(CMR) The Cayman Islands Monetary Authority has imposed discretionary administrative fines totaling CI$261,990.72 on Lion Brokers Limited for breaches of the Anti-Money Laundering Regulations.
The Authority said the administrative fines were imposed for the Company's failure to comply with the legislative requirements of the AMLRs, including the following:
(1) The application of Enhanced Customer Due Diligence measures;
(2) Failing to conduct adequate risk assessments; and
(3) Failing to conduct and document all appropriate sanctions checks.
According to the Authority, these findings resulted from an on-site inspection, and similar failings were also identified during a previous inspection.
The Authority said this case highlights the importance of licensees having in place effective anti-money laundering/countering the financing of terrorism/proliferation financing (“AML/CFT/PF”) policies and procedures that are appropriate, effective, and fully implemented to ensure compliance with the jurisdiction's AML/CFT/PF and regulatory frameworks. This will also result in businesses avoiding the risk of being used as a conduit for money laundering, terrorist financing, and any other financial crime.
The Authority states that it is committed to enhancing the Cayman Islands' AML/CFT/PF regime and through its
on-site, off-site, and other monitoring processes it will continue to exercise vigilance in that regard.
“We will also continue to treat breaches of the jurisdiction's AMLRs or regulatory acts with seriousness and take the appropriate enforcement or other actions where necessary,” The Authority said.