This message is intended for credit unions, farm mutuals and Ontario-incorporated insurers.
I am reaching out to remind you of your legal obligations with regards to the fight against money laundering and terrorist financing. I also want to inform you of some important changes you need to be aware of.
Money laundering and terrorist financing are of growing international concern; those committing these crimes have become much more sophisticated in the way they move money. It is up to all of us to work together to stop our financial system from being used to support destructive activities such as terrorist attacks, weapons training and propaganda.
What you need to do
It is your responsibility to be familiar with the Federal Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA). Among other obligations, you must meet the PCMLTFA requirements regarding: record keeping; verification of identity of designated persons; reporting suspicious and other prescribed financial transactions; and establishing and implementing an internal compliance regime.
In addition, under the Criminal Code of Canada, you must continue to submit a report to FSCO on the 15th day of every month, indicating whether you are in possession or control of any property owned or controlled by, or on behalf of, any entity that is named on Canada’s Anti-terrorism Financing list . If you are in possession or control of such property, you must report the number of persons, contracts or accounts involved and the total value of the property.
Changes to the PCMLTFA
- Effective June 17, 2017, you will be subject to new obligations related to politically exposed persons (domestic and foreign), and heads of international organizations. Read the Financial Transactions and Reports Analysis Centre of Canada’s (FINTRAC’s) updated guidelines .
- Effective June 30, 2017, you must use new methods for confirming the identity of clients. Read FINTRAC’s guideline for more information.
FSCO also expects you to visit FINTRAC’s website regularly, in order to stay up-to-date on FINTRAC’s advisories .
For more information
Email FINTRAC at email@example.com.
Chief Executive Officer and Superintendent of Financial Services
June 1, 2017