A collective fine of Rs. 4 million has been imposed on two private sector institutions for non- compliance between January- March 2021.
The fine has been imposed by the Financial Intelligence Unit (FIU) following its regular quarterly review.
The FIU said Kanrich Finance was fined Rs. 1 million on 20 January and Commercial Bank was fined Rs. 3 million on 18 February.
The regulator for Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) in the country said the fines were imposed for the period from 1 January 2021 to 31 March 2021 to enforce compliance on financial institutions.
In 2020, following reviews between June and December 2020, the FIU fined Richard Pieris Finance Ltd. (Rs. 300,000), Softlogic Finance Plc and Siyapatha Finance Plc (Rs. 1 million each).
The Penalties have been imposed mainly on the violations of Financial Institutions (Customer Due Diligence) Rules, No. 1 of 2016 in relation to the United Nations sanctions on screening, customer identification and verification, suspicious transactions reporting and implementation of proper risk controls and mitigation measures. (NewsWire)