FINTRAC

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FINTRAC

• Survival Guide
• Phil Booth
• FM Group

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Survival Essentials
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Step 1 - The Compliance Questionnaire

• The letter
• Completion of an online questionnaire
• https//www1.fintrac-canafe.gc.ca
• 30 days to complete

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Step 2 How bad is it ?

• Educate yourself first !
• Information available _at_
• http//www.fintrac-canafe.gc.ca
• Insurance Company Compliance Staff / Websites
• Advocis
• Understand responsibilities
• Assess Office Status
• Be Pre-emptive

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Compliance Regime
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Step 3 - The Compliance Audit (What you will
need)

• Copy of your Compliance policies and procedures
• Copy of your training program for staff and/or
  Brokers
• Copy of your agencys risk assessment for money
  laundering and terrorist financing
• Copy of any external review

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Step 3 - The Compliance Audit (What you will
need)

• Organization Chart
• A list of all Non-Registered Investment
• cases for prior 12 months
• Any Large Cash Trx. Records
• Access to all client information and records

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Step 4 - The Deficiency Letter

• 30 45 Days after audit completed
• Outlines all deficiencies
• Requests submission of an action plan within 30
  days

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Deficiencies

• No formal review process
• Unable to produce some client information
• Not all required client info included in database
• Evidence of 3rd party determination

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Action Plan Response

• Formal Process Review
• Annually in July
• Sampling of large cash trx.
• Reconfirm criteria and any changes
• Review of at risk Brokers
• Test record keeping
• Missing Records
• Change in procedures will minimize issue for
  future
• Verification of Client Record
• Added missing information to database (occupation
  as example)
• Third Party Determination
• Procedural change to capture this information
  properly
• Introduce Not in Good Order Checklist to
  provide Brokers with deficiencies which must be
  addressed as part of the application
• process.

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Questions
Distributors Summit 2009