A Saskatchewan-based credit union has been sanctioned by the federal anti-money laundering agency for a handful of compliance violations.
On Thursday, the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) said it imposed a monetary penalty of $214,500 on Synergy Credit Union, following a compliance review that uncovered several breaches of the anti-money laundering rules.
According to the regulator’s notice, the most serious violation involved a couple of instances when the firm failed to a report multiple transactions when there were “reasonable grounds to suspect” that they potentially involved money laundering or other illicit financial activity.
The other violations included the firm’s “incomplete” process for assessing money laundering risks, failing to apply special scrutiny to the activities of certain high-risk clients, and having inadequate compliance policies and procedures.
The penalty imposed in the case has been paid, and the case is closed, FINTRAC said.