MAS fines accounting firm for anti-money laundering lapses

The firm failed to vet transactions at risk for money laundering and terrorism financing.

The Monetary Authority of Singapore (MAS) has imposed a $400,000 composition penalty of on accounting firm TMF Trustees Singapore Limited (TTSL) for its failure to comply with Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) requirements.

Between June 2011 to April 2018, TTSL were not able to comply with the AML/CFT requirements for trust companies. In particular, the firm did not verify the source of wealth of trust settlers who presented higher risks of money laundering and terrorism financing (ML/TF).

It also failed to monitor the transactions of trust relevant parties (TRPs), to ensure that these were consistent with its knowledge of the TRPs’ business and risk profile, as well as the source of funds.

TTSL has paid the composition penalty in full and has voluntarily refrained from accepting new trust clients for three months.