Thursday , March 4 2021

Electronic money institution «Transact Pro» fines for insufficient monitoring of «dirty money» laundering / Article / LSM.LV



The Financial and Capital Market Commission (FCMC) has entered into an administrative agreement with Transmax Pro, with a fine of EUR 71,150, defining the legal obligations for improving the internal control system and warning the member of the board, Mark Moskvinam, to the FCMC.

The fine and the alert are appropriate because in the Transact Pro inspection, the FCMC found that the financial institution had not set up an internal control system in place of its operational risk in the area of ​​money laundering and terrorist financing that would ensure the effective operation of the internal control system in accordance with the Criminal Offense the Law on the Prevention of Money Laundering and Terrorist Financing, thus permitting violations of this Law and its subordinate regulatory enactments.

When making a decision on the conclusion of an administrative contract and the amount of the fine, the FCMC noted that Transact Pro has cooperated with the FCMC in the administrative case, including voluntarily committed to eliminating the identified violations and started work on the implementation of measures aimed at eliminating deficiencies.

In the administrative agreement, the FCMC and Transact Pro have agreed on further measures that the company undertakes to fully comply with the deadlines in order to eliminate the irregularities detected in the inspection, improve the internal control system and strengthen the efficiency of its operation.


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