Financial entities in Canada are considered to be:
- All banks, any foreign banks, and full service and lending foreign bank branches all located in Canada. These entities are established under the Canada’s Bank Act and are regulated by the Office of the Superintendent of Financial Institutions (OSFI).
- Financial services cooperatives, savings and credit unions, and caisses populaires which are regulated by a Provincial Act. This also includes credit union centrals when they provide any services to anyone other than a member of the institution.
- Trust companies and loan companies that are regulated under the Federal Trust and Loan Companies Act, as well as the Provincial Act (which is equal to the Trust and Loan Companies Act).
- Departments, agents, and mandataries of the Crown that accept any deposit liabilities when providing financial services to the public. Deposit liabilities are defined as amounts that are left with the agent or mandatary of the Crown, and that the agent/mandatary owes those amounts to the person or entity that gave them the funds.
All the financial entities labeled above are responsible for providing the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC) with certain transaction reports, implementing a compliance program, and for keeping records that might be required for any law enforcement investigations.
Obligations under the PCMLTFA
- Have a comprehensive and effective compliance program in effect
- Be thorough and know your client before engaging in any sort of business with them
- Report any suspicious transactions, terrorist properties, large cash transactions, alternative to large cash transactions, electronic fund transfer
- Record keeping
- Correspondent banking relationships
- Foreign branches, subsidiaries affiliates
Services offered are:
- AML/CTF Compliance Audit review
- Forensic and Fraud Investigations of financial transactions
- Business operations and documentation
- Independent Credit
- AML/KYC Loan review