A currency exchange in Richmond, British Columbia has been hit with a hefty fine of $315,000 by the federal anti-money laundering agency. The Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) found that the business, named Silver International, had violated multiple regulations related to money laundering and terrorist financing.
According to FINTRAC, Silver International failed to properly identify its clients, keep records of transactions, and report suspicious activities. These violations were discovered during a routine examination of the business in 2019. As a result, FINTRAC imposed the maximum penalty of $315,000, which is the largest fine ever issued by the agency.
The investigation into Silver International began in 2017, when the RCMP raided the business and seized millions of dollars in cash. The business was suspected of being involved in a money laundering scheme that involved drug trafficking and underground banking. The owner of Silver International, Caixuan Qin, was arrested and charged with money laundering and running an illegal money services business.
In addition to the fine, FINTRAC has also ordered Silver International to cease its operations and revoke its registration as a money services business. This means that the business is no longer allowed to provide currency exchange services in Canada.
The federal government has been cracking down on money laundering in recent years, particularly in the real estate and casino industries. The province of British Columbia has been a hot spot for money laundering, with an estimated $7.4 billion laundered through the province in 2018 alone.
The fine imposed on Silver International serves as a warning to other businesses that may be involved in illegal activities. FINTRAC has stated that it will continue to monitor and investigate businesses that are suspected of money laundering and will not hesitate to impose penalties when necessary.
In response to the fine, Silver International has stated that it will be appealing the decision and is committed to complying with all regulations in the future. The business has also implemented new measures to prevent money laundering, including enhanced training for employees and improved record-keeping procedures.
The federal government and FINTRAC are determined to combat money laundering and protect the integrity of Canada’s financial system. This latest fine sends a strong message that illegal activities will not be tolerated and that businesses must adhere to strict regulations to prevent money laundering and terrorist financing.
