The Bermuda Monetary Authority (BMA) has imposed civil penalties totalling $400,000 on Crown Global Life Insurance and Crown Global Life Insurance (Bermuda) for failing to comply with anti money laundering (AML) regulations.
The fines were pursuant to the provisions of section 20 of the Proceeds of Crime (Anti-Money Laundering and Terrorist Financing Supervision and Enforcement) Act 2008.
These include the application of customer due diligence measures, the ongoing monitoring of business relationships, the timing of verification, and the application of enhanced due diligence, outsourcing and record-keeping processes. The companies also failed to demonstrate independent audit functions and the appointment of a compliance officer.
The BMA said it had found no evidence that the two companies were involved or complicit in any money laundering or terrorist financing activities. Both companies are now in compliance with the relevant regulations.
The breaches came to light during an on-site review of the companies’ activities conducted by the BMA’s AML/ATF unit in November 2018. The BMA had given the companies until July 31, 2019 to remediate these failings, but the companies failed to satisfy the BMA within the given timeframe.
Bermuda Monetary Authority, BMA, Crown Global Life Insurance, Proceeds of Crime Act