HMRC issues record £23.8m fine for money laundering breaches!
The largest fine ever issued by HMRC to MT Global Limited, a money transfer service for serious breaches in money laundering regulations.
Companies are measured on:
• risk assessments and associated record-keeping
• policies, controls, and procedures
• fundamental customer due to diligence measures
“Money laundering is not a victimless crime. Criminals use laundered cash to fund serious organised crime, from drug importation to child sexual exploitation, human trafficking and even terrorism.” HMRC
The good news is the UK is rated as having the most robust processes in place to tackle money laundering according to the Financial Action task force. HMRC offer lots of guidance and training for businesses around money laundering and the checks your business should be carrying out.
Find out more information here: https://www.gov.uk/guidance/money-laundering-regulations-who-needs-to-register
Non-financial service businesses are not scrutinised in the same way but organisations should implement due diligence requirements based on the level of risk or likelihood that they have identified that the business may be used to launder money or fund terrorism.