OSFI's activities on anti-money laundering/anti-terrorist ...

The Office of the Superintendent of Financial Institutions (OSFI) and the Financial Transactions and Reports Analysis Centre of Canada ... Skiptomaincontent Skiptosecondarymenu OSFI’sactivitiesonanti-moneylaundering/anti-terroristfinancing(AML/ATF)supervision PageContent​DocumentProperties TypeofPublication:ConsultationResponse Date:May17,2021 To:FederallyRegulatedFinancialInstitutions(FRFIs)TheOfficeoftheSuperintendentofFinancialInstitutions(OSFI)andtheFinancialTransactionsandReportsAnalysisCentreofCanada(FINTRAC)continuetoworktogethertoeliminateduplicationandredundancyintheapplicationofAML/ATFregulatoryrequirementsforFRFIs.OnOctober16,2020,OSFIissuedan IndustryLetterseekingFRFIviewsontheongoingrelevanceofOSFI’sGuidelineB-8(Deterring&DetectingMoneyLaunderingandTerroristFinancing),givenFINTRAC’sroleastheCanadianfederalsupervisorforAML/ATF.Specifically,theconsultation,whichclosedonNovember30,2020,soughtFRFIviewson:WhetherGuidelineB-8shouldberescindedinfull,orifelementsofGuidelineB-8shouldbemaintainedandincorporatedinarevisedGuidelineE-13(ComplianceManagement);andWhetherfurtheramendmentstoGuidelineE-13areneededinrelationtoAML/ATFsupervision,ortoclarifyOSFI’sexpectationsforcomplianceriskmanagementmorebroadly.MostrespondentstotheconsultationsupportedrescindingB-8withoutanycorrespondingamendmentstootherOSFIguidance.Somerespondents,however,soughtclarificationonOSFI’sprudentialrolewithrespecttoFRFIs’AML/ATFcompliance.Inaddition,somerespondentsexpressedaneedtoclarifyhowOSFIandFINTRACwillworktogethermovingforward.Inresponsetoconsultationfeedback,OSFIwillrescindGuidelineB-8onJuly26,2021.Additionally,nocorrespondingamendmentswillbemadetoGuidelineE-13;OSFI’sexpectationsforcomplianceriskmanagementenableappropriateoversightoftheprudentialimplicationsofAML/ATFcompliance.Further,otherOSFIguidancewillbeamended,asrequired(e.g.,toremovereferencestoGuidelineB-8).OSFIexpectstoundertakeacomprehensivereviewofGuidelineE-13in2022,whichwillfocusonOSFI’scomplianceriskmanagementapproachmoregenerally.OSFIremainscommittedtotheprudentialoversightofAML/ATFrisksthatcouldaffectthefinancialsoundnessofFRFIs.OSFIwillcontinuetocoordinateandsharerelevantinformationwithFINTRAC,theCanadianfederalAML/ATFsupervisor.ThisisconsistentwithBaselCommitteeforBankingSupervision(BCBS)guidancerelatingtothecooperationandinformationexchangebetweenprudentialandAML/ATFsupervisors.OSFIandFINTRACareplanningajointinformationsessionforearlyFall2021toexplainhowOSFIandFINTRACwillworktogether,andtoanswerindustryquestions.​ ModifiedDate: 2021-05-17 Secondarymenu RegulationandGuidance ActsandRegulations Guidance TableofGuidelines TableofAdvisories ApprovalsandPrecedents ApplicationandApprovalGuides RegulatoryandLegislativeAdvisories LegislativeRulings CapitalRulings NameRequest RiskAssessmentandIntervention SupervisoryPractices GuidetoIntervention TrustAgreements RegulatoryData FilingCorporateReturns FilingFinancialReturns ViewingFinancialData Anti-moneyLaunderingandCompliance Anti-moneyLaundering Anti-terrorismFinancing Sanctions Messages IndustryNotices WebTools WhoWeRegulate