Public notice of administrative monetary penalties

2016-04-05 ]

Diamond Exchange Toronto Inc., also operating as DiamondExchange.ca, Diamond Exchange Toronto, DiamondExchange CANADA, a dealer in precious metals and stones in Toronto, Ontario, was imposed an administrative monetary penalty of $12,750 on March 9, 2016, for committing three violations related to the following deficiencies:

  • Failure to develop and apply written compliance policies and procedures;
  • Failure to assess and document the risks related to money laundering and terrorist financing; and
  • Failure to develop and maintain a written, ongoing compliance training program.

Nature of Violation

Failure of a person or entity to develop and apply written compliance policies and procedures that are kept up to date and, in the case of an entity, are approved by a senior officer which is contrary to subsection 9.6(1) of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act and paragraph 71(1)(b) of the Proceeds of Crime (Money Laundering) and Terrorist Financing Regulations.

Failure of a person or entity to assess and document the risk referred to in subsection 9.6(2) of the Act, taking into consideration prescribed factors, which is contrary to subsection 9.6(1) of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act and paragraph 71(1)(c) of the Proceeds of Crime (Money Laundering) and Terrorist Financing Regulations.

Failure of a person or entity that has employees, agents or other persons authorized to act on their behalf to develop and maintain a written ongoing compliance training program for those employees, agents or persons which is contrary to subsection 9.6(1) of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act and paragraph 71(1)(d) of the Proceeds of Crime (Money Laundering) and Terrorist Financing Regulations.

Date Modified: