations between themselves; or
(e) that is initiated or finally received by a person or entity referred to in paragraphs 5(a) to (h.1) of the Act for the purpose of internal treasury management, including the management of their financial assets and liabilities, if one of the parties to the transaction is a subsidiary of the other or if they are subsidiaries of the same corporation.

(télévirement)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Employees profit sharing plan

Has the same meaning as in subsection 248(1) of the Income Tax Act. (régime de participation des employés aux bénéfices)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Entity

A body corporate, a trust, a partnership, a fund or an unincorporated association or organization. (entité)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 2(1).

Facts

Actual events, actions, occurrences or elements that exist or are known to have happened or existed. Facts are not opinions. For example, facts surrounding a transaction or multiple transactions could include the date, time, location, amount or type of transaction or could include the account details, particular business lines, or the client's financial history. (faits)

Family member

For the purposes of subsection 9.3(1) of the Act, a prescribed family member of a politically exposed foreign person, a politically exposed domestic person or a head of an international organization is:

(a) their spouse or common-law partner;
(b) their child;
(c) their mother or father;
(d) the mother or father of their spouse or common-law partner; or
(e) a child of their mother or father.

(membre de la famille)

Reference:
PCMLTFR, SOR/2002-184, s. 2(1).

Fiat currency

A currency that is issued by a country and is designated as legal tender in that country. (monnaie fiduciaire)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2) and PCMLTFSTRR, SOR/2001-317, s. 1(2).

Final receipt

In respect of an electronic funds transfer, means the receipt of the instructions by the person or entity that is to make the remittance to a beneficiary. (destinataire)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Financial entity

Means:

(a) an entity that is referred to in any of paragraphs 5(a), (b) and (d) to (f) of the Act;
(b) a financial services cooperative;
(c) a life insurance company, or an entity that is a life insurance broker or agent, in respect of loans or prepaid payment products that it offers to the public and accounts that it maintains with respect to those loans or prepaid payment products, other than:
1. (i) loans that are made by the insurer to a policy holder if the insured person has a terminal illness that significantly reduces their life expectancy and the loan is secured by the value of an insurance policy;
2. (ii) loans that are made by the insurer to the policy holder for the sole purpose of funding the life insurance policy; and
3. (iii) advance payments to which the policy holder is entitles that are made to them by the insurer;
(d) a credit union central when it offers financial services to a person, or to an entity that is not a member of that credit union central; and
(e) a department, or an entity that is an agent of His Majesty in right of Canada or an agent or mandatary of His Majesty in right of a province, when it carries out an activity referred to in section 76.

(entité financière)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Financial Action Task Force

The Financial Action Task Force on Money Laundering established in 1989. (Groupe d'action financière)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 2(1).

Financial services cooperative

A financial services cooperative that is regulated by an Act respecting financial services cooperatives, CQLR, c. C-67.3 or the Act respecting the Mouvement Desjardins, S.Q. 2000, c. 77, other than a caisse populaire. (coopérative de services financiers)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Foreign currency

A fiat currency that is issued by a country other than Canada. (devise)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Foreign currency exchange transaction

An exchange, at the request of another person or entity, of one fiat currency for another. (opération de change en devise)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Foreign currency exchange transaction ticket

A record respecting a foreign currency exchange transaction—including an entry in a transaction register—that sets out:

(a) the date of the transaction;
(b) in the case of a transaction of $3,000 or more, the name and address of the person or entity that requests the exchange, the nature of their principal business or their occupation and, in the case of a person, their date of birth;
(c) the type and amount of each of the fiat currencies involved in the payment made and received by the person or entity that requests the exchange;
(d) the method by which the payment is made and received;
(e) the exchange rates used and their source;
(f) the number of every account that is affected by the transaction, the type of account and the name of each account holder; and
(g) every reference number that is connected to the transaction and has a function equivalent to that of an account number.

(fiche d'opération de change en devise)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Foreign money services business

Persons and entities that do not have a place of business in Canada, that are engaged in the business of providing at least one of the following services that is directed at persons or entities in Canada, and that provide those services to their clients in Canada:

(i) foreign exchange dealing,
(ii) remitting funds or transmitting funds by any means or through any person, entity or electronic funds transfer network,
(iii) issuing or redeeming money orders, traveller's cheques or other similar negotiable instruments except for cheques payable to a named person or entity,
(iv) dealing in virtual currencies, or
(v) any prescribed service.

(entreprise de services monétaires étrangère)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 5(h.1), PCMLTFRR, SOR/2007-121, s. 1 and PCMLTFR, SOR/2002-184, s. 1(2).

Foreign state

Except for the purposes of Part 2, means a country other than Canada and includes any political subdivision or territory of a foreign state. (État étranger)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 2(1).

Funds

Means:

(a) cash and other fiat currencies, and securities, negotiable instruments or other financial instruments that indicate a title or right to or interest in them; or
(b) a private key of a cryptographic system that enables a person or entity to have access to a fiat currency other than cash.

For greater certainty, it does not include virtual currency. (fonds)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2) and PCMLTFSTRR, SOR/2001-317, s. 1(2).

Head of an international organization

A person who, at a given time, holds—or has held within a prescribed period before that time—the office or position of head of

a) an international organization that is established by the governments of states;
b) an institution of an organization referred to in paragraph (a); or
c) an international sports organization.

(dirigeant d'une organisation internationale)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 9.3(3).

Immediately

In respect of submitting a Terrorist Property Report (TPR), the time period within which a TPR must be submitted, which does not allow for any delay prior to submission. (immédiatement)

Information record

A record that sets out the name and address of a person or entity and:

(a) in the case of a person, their date of birth and the nature of their principal business or their occupation; and
(b) in the case of an entity, the nature of its principal business.

(dossier de renseignements)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Initiation

In respect of an electronic funds transfer, means the first transmission of the instructions for the transfer of funds. (amorcer)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Institutional trust

For the purpose of section 15 of the Proceeds of Crime (Money Laundering) and Terrorist Financing Regulations (PCMLTFR), means a trust that is established by a corporation or other entity for a particular business purpose and includes a pension plan trust, a pension master trust, a supplemental pension plan trust, a mutual fund trust, a pooled fund trust, a registered retirement savings plan trust, a registered retirement income fund trust, a registered education savings plan trust, a group registered retirement savings plan trust, a deferred profit sharing plan trust, an employee profit sharing plan trust, a retirement compensation arrangement trust, an employee savings plan trust, a health and welfare trust, an unemployment benefit plan trust, a foreign insurance company trust, a foreign reinsurance trust, a reinsurance trust, a real estate investment trust, an environmental trust and a trust established in respect of endowment, a foundation or a registered charity. (fiducie institutionnelle)

Reference:
PCMLTFR, SOR/2002-184, s. 15(2).

International electronic funds transfer

An electronic funds transfer other than for the transfer of funds within Canada. (télévirement international)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Inter vivos trust

A personal trust, other than a trust created by will. (fiducie entre vifs)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Jewellery

Objects that are made of gold, silver, palladium, platinum, pearls or precious stones and that are intended to be worn as a personal adornment. (bijou)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Large cash transaction record

A record that indicates the receipt of an amount of $10,000 or more in cash in a single transaction and that contains the following information:

(a) the date of the receipt;
(b) if the amount is received for deposit into an account, the number of the account, the name of each account holder and the time of the deposit or an indication that the deposit is made in a night deposit box outside the recipient's normal business hours;
(c) the name and address of every other person or entity that is involved in the transaction, the nature of their principal business or their occupation and, in the case of a person, their date of birth;
(d) the type and amount of each fiat currency involved in the receipt;
(e) the method by which the cash is received;
(f) if applicable, the exchange rates used and their source;
(g) the number of every other account that is affected by the transaction, the type of account and the name of each account holder
(h) every reference number that is connected to the transaction and has a function equivalent to that of an account number;
(i) the purpose of the transaction;
(j) the following details of the remittance of, or in exchange for, the cash received:
1. (i) the method of remittance;
2. (ii) if the remittance is in funds, the type and amount of each type of funds involved;
3. (iii) if the remittance is not in funds, the type of remittance and its value, if different from the amount of cash received; and
4. (iv) the name of every person or entity involved in the remittance and their account number or policy number or, if they have no account number or policy number, their identifying number; and
(k) if the amount is received by a dealer in precious metals and precious stones for the sale of precious metals, precious stones or jewellery:
1. (i) the type of precious metals, precious stones or jewellery;
2. (ii) the value of the precious metals, precious stones or jewellery, if different from the amount of cash received, and
3. (iii) the wholesale value of the precious metals, precious stones or jewellery.

(relevé d'opération importante en espèces)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Large virtual currency transaction record

A record that indicates the receipt of an amount of $10,000 or more in virtual currency in a single transaction and that contains the following information:

(a) the date of the receipt;
(b) if the amount is received for deposit into an account, the name of each account holder;
(c) the name and address of every other person or entity that is involved in the transaction, the nature of their principal business or their occupation and, in the case of a person, their date of birth;
(d) the type and amount of each virtual currency involved in the receipt;
(e) the exchange rates used and their source;
(f) the number of every other account that is affected by the transaction, the type of account and the name of each account holder;
(g) every reference number that is connected to the transaction and has a function equivalent to that of an account number;
(h) every transaction identifier, including the sending and receiving addresses; and
(i) if the amount is received by a dealer in precious metals and precious stones for the sale of precious metals, precious stones or jewellery:
1. (i) the type of precious metals, precious stones or jewellery;
2. (ii) the value of the precious metals, precious stones or jewellery, if different from the amount of virtual currency received; and
3. (iii) the wholesale value of the precious metals, precious stones or jewellery.

(relevé d'opération importante en monnaie virtuelle)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Life insurance broker or agent

A person or entity that is authorized under provincial legislation to carry on the business of arranging contracts of life insurance. (représentant d'assurance-vie)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Life insurance company

A life company or foreign life company to which the Insurance Companies Act applies or a life insurance company regulated by a provincial Act. (société d'assurance-vie)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Listed person

Has the same meaning as in section 1 of the Regulations Implementing the United Nations Resolutions on the Suppression of Terrorism. (personne inscrite)

Reference:
PCMLTFSTRR, SOR/2001-317, s. 1(2).

Managing general agents (MGAs)

Life insurance brokers or agents that act as facilitators between other life insurance brokers or agents and life insurance companies. MGAs typically offer services to assist with insurance agents contracting and commission payments, facilitate the flow of information between insurer and agent, and provide training to, and compliance oversight of, insurance agents. (agent général de gestion)

Mandatary

A person who acts, under a mandate or agreement, for another person or entity. (mandataire)

Marketing or advertising

When a person or entity uses promotional materials such as advertisements, graphics for websites or billboards, etc., with the intent to promote money services business (MSB) services and to acquire business from persons or entities in Canada. (marketing ou publicité)

Minister

In relation to sections 24.1 to 39, the Minister of Public Safety and Emergency Preparedness and, in relation to any other provision of this Act, the Minister of Finance. (ministre)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 2(1).

Money laundering offence

An offence under subsection 462.31(1) of the Criminal Code. The United Nations defines money laundering as "any act or attempted act to disguise the source of money or assets derived from criminal activity." Essentially, money laundering is the process whereby "dirty money"—produced through criminal activity—is transformed into "clean money," the criminal origin of which is difficult to trace. (infraction de recyclage des produits de la criminalité)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 2(1).

Money laundering and terrorist financing indicators (ML/TF indicators)

Potential red flags that could initiate suspicion or indicate that something may be unusual in the absence of a reasonable explanation. [Indicateurs de blanchiment d'argent (BA) et de financement du terrorisme (FT) (indicateurs de BA/FT)]

Money services business

A person or entity that has a place of business in Canada and that is engaged in the business of providing at least one of the following services:

(i) foreign exchange dealing,
(ii) remitting funds or transmitting funds by any means or through any person, entity or electronic funds transfer network,
(iii) issuing or redeeming money orders, traveller's cheques or other similar negotiable instruments except for cheques payable to a named person or entity,
(iv) dealing in virtual currencies, or
(v) any prescribed service.

(entreprise de services monétaires)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 5(h), PCMLTFRR, SOR/2007-121, s. 1 and PCMLTFR, SOR/2002-184, s. 1(2).

Money services business agent

An individual or entity authorized to deliver services on behalf of a money services business (MSB). It is not an MSB branch. (mandataire d'une entreprise de services monétaires)

Mortgage administrator

A person or entity, other than a financial entity, that is engaged in the business of servicing mortgage agreements on real property or hypothec agreements on immovables on behalf of a lender. (administrateur hypothécaire)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 5(i), PCMLTFRR,SOR/2002-184, subsection 1(2)

Mortgage broker

A person or entity that is authorized under provincial legislation to act as an intermediary between a lender and a borrower with respect to loans secured by mortgages on real property or hypothecs on immovables. (courtier hypothécaire)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 5(i), PCMLTFRR,SOR/2002-184, subsection 1(2)

Mortgage lender

A person or entity, other than a financial entity, that is engaged in the business of providing loans secured by mortgages on real property or hypothecs on immovables. (prêteur hypothécaire)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 5(i), PCMLTFRR,SOR/2002-184, subsection 1(2)

Nature of principal business

An entity's type or field of business. Also applies to an individual in the case of a sole proprietorship. (nature de l'entreprise principale)

New developments

Changes to the structure or operations of a business when new services, activities, or locations are put in place. For example, changes to a business model or business restructuring. (nouveaux développements)

New technologies

The adoption of a technology that is new to a business. For example, when a business adopts new systems or software such as transaction monitoring systems or client onboarding and identification tools. (nouvelles technologies)

No apparent reason

There is no clear explanation to account for suspicious behaviour or information. (sans raison apparente)

Occupation

The job or profession of an individual. (profession ou métier)

Person

An individual. (personne)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 2(1).

Person authorized to give instructions

In respect of an account, means a person who is authorized to instruct on the account or make changes to the account, such as modifying the account type, updating the account contact details, and in the case of a credit card account, requesting a limit increase or decrease, or adding or removing card holders. A person who is only able to conduct transactions on the account is not considered a person authorized to give instructions. (personne habilitée à donner des instructions)

Politically exposed domestic person

A person who, at a given time, holds—or has held within a prescribed period before that time—one of the offices or positions referred to in any of paragraphs (a) and (c) to (j) in or on behalf of the federal government or a provincial government or any of the offices or positions referred to in paragraphs (b) and (k):

(a) Governor General, lieutenant governor or head of government;
(b) member of the Senate or House of Commons or member of a legislature of a province;
(c) deputy minister or equivalent rank;
(d) ambassador, or attaché or counsellor of an ambassador;
(e) military officer with a rank of general or above;
(f) president of a corporation that is wholly owned directly by His Majesty in right of Canada or a province;
(g) head of a government agency;
(h) judge of an appellate court in a province, the Federal Court of Appeal or the Supreme Court of Canada;
(i) leader or president of a political party represented in a legislature;
(j) holder of any prescribed office or position; or
(k) mayor, reeve or other similar chief officer of a municipal or local government.

(national politiquement vulnérable)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 9.3(3).

Politically exposed foreign person

A person who holds or has held one of the following offices or positions in or on behalf of a foreign state:

(a) head of state or head of government;
(b) member of the executive council of government or member of a legislature;
(c) deputy minister or equivalent rank;
(d) ambassador, or attaché or counsellor of an ambassador;
(e) military officer with a rank of general or above;
(f) president of a state-owned company or a state-owned bank;
(g) head of a government agency;
(h) judge of a supreme court, constitutional court or other court of last resort;
(i) leader or president of a political party represented in a legislature; or
(j) holder of any prescribed office or position.

(étranger politiquement vulnérable)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Possibility

In regards to completing a suspicious transaction report (STR), the likelihood that a transaction may be related to a money laundering/terrorist financing (ML/TF) offence. For example, based on your assessment of facts, context and ML/TF indicators you have reasonable grounds to suspect that a transaction is related to the commission or attempted commission of an ML/TF offence. (possibilité)

Precious metal

Gold, silver, palladium or platinum in the form of coins, bars, ingots or granules or in any other similar form. (métal précieux)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 2(1).

Precious stones

Diamonds, sapphires, emeralds, tanzanite, rubies or alexandrite. (pierre précieuse)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Prepaid payment product

A product that is issued by a financial entity and that enables a person or entity to engage in a transaction by giving them electronic access to funds or virtual currency paid to a prepaid payment product account held with the financial entity in advance of the transaction. It excludes a product that:

(a) enables a person or entity to access a credit or debit account or one that is issued for use only with particular merchants; or
(b) is issued for single use for the purposes of a retail rebate program.

(produit de paiement prépayé)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Prepaid payment product account

An account – other than an account to which only a public body or, if doing so for the purposes of humanitarian aid, a registered charity as defined in subsection 248(1) of the Income Tax Act, can add funds or virtual currency – that is connected to a prepaid payment product and that permits:

(a) funds or virtual currency that total $1,000 or more to be added to the account within a 24-hour period; or
(b) a balance of funds or virtual currency of $1,000 or more to be maintained.

(compte de produit de paiement prépayé)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Prescribed

Prescribed by regulations made by the Governor in Council. (Version anglaise seulement)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 2(1).

Probability

The likelihood in regards to completing a suspicious transaction report (STR) that a financial transaction is related to a money laundering/terrorist financing (ML/TF) offence. For example, based on facts, having reasonable grounds to believe that a transaction is probably related to the commission or attempted commission of an ML/TF offence. (probabilité)

Production order

A judicial order that compels a person or entity to disclose records to peace officers or public officers. (ordonnance de communication)

Public body

Means

(a) a department or an agent of His Majesty in right of Canada or an agent or mandatary of His Majesty in right of a province;
(b) an incorporated city or town, village, metropolitan authority, township, district, county, rural municipality or other incorporated municipal body in Canada or an agent or mandatary in Canada of any of them; and
(c) an organization that operates a public hospital and that is designated by the Minister of National Revenue as a hospital authority under the Excise Tax Act, or an agent or mandatary of such an organization.

(organisme public)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Real estate broker or sales representative

A person or entity that is authorized under provincial legislation to act as an agent or mandatary for purchasers or vendors in respect of the purchase or sale of real property or immovables. (courtier ou agent immobilier)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Real estate developer

A person or entity that, in any calendar year after 2007, has sold to the public, other than in the capacity of a real estate broker or sales representative:

(a) five or more new houses or condominium units;
(b) one or more new commercial or industrial buildings; or
(c) one or more new multi-unit residential buildings each of which contains five or more residential units, or two or more new multi-unit residential buildings that together contain five or more residential units.

(promoteur immobilier)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Reasonable measures

Steps taken to achieve a desired outcome, even if they do not result in the desired outcome. For example, this can include doing one or more of the following:

asking the client,
conducting open source searches,
retrieving information already available, including information held in non-digital formats, or
consulting commercially available information.

(mesures raisonnables)

Receipt of funds record

A record that indicates the receipt of an amount of funds and that contains the following information:

(a) the date of the receipt;
(b) if the amount is received from a person, their name, address and date of birth and the nature of their principal business or their occupation;
(c) if the amount is received from or on behalf of an entity, the entity's name and address and the nature of their principal business;
(d) the amount of the funds received and of any part of the funds that is received in cash;
(e) the method by which the amount is received;
(f) the type and amount of each fiat currency involved in the receipt;
(g) if applicable, the exchange rates used and their source;
(h) the number of every account that is affected by the transaction in which the receipt occurs, the type of account and the name of each account holder;
(i) the name and address of every other person or entity that is involved in the transaction, the nature of their principal business or their occupation and, in the case of a person, their date of birth;
(j) every reference number that is connected to the transaction and has a function equivalent to that of an account number; and
(k) the purpose of the transaction.

(relevé de réception de fonds)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Registered pension plan

Has the same meaning as in subsection 248(1) of the Income Tax Act. (régime de pension agréé)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Registered retirement income fund

Has the same meaning as in subsection 248(1) of the Income Tax Act. (fonds enregistré de revenu de retraite)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Reliable

In respect of information that is used to verify identity, means that the source is well known, reputable, and is considered one that you trust to verify the identity of the client. (fiable)

Representative for service

An individual in Canada that has been appointed by a person or entity that is a foreign money services business (FMSB), pursuant to the PCMLTFA, to receive notices and documents on behalf of the FMSB. (représentant du service)

Risk assessment

The review and documentation of potential money laundering/terrorist financing risks in order to help a business establish policies, procedures and controls to detect and mitigate these risks and their impact. (évaluation des risques)

Sanctions evasion

Sanctions evasion offence means an offence arising from the contravention of a restriction or prohibition established by an order or a regulation made under the United Nations Act, the Special Economic Measures Act or the Justice for Victims of Corrupt Foreign Officials Act (Sergei Magnitsky Law). (contournement des sanctions)

Securities dealer

A person or entity that is referred to in paragraph 5(g) of the Act. (courtier en valeurs mobilières)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Senior officer

In respect of an entity, means:

(a) a director of the entity who is one of its full-time employees;
(b) the entity's chief executive officer, chief operating officer, president, secretary, treasurer, controller, chief financial officer, chief accountant, chief auditor or chief actuary, or any person who performs any of those functions; or
(c) any other officer who reports directly to the entity's board of directors, chief executive officer or chief operating officer.

(cadre dirigeant)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Service agreement

An agreement between a money services business (MSB) and an organization according to which the MSB will provide any of the following MSB services on an ongoing basis:

money transfers;
foreign currency exchange;
issuing or redeeming money orders, traveller's cheques or anything similar; or
dealing in virtual currencies.
Crowdfunding
Armoured Cars

(accord de relation commerciale)

Settlor

A settlor is an individual or entity that creates a trust with a written trust declaration. The settlor ensures that legal responsibility for the trust is given to a trustee and that the trustee is provided with a trust instrument document that explains how the trust is to be used for the beneficiaries. A settlor includes any individual or entity that contributes financially to that trust, either directly or indirectly. (constituant)

Shell bank

A foreign financial institution that:

(a) does not have a place of business that:
1. (i) is located at a fixed address—where it employs one or more persons on a full-time basis and maintains operating records related to its banking activities—in a country in which it is authorized to conduct banking activities; and
2. (ii) is subject to inspection by the regulatory authority that licensed it to conduct banking activities; and
(b) is not controlled by, or under common control with, a depository institution, credit union or foreign financial institution that maintains a place of business referred to in paragraph (a) in Canada or in a foreign country.

(banque fictive)

Reference:
PCMLTFR, SOR/2002-184, s. 1(1).

Signature

Includes an electronic signature or other information in electronic form that is created or adopted by a client of a person or entity referred to in section 5 of the Act and that is accepted by the person or entity as being unique to that client. (signature)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Signature card

In respect of an account, means a document that is signed by a person who is authorized to give instructions in respect of the account, or electronic data that constitutes the signature of such a person. (fiche-signature)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Source

The issuer or provider of information or documents for verifying identification. (source)

Source of funds or of virtual currency (VC)

The origin of the particular funds or VC used to carry out a specific transaction or to attempt to carry out a transaction. It is how the funds were acquired, not where the funds may have been transferred from. For example, the source of funds could originate from activities or occurrences such as employment income, gifts, the sale of a large asset, criminal activity, etc. (origine des fonds ou de la monnaie virtuelle (MV))

Source of wealth

The origin of a person's total assets that can be reasonably explained, rather than what might be expected. For example, a person's wealth could originate from an accumulation of activities and occurrences such as business undertakings, family estates, previous and current employment income, investments, real estate, inheritance, lottery winnings, etc. (origine de la richesse)

Starting action

With respect to a reportable transaction, information related to the instructions provided by the person or entity making the request to the reporting entity to start a transaction. For example, an individual arrives at a bank and requests to purchase a bank draft. The starting action is the details of the instructions for the purchase which includes the funds or virtual currency that the requesting person or entity brought to the reporting entity. A transaction must have at least one starting action. (action d’amorce)

SWIFT

The Society for Worldwide Interbank Financial Telecommunication. (SWIFT)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Terrorist activity

Has the same meaning as in subsection 83.01(1) of the Criminal Code. (activité terroriste)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 2(1).

Terrorist activity financing offence

An offence under section 83.02, 83.03 or 83.04 of the Criminal Code or an offence under section 83.12 of the Criminal Code arising out of a contravention of section 83.08 of that Act.

A terrorist financing offence is knowingly collecting or giving property (such as money) to carry out terrorist activities. This includes the use and possession of any property to help carry out the terrorist activities. The money earned for terrorist financing can be from legal sources, such as personal donations and profits from a business or charitable organization or from criminal sources, such as the drug trade, the smuggling of weapons and other goods, fraud, kidnapping and extortion. (infraction de financement des activités terroristes)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 2(1).

Third party

Any individual or entity that instructs another individual or entity to act on their behalf for a financial activity or transaction. (tiers)

Threats to the security of Canada

Has the same meaning as in section 2 of the Canadian Security Intelligence Service Act. (menaces envers la sécurité du Canada)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 2(1).

Training program

A written and implemented program outlining the ongoing training for your employees, agents or other individuals authorized to act on your behalf. It should contain information about all your obligations and requirements to be fulfilled under the Proceeds of Crime (Money Laundering) and Terrorist Financing Act and its associated Regulations. (programme de formation)

Trust

A right of property held by one individual or entity (a trustee) for the benefit of another individual or entity (a beneficiary). (fiducie)

Trust company

A company that is referred to in any of paragraphs 5(d) to (e.1) of the Act. (société de fiducie)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Trustee

A trustee is the individual or entity authorized to hold or administer the assets of a trust. (fiduciaire)

Tutor

In the context of civil law, a person who has been lawfully appointed to the care of the person and property of a minor. (tuteur)

Two year effectiveness review

A review, conducted every two years (at a minimum), by an internal or external auditor to test the effectiveness of your policies and procedures, risk assessment, and training program. (examen bisannuel de l'efficacité)

Valid

In respect of a document or information that is used to verify identity, appears legitimate or authentic and does not appear to have been altered or had any information redacted. The information must also be valid according to the issuer, for example if a passport is invalid because of a name change, it is not valid for FINTRAC purposes. (valide)

Verify identity

To refer to certain information or documentation, in accordance with the prescribed methods, to identify a person or entity (client). (vérifier l'identité)

Very large corporation or trust

A corporation or trust that has minimum net assets of $75 million CAD on its last audited balance sheet. The corporation's shares or units have to be traded on a Canadian stock exchange or on a stock exchange designated under subsection 262(1) of the Income Tax Act. The corporation or trust also has to operate in a country that is a member of the Financial Action Task Force (FATF). (personne morale ou fiducie dont l'actif est très important)

Violation

A contravention of the Act or the regulations that is designated as a violation by regulations made under subsection 73.1(1). (violation)

Reference:
PCMLTFA, S.C. 2000, c 17, s. 2(1).

Virtual currency

Means:

(a) a digital representation of value that can be used for payment or investment purposes that is not a fiat currency and that can be readily exchanged for funds or for another virtual currency that can be readily exchanged for funds; or
(b) a private key of a cryptographic system that enables a person or entity to have access to a digital representation of value referred to in paragraph (a).

(monnaie virtuelle)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2) and PCMLTFSTRR, SOR/2001-317, s. 1(2).

Virtual currency exchange transaction

An exchange, at the request of another person or entity, of virtual currency for funds, funds for virtual currency or one virtual currency for another. (opération de change en monnaie virtuelle)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Virtual currency exchange transaction ticket

A record respecting a virtual currency exchange transaction—including an entry in a transaction register—that sets out:

(a) the date of the transaction;
(b) in the case of a transaction of $1,000 or more, the name and address of the person or entity that requests the exchange, the nature of their principal business or their occupation and, in the case of a person, their date of birth;
(c) the type and amount of each type of funds and each of the virtual currencies involved in the payment made and received by the person or entity that requests the exchange;
(d) the method by which the payment is made and received;
(e) the exchange rates used and their source;
(f) the number of every account that is affected by the transaction, the type of account and the name of each account holder;
(g) every reference number that is connected to the transaction and has a function equivalent to that of an account number; and
(h) every transaction identifier, including the sending and receiving addresses.

(fiche d'opération de change en monnaie virtuelle)

Reference:
PCMLTFR, SOR/2002-184, s. 1(2).

Working days

In respect of an electronic funds transfer (EFT) report or a large virtual currency transaction report, a working day is a day between and including Monday to Friday. It excludes Saturday, Sunday, and a public holiday. (jour ouvrable)

Date Modified:: 2022-04-27

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Record keeping requirements for casinos

Overview

Related guidance

Who is this guidance for

In this guidance

1. What records must I keep and what must they contain?

a. Reports — a copy of every report sent to FINTRAC

Suspicious Transaction Reports

Terrorist Property Reports

Large Cash Transaction Reports

Large Virtual Currency Transaction Reports

Casino Disbursement Reports

Electronic Funds Transfer Reports

b. Large cash transaction records

c. Large virtual currency transaction records

d. Records of electronic funds transfers of $1,000 or more

Initiating an EFT of $1,000 or more

Sending an international EFT of $1,000 or more

Final receipt of an international EFT of $1,000 or more

e. Receipt of funds record of $3,000 or more

f. Foreign currency exchange transaction tickets

g. Records of credit extension of $3,000 or more

h. Account records

Records for account holders and persons authorized to give instructions

Signature cards

Intended use of an account

Applications

Account operating agreements

Deposit slips

Debit and credit memos

2. What are my responsibilities when maintaining records?

3. What are the exceptions to the record keeping requirements?

EFTs conducted by credit/debit card

Financial entities, public bodies, and very large corporations or trusts

Virtual currency

Details and history

For assistance

Definitions