Enforcement Action

Enforcement Action: Warning Letter
Name of Entity: MWM Financial Services Group Limited
Date of Action: 27/10/2016
A warning letter was issued to MWM Financial Services Group Limited for its contravention of the following legislation:

(a) regulation 11 of the Anti-Money Laundering Regulations, 2008 (“AML Regulations”) and section 42(1) of the Anti-Money Laundering and Terrorist Financing Code of Practice, 2008 (“AMLTFC”) by failing to maintain its records in accordance with the Regulatory Code, 2009 (the “Regulatory Code”) and the AMLTFC; 

(b) section 13(2)(d) of the AMLTFC by failing to put a mechanism in place within its internal control system to recognise and report a transaction which raises a suspicion that the money involved may be proceeds of criminal conduct;

(c) section 20 of the AMLTFC by failing to conduct enhanced due diligence of higher risk clients;  

(d) section 47(1)(b) of the AMLTFC by failing to employ a system of testing employees’ awareness and understanding of information received from the training; and

(e) sections 27(1)(a) and 27(2) of the Regulatory Code by failing to:

(i) put business continuity arrangements in place aimed at ensuring that the licensee is able to continue to carry on its regulated business;
(ii) meet its regulatory and AML/CFT obligations; and

(iii) have a business continuity policy and arrangements that are appropriate for the nature, size and complexity, structure of the licensee’s business and the types and degree of risk to which it is exposed.