FINTRAC Advisory Concerning Financial Transactions Related to High-Risk Countries Identified by FATF
On July 17, 2023, the Financial Transactions and Reports Analysis Centre (FINTRAC) issued an advisory (the “Advisory”) concerning financial transactions related to countries identified by the Financial Action Task Force (FATF) as high-risk jurisdictions and under increased monitoring.
Background
The Advisory follows two statements recently issued by the FATF:
- a statement on high-risk jurisdictions subject to a call for action, which identifies jurisdictions for which the FATF has called on countries to apply countermeasures or enhanced due diligence given significant strategic deficiencies noted in those jurisdictions’ regimes to counter money laundering, terrorist financings, and financing of proliferation; and
- a statement on jurisdictions under increased monitoring, which identifies jurisdictions that have developed an action plan with the FATF to address deficiencies in their anti-money laundering and counter-terrorist financing (AML/CFT) strategies.
The Advisory also references earlier statements issued by the FATF in respect of various matters concerning high-risk jurisdictions.
Takeaway from the Advisory
The Advisory focuses on key aspects of various FATF statements and notes FINTRAC expectations. FINTRAC issued a similar advisory on March 20, 2023. See our March 22 Update. The July 2023 Advisory refers to the following notable change:
- Cameroon, Croatia, and Vietnam are now subject to the FATF’s increased monitoring process and appear on the ‘grey list.’
For further information concerning the matters referenced in the Advisory and what they might mean from a compliance perspective, please contact any member of our Financial Services Regulatory Group.
The author would like to thank Gurratan Gill, Summer Law Student, for his assistance in writing this Update.
Expertise
Authors
Insights
-
Financial Services Regulatory
FINTRAC Issues Guidance on Reporting Financial Transactions Related to Sanctions Evasion
Effective August 19, 2024, businesses subject to the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA) must report transactions suspected to be related to sanctions evasion to… -
Financial Services Regulatory
OSFI Releases Annual Risk Outlook – Fiscal Year 2024-2025
On May 22, 2024, the Office of the Superintendent of Financial Institutions (OSFI) released its Annual Risk Outlook – Fiscal Year 2024 - 2025 (the “ARO”), which summarizes the current risk environment… -
Financial Services Regulatory
FINTRAC Advisory Concerning Financial Transactions Related to High-Risk Countries Identified by FATF
On April 29, 2024, the Financial Transactions and Reports Analysis Centre (FINTRAC) issued an updated advisory (the “Advisory”) concerning financial transactions related to countries… -
Financial Services Regulatory
Canadian Securities Administrators Extend Compliance Deadline in Interim Approach to Value-Referenced Crypto Assets
On April 17, 2024, the Canadian Securities Administrators (CSA) provided an update to their interim approach in respect of “Value-Referenced Crypto Assets” (VRCAs), as set out in the CSA’s guidance in… -
Financial Services Regulatory
Obligations and Opportunity - Budget 2024’s Impact on the Blockchain Industry
As crypto-assets become subject to further regulation both domestically and globally, industry players find themselves presented not only with new obligations but also with new opportunities. Canada’s… -
Financial Services Regulatory
Budget 2024 Announces Additional Measures to Combat Financial Crime
In Budget 2024, the Government of Canada announced its intentions to amend the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA), the Criminal Code, the Income Tax Act, and…
Featured Work
-
Mergers and Acquisitions
Amp Energy’s Innovative $350 Million Cross-Jurisdictional Credit Facility
Goodmans LLP acted for Amp Solar Group in connection with Amp Energy’s innovative $350 million cross-jurisdictional credit facility with a consortium of leading institutional investors including…
News & Events
-
- 06:30 PM Financial Services Regulatory
Francesca Guolo at Joint Staff Notice 23-329 on Short Selling in Canada
On the 8th of December 2022, The Canadian Securities Administrators (CSA) and the Investment Industry Regulatory Organization of Canada (IIROC) published a Joint Staff Notice 23-329 on Short Selling…