It fined it $3 million over failures to comply with anti-money laundering regulatory requirements when processing third party fund transfers.
The SFC considers that Rifa’s conduct was in breach of its obligation to take all reasonable measures to ensure that proper safeguards exist to guard against the risks of money laundering and terrorist financing associated with third party fund transfers.
This is including making appropriate enquiries to ensure third party fund transfers are consistent with the customers’ known legitimate activities, maintaining records of such enquiries, and effective implementation of internal policies for the prevention of money laundering and terrorist financing and communication of such policies to staff members.
The SFC further found that Rifa breached the Securities and Futures (Client Money) Rules on one occasion by effecting a payment from a client’s account to the account of one of its responsible officers. ■
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