FINTRAC has fined Nova Scotia Gaming Corporation $231,826 after a compliance examination found the Crown corporation failed to file suspicious transaction reports and did not keep its anti-money-laundering paperwork up to date.
The penalty was imposed on 23 July and announced on 3 September. FINTRAC said the case involved non-compliance with Part 1 of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act and its regulations. The corporation, based in Halifax, paid the amount in full and the matter was closed.
CBC reported that the regulator found three compliance failures: missing suspicious transaction reports when there were reasonable grounds to suspect money laundering or terrorist financing, a failure to maintain current written compliance policies, and a failure to document money-laundering or terrorist-financing risk. The reporting said the fines were administrative and tied to Atlantic Lottery Corporation’s online casino operations.
The corporation’s spokesperson said there were two cases where reports were not sent to FINTRAC, involving transactions of $750 and $465. Rachel Boomer said the company investigated immediately, banned and suspended the players, and changed its policies to address the regulator’s concerns.
In its release, FINTRAC said Canada’s anti-money-laundering and anti-terrorist-financing regime is meant to protect Canadians, businesses and the financial system, and to ensure the agency receives reporting that can support law enforcement and national security investigations.
