Agenda

Day One: Monday, September 13, 2021

10:10 EDT

50 min

Update on Reporting Obligations – Electronic Fund Transfers (EFTs), and Suspicious Transaction Reports

Jacqueline Shinfield, Blake, Cassels and Graydon, LLP

  • Suspicious transactions reporting
    • Industry and industry subsectors required/ not required to report suspicious transactions to FINTRAC
    • Standard of Care: Steps that can be taken to determine if you have “reasonable grounds to suspect” that a transaction is related to ML or TF
    • Standard of care articulated by FINTRAC / Industry standards of care
    • Sector specific indicators
    • What does reporting “as soon as reasonably practicable mean?
  • EFTs
  • Travel rule
  • Large cash

11:00 EDT

60 min
Derek Ramm

New Anti-Money Laundering Rules, Typologies and Hot Spots: Managing Change To Comply with Canada’s Evolving AML/ATF Regime

Chris Randle, Director, AML/ATF Compliance & Deputy Chief Anti-Money Laundering, Meridian Credit Union

Derek Ramm, Managing Principal, MT>Play

As rules change so too do the various techniques used to launder money or finance terrorism. This session will look at recent changes in the rules and resulting changes in typologies and new and emerging red flags to be aware of.

  • Increased scope to prosecute money laundering under the Criminal Code with the addition of “recklessness” in moving money on someone else’s behalf while being aware that there is a risk of money laundering
  • Mandatory public disclosure of administrative monetary penalties
  • KYC requirements relaxed for non-face-to-face transactions – original documents no longer required just authentic, valid and current copy
  • IROC updated guidance for securities dealers
  • Money laundering indicators for casinos to assist casino businesses in identifying and reporting suspicious transactions that may be related to money laundering activities
  • Need for reporting entities to align compliance programs and processes to meet regulatory expectations
  • Need to update legacy systems

12:00 EDT

45 min

ID Verification and Beneficial Ownership Registries

Gene DiMira, CAMS-Audit, CGSS, Chief Identity Officer, AML Shop

  • Shape and form of registries
  • FINTRAC’s amended position on confirming the accuracy of beneficial ownership information
  • Best practices to ensure the accuracy of the information obtained?
  • Documentary sources
  • Non-profits and trusts
  • Methods to verify the identify of the most senior management officer
  • What if no individual owns or controls 25% or more of a corporation or trust?
  • Requirements to keep beneficial ownership information up to date

12:45 EDT

45 min

Break

13:30 EDT

45 min

New Regulatory Requirements for Money Service Businesses (MSBs) and Virtual Currency Businesses

Charlene Cieslik, Principle, Complifact AML Inc.

  • FINTRAC’s definition of MSBs
    • Foreign MSBs
    • Virtual currency dealers
  • Client identification requirements -authentic, valid and current
  • Reporting requirements
    • Suspicious transactions
    • Large Cash transactions
    • EFTs
  • Record keeping
  • Ongoing monitoring
  • Recent changes
  • Record keeping
  • Exceptions to beneficial ownership determination
  • The BC Land Ownership Transparency Act: the first such registry to be fully compliant with best practices

14:15 EDT

45 min
Derek Ramm

Five Important Steps for Casinos to Consider on the Basis of the New Regulatory Requirements

Derek Ramm, Managing Principal, MT>Play

Massive questionable transactions flowing through B.C. casinos, the doubling of suspicious cash investigations in Ontario casinos and suspected links to international drug cartels in both provinces have led to new regulatory requirements for casinos and the banks doing business with them.

  • What qualifies as a casino under the Act?
  • Overview of key compliance program requirements
  • Provincial requirements issues
  • Reporting requirements
  • Record keeping requirements
  • Assessing penalties and risks of non-compliance

15:00 EDT

15 min

Break

15:15 EDT

60 min
Carinta Mannarelli Mauriceo Castanheiro
Panel Discussion

What Does the Risk Based Approach Mean for Reporting Entities?

Carinta Mannarelli, Global Currency Services

Mauriceo Castanheiro, Product and Industry Expert, Verafin

The Risk-Based Approach (RBA) requires reporting entities to conduct assessments of their exposure to money laundering and terrorism financing risk using a number of prescribed criteria. This session will cover:

  • FiINTRAC’s expectations
  • The new obligations that result from the new regulatory requirements
  • The risk based approach cycle
  • Risk assessment
  • Mitigation
  • Client identification, beneficial ownership, business relationship information in accordance with assessed level of risk
  • Ongoing monitoring of transactions and business relationships

16:45 EDT

End of Day One

Day Two: Tuesday, September 14, 2021

10:10 EDT

50 min

Writing Useful Suspicious Transaction Reports (STRs)

  • From STR to prosecutions – understanding steps and roadblocks along the way
  • Current trends and emerging issues arising from the enforcement of suspicious transactions reports and investigations
  • The 3 things you can get wrong and how to right them
  • Benefit from valuable lessons learned

11:00 EDT

60 min
Amber D. Scott Andres Betancourt

AML Compliance Effectiveness Reviews/Audits for Reporting Entities

Moderator: Amber D. Scott, Founder, CEO and Chief AML Ninja, Outlier Solutions Inc.

Andres Betancourt, Senior Audit Manager, AML//ATF and Sanctions, Scotiabank

Karen Creen, CAMLO, Bank of China, Toronto Branch

Rosalind Laruccia, AVP Internal Audit, Enterprise Risk & Corp. Functions, Formerly AVP and Financial Crimes and Reg. Risk, Laurentian Bank of Canada

  • Completeness and effectiveness of the anti money laundering (AML) and counter terrorist financing (CTF) compliance program
  • Requirements for larger institutions, federally regulated institutions and smaller companies
  • Deciding who should perform the review and what to spend
  • Testing your documented program (policies, procedures, risk assessment and training) – Do they meet the requirements for your business?
  • Testing operations – what was tested and how, including customer identification, recordkeeping and FINTRAC reporting
  • Choosing a reviewer
  • Document changes to your program or operations following review

12:00 EDT

45 min

Break

13:30 EDT

45 min

Impact of Open Banking on AML and TF

Matt McGuire, Co-founder and Practice Leader, AML Shop

  • What changes will open banking create?
  • How will these changes impact our vulnerability to money laundering schemes?
  • Why will it be harder to spot suspicious behavior?
  • What will it take to effectively monitor the increasing number of smaller players
  • What should payment service providers be doing?
  • What should banks be doing?
  • What should regulators be doing?

14:15 EDT

15 min

Break

14:30 EDT

45 min
John Boscariol

Sanctions screenings: Ensuring Better Processes

John Boscariol, Partner, McCarthy Tetrault

  • Interpreting screening obligations
  • Managing ongoing screening obligations
  • Global versus Canadian screening obligations
  • Incorporating sanctions obligations within broader AML obligations
  • Reporting obligations
  • Assessing non-compliance

15:15 EDT

45 min

Banking Marijuana: An AML perspective

Jacqueline Shinfield, Blake, Cassels and Graydon, LLP

  • Need to review or assess whether:
    • The business is properly licensed;
    • Abides by applicable municipal requirements;
    • The transactional activity of the business is consistent with what is expected from other retailers or similar types of businesses; and
    • The types and amounts of transactions conducted are consistent with what is known about the business and the industry
  • Need to assess, document and take steps to mitigate any risks involved
  • Need for enhanced measures to identify the individuals, confirm the existence of entities involved and monitor more frequently
  • The new offense for “recklessness” in the Criminal Code
  • Need to ensure cannabis is from legal sources
  • Need for financing entities to perform due diligence to ensure cannabis is from a legal source
  • Need for relevant re
  • Need for financing entities to obtain representations and warranties to minimize risk and ensure compliance
  • Takeaways for investors and financial institutions

16:45 EDT

End of Day Two