BridgeForce Compliance News (February 2022)
In this issue:
- Emergencies Act – Initial Perspectives from the experts at The AML Shop
- DSC ban for Seg funds
- CCIR / CISRO Release proposed guidance on Inventive Management
Emergencies Act – Initial Perspectives from the experts at The AML Shop
As many of you are aware on February 14the the government invoked the Emergency Measures Act. An article here from the AML Shop which speaks to the implications of the Emergency Measures Act where advisors can be impacted, including the need to report to RCMP, FINTRAC and to stop dealings with designated persons.
On February 14, 2022, the federal government invoked the Emergencies Act, that broadens the scope of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA) and sets out new obligations to financial institutions and service providers.
The regulations to achieve those means were included in the Emergency Economic Measures Order released on February 15, 2022.
Our summary and interpretation of that Order is as follows:
There is an immediate order in place for financial institutions, insurance companies, trust and loan companies, money services businesses, crowdfunding platforms and/or payment service providers to continuously determine whether they are in control or possession of property by a designated person.
Read the Initial Perspectives on the Emergency Measures Act from the experts at The AML Shop here.
DSC ban for Seg funds
It appears as though seg funds will be facing a DSC ban as of June 2023, and carriers are encouraged to make them unavailable for distribution as early as June 2022. For the CCIR/CISRO news release, click here. For the Investment Executive article, click here.
CCIR / CISRO Release proposed guidance on Inventive Management
CCIR ad CISRO have released a proposed Incentive Management Guidance for consultation. The guidance is intended to align with FTC (Fair Treatment of Customer) principles. For the news release, click here. For the proposed Incentive Management Guidance, click here.