The Financial Intelligence Centre issues a stern reminder to designated non-financial entities – particularly legal practitioners and estate agents – to file their overdue risk and compliance returns.
Accountable institutions that did not pay the smaller fine or remediate their non-compliance now face harsher penalties.
The firm of attorneys said its non-compliance was not intentional and was the result of a lack of awareness.
The Financial Intelligence Centre sets out legal practitioners’ obligations under the FIC Act.
Non-compliant accountable institutions are hindering efforts to get South Africa off the grey list, says the Financial Intelligence Centre.
The Financial Intelligence Centre has revised the reports first issued in March 2022.
The response to the Centre’s appeal to submit the outstanding risk and compliance returns ‘is not good enough’.
The relevant accountable institutions must submit the RCRs to avoid additional scrutiny or administrative sanctions.
Non-submission of the RCR required by Directive 6 will prevent the Financial Intelligence Centre from demonstrating compliance with the FATF’s action plan.
