A British Columbia licensee discovers that, on a purchase that completed six months ago, they never verified their buyer client's identity. Which legal regime imposed the identity verification duty they missed?
Correct Answer
D) The federal PCMLTFA, which FINTRAC administers
Client identity verification for real estate brokers and sales representatives comes from the federal Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA) and its regulations, administered by FINTRAC. FINTRAC's guidance requires them to verify the identity of every person for whom an information record is kept, which includes each client in a purchase or sale.
Why This Is the Correct Answer
This answer is correct. Identity verification for real estate clients is imposed by the PCMLTFA and its regulations, and FINTRAC administers and enforces it.
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