- LeHomes Realty in Vancouver, B.C. is facing more than $550,000 in fines for anti-money laundering violations committed by Pan Pacific Platinum Real Estate and LaBoutique Realty Ltd., according to FINTRAC.
- Cathay Pacific Realty Ltd. is facing $206,250 fines for anti-money laundering violations.
- All three were found to have failed to submit a suspicious transaction report where there were reasonable grounds to suspect money laundering
Three Vancouver, B.C. realty firms are facing fines for anti-money laundering (AML) breaches, according to the Financial Transactions and Reports Analysis Centre (FINTRAC).
This month, FINTRAC announced Pan Pacific Platinum Real Estate and LaBoutique Realty Ltd., both brokerages operating under LeHomes Realty, were fined a combined $557,780.50 for AML violations.
Pan Pacific Platinum Real Estate was fined more than $280,000 for several violations. In a press release, the financial intelligence unit alleges a lack of compliance and that the firm failed “to submit a suspicious transaction report where there were reasonable grounds to suspect that transactions were related to a money laundering offence.
LaBoutique Realty Ltd. was fined $275,385 for similar violations, according to FINTRAC, as well as failing to “submit a large cash transaction report for the receipt of $10,000 or more in cash.”
On Oct. 18, FINTRAC also announced fines to the tune of $206,250 against Cathay Pacific Realty Ltd. The Vancouver broker is accused of committing several violations, including failing to submit a report where there were reasonable grounds to suspect that transactions were related to a money laundering offence.
Neither LeHomes Realty nor Cathay Pacific Realty Ltd responded to Real Estate Magazine’s request for comment.
In a press release, Sarah Paquet, director and CEO of FINTRAC, said the organization is “committed to working with businesses to help them understand and comply with their obligations under the Act. At the same time, we will be firm in ensuring that businesses continue to do their part, and we will take appropriate actions when they are needed.”
Real estate brokers and sales representatives are required under the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to keep certain records, identify clients, maintain compliance, and report certain financial transactions to FINTRAC.