On October 29, the UK Financial Services Authority (FSA) fined Sindicatum Holdings Limited (SHL) £49,000 ($78,000) and SHL’s Money Laundering Reporting Officer (MLRO) £17,500 ($28,000) for inadequate anti-money laundering systems and controls between October 2003 and September 2007.
The FSA found that the MLRO failed to take reasonable steps to implement adequate anti-money laundering procedures for verifying and recording clients’ identities. This is the first time that the FSA has imposed an individual penalty on a regulated firm’s MLRO.
In determining the amount of the financial penalties, the FSA took into account SHL’s limited financial resources. Since September 2007, SHL and its MLRO have taken steps to improve the firm’s systems and controls in relation to financial crime. The FSA stated that it had not found any evidence that any money laundering had actually taken place.