In a complex money laundering scheme, a real estate agent unknowingly facilitates multiple property transactions using funds from criminal activity. Despite having no knowledge of the illegal source, what could be a potential consequence for the agent?
Correct Answer
B) Penalties if the agency failed to follow its AML/CTF obligations
Under AML/CTF legislation, agents can face penalties even without knowledge of criminal activity if they failed to implement proper compliance procedures such as customer due diligence, record keeping, and reporting obligations. The legislation emphasizes prevention through proper procedures rather than requiring knowledge of criminal intent.
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In a complex disciplinary hearing, an agent is found to have engaged in professional misconduct involving multiple breaches of the code of conduct over several years. Which factor would a tribunal be LEAST likely to consider when determining appropriate sanctions?
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Under AML/CTF requirements, which of the following customer identification procedures is NOT required when establishing a business relationship with a new client?