FINTRAC imposes an administrative monetary penalty on Spence Diamonds Ltd.

News release

September 23, 2025 — Ottawa

FINTRAC announced today that it has imposed an administrative monetary penalty on Spence Diamonds Ltd., also operating as Spence Diamonds. Following a compliance examination, this dealer in precious metals and precious stones with locations in Vancouver, Langley, Calgary, Edmonton, Mississauga, Vaughan, Scarborough and Ottawa, was imposed an administrative monetary penalty of $264,000 on May 8, 2025, for non-compliance with Part 1 of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act and associated Regulations.

Spence Diamonds 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 develop and apply written compliance policies and procedures that are kept up to date and, in the case of an entity, are approved by a senior officer.
• Failure to assess and document the risk of a money laundering or terrorist financing offence, taking into consideration prescribed factors.
• Failure of a person or entity that has employees, agents or mandataries or other persons authorized to act on their behalf to develop and maintain a written ongoing compliance training program for those employees, agents or mandataries or persons.
• Failure to institute and document the prescribed review.

Spence Diamonds will pay the administrative monetary penalty in full and proceedings have ended.

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 2024–25, FINTRAC issued 23 Notices of Violation of non-compliance to businesses, the largest number in one year in the Centre’s history, for a total of more than $25 million.
• FINTRAC has imposed more than 150 penalties across most business sectors since it received the legislative authority to do so in 2008.

Related products

• Public notice of administrative monetary penalties
• Change to public notices for administrative monetary penalties
• Administrative monetary penalties policy

Contacts

Media Relations
Financial Transactions and Reports Analysis Centre of Canada
613-716-9983
media.medias@fintrac-canafe.gc.ca

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