Financial service market watchdog approves procedure for applying sanctions in preventing money laundering

The national commission for financial service markets regulation on October 1 approved the procedure for applying sanctions under the law on preventing and combating money laundering, terrorism and financing the proliferation of weapons of mass destruction, as well as the procedure for issuing relevant claims and controlling their observation.

According to the document, non-observation of laws are to be established during offsite and remote scheduled and off-schedule checks and supervision over the operation of entities subject to primary financial monitoring is to take place. According to the document, the director of the department of the commission makes decisions on applying sanctions or closing a case. Sanctions can be applied within six months after an infringement is revealed, but no later than in three years after it was committed.

According to the document, a case can be closed after documents confirming the fact of absence of infringements are provided, as well as end of the term during which the sanctions can be applied (six months from the moment of revealing the infringement and no later than three years from the moment of committing the crime).

The fine for violating requirements on identification, verification and studying of clients is 500 non-taxable minimum citizens' incomes for legal entities and 100 non-legal entities. The fine for non-fulfillment, untimely revealing and violation of the procedure for registering financial transactions that are subject to financial monitoring is 800 and 100 non-taxable minimum citizens' incomes respectively. The fine for non-provision, untimely provision of information or provision of untrue information; violation of the procedure for halting financial transactions, non-provision, untimely provision of documents or provision of false documents and copies or loss of documents is 2,000 and 200 respectively. The fine for violating circumstances define in law and/or legal acts in preventing and combating money laundering, terrorism and mass destruction weapon proliferation financing and not stipulated in Article 24 of the relevant law is 300 and 100 respectively.

The repeated infringement recorded within three years from the moment of the revealing of a relevant infringement by the commission for which sanctions were imposed will lead to a fine of 3,000 and 400 of non-taxable minimum citizens' incomes respectively.

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