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Laws & Regulations Files

What is Money Laundering?

Money laundering is the method by which “dirty money” (proceeds of crime or money received from criminal activity) is processed through legitimate businesses and converted into “clean money.” Once cleaned, the money cannot be easily traced to the person originating the transaction or to the criminal origin of the funds.

What legislation and/or regulations are behind investing in a GIC?

The government of Canada established (and amends as required) the legislation to combat money laundering under the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA). The Act includes enhanced reporting, registration, record keeping, compliance, penalties and risk assessment requirements.