Tag: Compliance

New AUSTRAC Compliance Report format for 2018

AUSTRAC has released a new format for reporting entities to submit their annual compliance report (Compliance Report).  This new compliance reporting format comes as a result of AUSTRAC’s reforms to their previous Compliance Report requirements which were suspended for the 2017 reporting period, and is designed so that reporting entities are required to provide more … Continue Reading

Ontario consults on rewards points expiry regulations

The Government of Ontario has released a public consultation regarding regulations related to the new prohibition on expiry of rewards points issued to consumers. The consultation document, which is available here, includes commentary from the Government and proposed regulatory text. Comments are due by April 28, 2017. Background On December 8, 2016, the Government passed … Continue Reading

Greater outsourcing in German life insurance sector predicted following expected change to Criminal Code

The adoption of a draft law amending criminal law provisions protecting insurance related information will finally enable life insurers to make wider use of outsourcing by removing disclosure to service providers from the scope of Sec. 203 German Criminal Code (StGB) under certain conditions. In spite of some uncertainties, this is a major breakthrough and … Continue Reading

Canadian anti-money laundering regulations updated

On June 29, 2016, the federal Government published the final version of the long-awaited regulations (Amending Regulations) to amend various regulations (Regulations) under the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA). The Amending Regulations came into force on June 30, 2016, however, there is an almost one year delay for the provisions … Continue Reading

New FinTRAC Guidance – ID Verification

Since July 2015, when draft amendments to the Proceeds of Crime (Money Laundering) and Terrorist Financing Regulations (Draft Regulations) were published in the Canada Gazette, the industry has been expecting changes to aspects of the current AML/TF regime, particularly with respect to customer identification. After a lengthy delay, caused at least in part by the … Continue Reading

FINRA reminds broker-dealers of requirements for participating in contingency offerings

In a recent regulatory notice, FINRA Notice 16-08, FINRA noted that its review of securities offering documents has revealed instances in which broker-dealers have not been complying with the contingency offering requirements of Rules 10b-9 and 15c2-4 under the Securities Exchange Act of 1934.  The most common type of contingency offerings are referred to as … Continue Reading

ASIC raises concerns over adequacy of Professional Indemnity (PI) insurance for AFS licensees

ASIC to increase surveillance to monitor compliance with PI insurance requirements AFS licensees should check their PI policy to determine whether cover is adequate Insurers should review their PI offerings to ensure cover is compliant with RG 126 Following an eight month review, ASIC has released its findings on the PI insurance market and areas … Continue Reading

SEC Adopts Regulation Crowdfunding

  The SEC recently adopted rules that allow companies to offer and sell securities through crowdfunding.  The Jumpstart Our Business Startups Act (the “JOBS Act”), enacted in 2012, established a regulatory framework for startups and small businesses to raise capital through securities offerings using crowdfunding. The SEC’s rules that implement this framework, referred to as … Continue Reading

CFTC issues new position limits proposal to make it easier for majority-owned affiliates (greater than 50% to 100% ownership) to disaggregate futures and swaps positions

On September 22, 2015, the CFTC issued a “supplemental” proposed rulemaking (the “2015 Proposal”) to revise its long-pending proposal on aggregation for position limit purposes published in November 2013 (the “2013 Proposal”). The 2015 Proposal, if finalized, would provide companies with over 50% ownership or equity interest in affiliated entities with an easier mechanism to … Continue Reading

ASIC turns up heat on AFSL breach reporting

ASIC has reminded AFS licensees of their obligation to report significant breaches to ASIC promptly and of the need to ensure that internal risk management systems are sufficiently robust to identify, assess and escalate breaches and report significant breaches to the regulator. In an open letter to the Institute of Internal Auditors Australia, and a … Continue Reading

ASIC releases six-monthly enforcement report: 256 enforcement outcomes and plenty more in the pipeline

ASIC, which is Australia’s corporate, markets and financial services regulator, has over the last six months achieved a bumper 256 enforcement outcomes designed to protect consumers and enhance the fairness and efficiency of the financial markets.  These enforcement outcomes included criminal, civil and administrative actions in addition to negotiated outcomes such as enforceable undertakings. While … Continue Reading

Inadequate professional indemnity insurance endangers AFS licences

Is your professional indemnity insurance adequate? If not, you may be jeopardising your Australian Financial Services Licence (AFSL) and in turn your entire business. ASIC recently cancelled a number of AFSLs due to inadequate professional indemnity arrangements. This is despite changes to the law that have been with us for more than a decade. Since … Continue Reading

Whistleblowers, fraud and corruption: What’s on the horizon?

Incentivising whisteblowers could be an easy first step for the Australian Government if it were to heed the call by the recent Senate Economics References Committee for a more pro-active approach to fraud.  Currently, Australia has no incentivised whistleblower programs. The prospect of a reward for whistleblowers would see a sharp rise in the number … Continue Reading
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