The Financial Intelligence Unit (FIU) of the Central Bank of Sri Lanka has imposed financial penalties on three institutions for non-compliance with the provision of the Financial Transactions Reporting Act, No. 06 of 2006 (FTRA), according to a statement issued by the bank yesterday (11).
Accordingly, as the regulator for Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) in the country, the FIU imposed penalties amounting to Rs. 2.3 million in total for the period from 1 June to 31 December 2020 to enforce compliance on financial institutions.
The three institutions that had been penalised were Richard Pieris Finance Ltd., Softlogic Finance (Pvt.) Ltd., and Siyapatha Finance PLC and the penalties were Rs. 0.3 million, Rs. 1 million, and Rs. 1 million, respectively.
“The penalty may be prescribed taking into consideration the nature and the gravity of the relevant non-compliance of the financial institution or the designated non-finance business,” the Central Bank noted.
According to FIU, the Monetary Board of the Central Bank of Sri Lanka decided to publish the penalties imposed on the financial institutions by the FIU in order to improve the AML/CFT compliance level in the country. Penalties were imposed mainly on the violations of the Financial Institutions (Customer Due Diligence) Rules, No. 1 of 2016 in relation to sanctions screening.
Financial Intelligence Unit penalties: Three institutions penalised Rs. 2.3 m in 2H 2020
12 Jan 2021
Financial Intelligence Unit penalties: Three institutions penalised Rs. 2.3 m in 2H 2020
12 Jan 2021