On February 22, 2022, the World Bank Group (WBG) Sanctions Board issued its decision no. 136, imposing a two-year debarment on a managing director for corrupt and fraudulent practices. The decision is significant for three reasons: (1) it was rendered more than 11 years after the offending conduct occurred; (2) the Sanctions Board
“Suivez le chef de file en matière de lutte contre le blanchiment d’argent” – Le registre canadien de la propriété effective dans un contexte mondial
Le lancement du nouveau registre canadien de la propriété effective est prévu pour 2023, mais les détails à son sujet demeurent vagues. Pour se préparer à ces changements, les sociétés peuvent déjà jeter un coup d’œil au mode de fonctionnement de registres similaires d’autres territoires.
La faiblesse relative du régime canadien de lutte contre le
“Follow the (AML) Leader” – Canada’s Beneficial Ownership Registry in Global Context, Part 2
Canada’s new beneficial ownership registry is slated to arrive in 2023 but the details remain uncertain. One way for corporations to prepare for these changes is by looking at how similar registries operate in other jurisdictions.
Canada has been criticized for having a relatively weak AML regime. Experts indicate that casinos, real estate, and shell
“Follow the (AML) Leader” – Canada Fast-Tracks its Beneficial Ownership Registry, Part 1
The Canadian federal government is bolstering Canada’s anti money laundering (AML) regime by bringing forward plans to introduce a beneficial ownership registry in 2023.
A beneficial ownership registry would require corporations to register and verify the identity of companies’ beneficial owners, making it more difficult to use shell companies to conceal criminal activity.
The need
Global AML watchdog issues virtual assets red flag indicators
The Financial Action Task Force (FATF), a global intergovernmental organization that sets standards and policies for anti-money laundering and counter-terrorist financing (AML/CFT) recently issued a report on Virtual Assets Red Flag Indicators of Money Laundering and Terrorist Financing (the Report). According to the FATF, a virtual asset is a digital representation of value that can
Data Breaches and Anti-Money Laundering Consequences – An Overview
When an entity (Affected Entity) experiences a data breach incident (Breach Incident), it is instantly faced with a number of issues that it must address with urgency. Among such, an Affected Entity must manage crucial regulatory compliance obligations that may be triggered by the Breach Incident. The most obvious of these obligations arise under the
OSFI rules on Limited Recourse Capital Notes
The Office of the Superintendent of Financial Institutions (OSFI) has recently issued a ruling regarding the regulatory treatment of Limited Recourse Capital Notes (LRCNs) which are currently being adopted as new financial instruments by Canadian banks. An LRCN is a subordinated note issued by a federally regulated financial institution (FRFI) that is secured by preferred
New anti-money laundering rules in Canada – further updates released
The Department of Finance Canada recently released the final amending regulations that amend the existing Regulations Amending Certain Regulations Made Under the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (Regulations). Our previous update on other aspects of the amendments can be found here.
The Regulations attempt to bring Canada’s anti-money
OSFI sets expectations on the use of Pillar II capital buffers for banks during the pandemic
The Office of the Superintendent of Financial Institutions (OSFI) recently addressed a letter to deposit taking institutions (DTIs), including domestic systemically important banks (D-SIBs) and small and medium-sized banks (SMSBs), regarding the use of Pillar II capital buffers during the COVID-19 pandemic. The key takeaways are below:
- Capital expectations framework for DTIs. The current DTIs
OSFI proposes further measures to help resilience amid pandemic
In our earlier post, we discussed the Office of the Superintendent of Financial Institutions’ (OSFI) newly proposed measures intended to support federally regulated financial institutions and improve the stability of the Canadian economy and financial system in the face of challenges posed by the COVID-19 pandemic. OSFI has recently published additional announcements for sector-specific