AMLCA Quiz 16

In the Proceeds of Crime (Money Laundering) and Terrorist Financing Act, the maximum fine of CDN$2 million and a maximum jail term of 5 years should be imposed to a person who is a failure to report a suspicious transaction and a maximum fine of CDN$1 million should be imposed for failure to report a prescribed transaction.

The Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) is Canada’s financial intelligence unit that is a Canadian government’s independent agency that operates at arm’s length from Canadian law enforcement agencies. FINTRAC collects information from financial entities, financial intelligence units of other countries, law enforcement agencies and government institutions and agencies.

The Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) is Canada’s financial intelligence unit that is a Canadian government’s independent agency that operates at arm’s length from Canadian law enforcement agencies. FINTRAC collects information from financial entities, financial intelligence units of other countries, law enforcement agencies and government institutions and agencies.

The Department of Finance is responsible for leading and coordinating Canada’s anti-terrorist financing and anti-money laundering initiatives including heading the Canadian delegation to the Financial Action Task Force (FATF).

The RCMP’s Integrated Proceeds of Crime Unit (IPOC) receives and acts on information prepared by Financial Transactions and Reports Analysis Centre of Canada (FINTRAC). The purpose of IPOC is to effectively investigate and prosecute criminals and major organized crime groups operating in Canada.

The Canadian Security Intelligence Service (CSIS) plays a leading role in reporting and investigating threats to Canada’s national security including terrorist threats. CSIS receives and acts on information prepared by Financial Transactions and Reports Analysis Centre of Canada (FINTRAC).

The Attorney General seeks court orders for disclosure of additional information from Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) to the Royal Canadian Mounted Police (RCMP) and Canadian Security Intelligence Service (CSIS) where warranted.

Punishment of 5 to 12 years of prison and 100 to 200 days fine will be awarded to a person under Act 41, Article 3 of 2000 by laws and regulations of Panama who deposits, receipt, negotiation, conversion or transfer of capitals originating in money laundering crimes.

Punishment of 5 to 12 years of prison and 100 to 200 days fine will be awarded to a person under Act 41, Article 3 of 2000 by laws and regulations of Panama who conceals the origin of asses obtained from drug crimes.

Punishment of 5 to 12 years of prison and 100 to 200 days fine will be awarded to a person under Act 41, Article 3 of 2000 by laws and regulations of Panama who is carrying on money laundering.

Punishment of 5 to 12 years of prison and 100 to 200 days fine will be awarded to a person under Act 41, Article 3 of 2000 by laws and regulations of Panama who is providing false information for transactions with the money of drug crimes and other money laundering crimes.

Punishment of 3 to 8 years of prison will be awarded to a person under Act 41, Article 3 of 2000 by laws and regulations of Panama who is facilitating money laundering using a function, employment or profession.

Punishment of 5 to 10 years of prison and disablement will be awarded to a person under Act 41, Article 3 of 2000 by laws and regulations of Panama who is using money obtained from money laundering to finance political campaigns.

Fine of US$5,000 to US1,000,000 to the bank will be awarded to a person under Act 41, Article 3 of 2000 by laws and regulations of Panama who is a failure to comply with the provision of the law and regulations.

In case of money laundering in Argentina, the Criminal Code penalties range from two to ten years of imprisonment and fines worth of two to ten times the value of the assets laundered. The minimum imprisonment is increased to five years if the perpetrator performs money laundering activities regularly.

The punishment from three to ten years of imprisonment and a fine will be applicable to a person who exchanges, negotiates, hides or conceals the proceeds of crimes defined by the Money Laundering Act (MLA) in Brazil.

The following punishments will be awarded to a person who is convicted during any criminal proceedings that may be initiated by the Public Prosecution authorities for a breach of the regulations under the Money Laundering Act (MLA) in Brazil:-

(a) Punishment of warning.
(b) Punishment of a fine up to R$200,000 (two hundred thousand reais).
(c) Punishment of a ban from holding a managerial position for up to 10 years.
(d) Punishment of the cancellation of an entity’s authorization to operate.

Under the Anti-Money Laundering Act, the followings are known as financial institutions, Bahamas:-

(a) A bank or trust company licensed under the Banks and Trust Companies Regulation Act, 2000 is known as a financial institution.
(b) A company carrying a life assurance business as defined in section 2 of the Insurance Act is known as a financial institution.
(c) A licensed casino is known as a financial institution.

Under the Anti-Money Laundering Act in the Bahamas, the followings are known as non-banking sectors:-

(a) A co-operative society registered under the Co-operative Societies Act as non-banking sectors.
(b) A friendly society enrolled under the Friendly Societies Act as non-banking sectors.

The Central Bank of the Bahamas regulates the Licensees, namely banks and trust companies (‘traditional’ financial institutions).

The Securities Commission of the Bahamas has powers to regulate the securities market in the Bahamas by virtue of The Securities Industry Act, 1999.

The Gaming Board is responsible for licensing and regulating the casinos that are financial institutions for the purposes of AML/CFT Supervision in the Bahamas.

The Financial Intelligence Unit Act, 2000 establishes the Financial Intelligence Unit (FIU) of the Bahamas and it is a member of the Egmont Group.

The Financial Intelligence Unite (FIU) may order in writing any person to refrain from completing any transaction up to a maximum period of 72 hours in the Bahamas.

The Financial Intelligence Unite (FIU) may Freeze a person’s bank account for a maximum period of five days upon receipt of a request from a foreign FIU or law enforcement authority including the Commissioner of Police of the Bahamas.

The Financial Intelligence Unite (FIU) may retain a record of all information that it receives for a minimum of five years in the Bahamas.

The Proceeds of Criminal Conduct Law 1996 (PCCL) of the Cayman Islands can be divided into the following four parts:-

(a) Court powers to freeze and confiscate certain property relating to domestic crimes, i.e. those committed in the Cayman Islands.
(b) Money laundering offenses committed in the Cayman Islands.
(c) International cooperation by the enforcement of certain foreign criminal compensation orders.
(d) Supplementary powers of search and seizure, the establishment and empowerment of the Cayman Islands Financial Reporting Authority (the ‘Reporting Authority’), and access to information in the investigation of crime.

There are four categories of offenses relating to the money laundering that have been introduced by the Proceeds of Criminal Conduct Law 1996 (PCCL) of Cayman Islands:-

(a) Providing help to another in an arrangement that helps them to retain or control the benefits of their criminal conduct. Assistance in an arrangement is not defined and is very broad in scope. In practice, it will include almost all services given by financial service providers.
(b) The acquisition, possession or use of property knowing that it represents the proceeds of criminal conduct.
(c) Concealing, transferring or removing from the Cayman Islands proceeds of criminal conduct to assist another to avoid prosecution or a confiscation.
(d) Disclosing information to the target of an investigation or proposed investigation into money laundering or a third party of anything that is likely to prejudice the investigation.

According to the Proceeds of Criminal Conduct Law 1996 (PCCL) of Cayman Islands, insurance exceptions are assigned for if there is a premium for insurance business is payable in a lump sum that is not exceeding CI$2,000 and where periodic premiums for insurance business are payable not exceeding CI$800 in aggregate in a calendar year.

Punishment of fine BDS$200,000 or 5 years imprisonment will be given to a person on conviction on indictment who is a failure to report that a person receives more than BDS$10,000 (or foreign equivalent) from outside of Barbados without exchange control permission under section 8A (6) of Money Laundering and Financing of Terrorism (Prevention and Control) Act, 2001 (MLFTA).