CLSA Premium NZ admits breaching duties as financial service provider
The Financial Markets Authority (FMA) is calling for a financial services company to be penalised $1.5 million for breaching anti-money laundering rules.
CLSA Premium NZ has admitted it breached its duties as a financial service provider, which included not carrying out checks on its clients as required, failure to keep adequate records, report suspicious transactions or cut business ties with some clients between 2015 and 2018.
The breach of their duties covered $50m worth of transactions.
However, both parties disagreed on what the fine should be, which carries a maximum penalty of $7m.
In the Auckland High Court this morning, the FMA called for a penalty of about $1.5m but noted that with various discounts it could come down to $1.2m.
The authority’s lawyer, Sam McMullan, said the company needed to be held to account and the penalty needed to send a…