Although Canadian financial institutions have collectively invested millions of dollars to shield themselves from bad actors, little evidence exists that their efforts are paying off, according to Milos Barutciski, a board member of Transparency International Canada.
Lax enforcement of Canada's anti-money laundering laws and regulations have helped make British Columbian property an attractive investment for criminals, according to Kenneth Marsh, a former investigator of organized crime for the Royal Canadian Mounted Police.
Canada's top financial intelligence agency intends to work more closely with its counterparts abroad and investigators at home to identify money launderers, according to Gérald Cossette, the group's new director.
Canadian compliance officers at banks and non-bank institutions are bracing themselves for broad changes to their anti-money laundering obligations ahead of the country's next evaluation by an international watchdog group.
The findings of a pending report by Canadian lawmakers will likely spur reforms of the nation's financial intelligence unit and new anti-money laundering rules for non-financial institutions, say sources.
Financial institutions in Canada will be required to strengthen their due diligence controls and report all cross-border transactions, under draft rules proposed by the country's Department of Finance Wednesday.
The United States and Canada will soon begin sharing more data on seized currency in an effort to crackdown on terrorist financing and other crimes, the Department of Homeland Security said Tuesday.
Canada took its first step last month into fining financial institutions for anti-money laundering troubles, penalizing two money services business and prompting at least one of the companies to close.
A Canadian national laundered nearly $380 million and illegally processed payouts from online gambling companies to their U.S.-based customers, according to a federal indictment released Thursday. The indictment seeks more than half-billion dollars in forfeitures.
In the world of financial compliance, Canada "talks a good game" but does little to enforce counter-terrorism financing and anti-money laundering regulations, according to Chris Mathers, a Toronto-based consultant.
Canada's financial intelligence unit, which has been criticized for failing to effectively enforce the nation's anti-money laundering laws, is being new granted powers to levy money penalties against offending institutions.
Canadian authorities charged a Sri Lankan-born man with raising funds for a terrorist organization, marking the first time Canada has charged an individual with the crime.
The Canadian government has published final rules extending the country's anti-money laundering and anti-terrorist financing laws to certain notaries, jewelers and the legal profession. The new rules also outline penalty guidelines for money laundering violations.
The Canadian Department of Finance said the changes are designed to bring the countrys AML regime in line with the international standards set forth by the Financial Action Task Force.