Monthly Archives: April 2018

FINTRAC C$6mn Fraud Scheme

On 27 April, FINTRAC and RCMP charges for AML securities scam. Ronald Abrams of Toronto ran a C$6mn scam based on securities and options. RCMP was alerted to elaborate scheme using aliases and forged sales receipts. Alleged Violations One hundred Canadian victims lost thousands of dollars to fake futures trade. The defendant lured the victims…
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MAS Manager Accountability

On Apr. 26, MAS proposed rule on senior manager accountability. Guidelines would be applicable to senior managers, within financial institutions. Objective to strengthen individual accountability and raise standard of conduct. Supervisory Expectations Expectations of boards, senior management re individual conduct and behavior. Institution responsible to promote individual accountability of senior managers. Responsibilities to strengthen oversight of…
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NASAA Fiduciary Rule Progress

On Apr. 24, NASAA reported progress to meet DOL fiduciary rule. NASAA report confirmed industry progress to comply with DOL fiduciary rule. In the multi-billion-dollar individual retirement account (IRA) rollover market. Main Findings Demonstrates that broker-dealers were making progress in revising policies, and procedures to inform investors in retirement plan for DOL fiduciary rule. Rule would have…
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SFC Fines CN Capital Management Limited for Regulatory Breaches

On 24 Apr. SFC reprimanded and fined CN Capital Management Ltd $1.2million over regulatory breaches. The Securities and Futures Commission (SFC) has reprimanded CN Capital Management Limited (CN Capital) and fined it $1,000,000 for failing to maintain an effective compliance function and satisfactory internal controls concerning employee account dealing. The SFC has also reprimanded its…
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CFPB, OCC Wells Fargo $1bn Fine

On Apr. 20, CFPB, OCC fined Wells Fargo $1bn for unsafe lending. The bank charged certain borrowers for mortgage interest rate-lock extensions. Use of unsafe and unsound practices on collateral protection insurance policies. Both regulators highlighted collaborative approach is now being taken by CFPB. Enforcement $1bn fine for breach of auto-loan administration, and mortgage practices rules.…
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MAS Adviser Representatives

On Apr. 11, MAS amended requirement of adviser representatives. Follows MAS Dec. 2016 amendments to its examination requirements. 2018 Amendments Amendments to notice FAA-N13 on Minimum Entry and Examination Requirements for Representatives of Licensed Financial Advisers and Exempt Financial Advisers. Minimum CPD Hours Includes amendments to core, and supplementary, CPD hours in Table A, page 15.…
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