Administrative monetary penalty imposed on Wealth One Bank of Canada
From: Financial Transactions and Reports Analysis Centre of Canada (FINTRAC)
[2023-03-06]
Wealth One Bank of Canada, a bank in Toronto, Ontario, was imposed an administrative monetary penalty of $676,500 on February 15, 2023, for committing 4 administrative violations. These administrative deficiencies are not related to money laundering or terrorist financing offences and were found during the course of a compliance examination in 2022. The administrative monetary penalty has been paid in full by Wealth One Bank of Canada and the case is closed.
Nature of violation
- Violation #1
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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 – Proceeds of Crime (Money Laundering) and Terrorist Financing Regulations, paragraph 156(1)(b)
Wealth One Bank of Canada’s policies and procedures did not sufficiently cover the requirements related to ministerial directives and ongoing monitoring of business relationships, and record-keeping requirements were not applied in practice consistently. - Violation #2
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Failure to assess and document the risk of a money laundering or terrorist financing offence, taking into consideration prescribed factors – Proceeds of Crime (Money Laundering) and Terrorist Financing Regulations, paragraph 156(1)(c)
Wealth One Bank of Canada’s risk assessment did not fully take into consideration the money laundering or terrorist activity financing risk of its products and delivery channels and geographic locations. - Violation #3
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Failure to institute and document the prescribed review – Proceeds of Crime (Money Laundering) and Terrorist Financing Regulations, paragraph 156(1)(f)
Wealth One Bank of Canada’s prescribed review did not assess the effectiveness of some requirements relating to record-keeping. - Violation #4
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Failure to report suspicious transactions – Proceeds of Crime (Money Laundering) and Terrorist Financing Act, section 7
Wealth One Bank of Canada failed to submit suspicious transaction reports where there were reasonable grounds to suspect that transactions were related to a money laundering offence.
Related link
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