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Hong Kong Monetary Authority, CA Indosuez (Switzerland)
The Hong Kong Monetary Authority imposed an HK$3.5 million ($44.7 million) fine on CA Indosuez (Switzerland) SA, Hong Kong branch under anti-money laundering and counter-terrorist financing laws.

The regulator said it acted after probing CAHK’s compliance systems and controls. 

“The control lapses identified in the investigation relate to CAHK’s failure to continuously monitor business relationships with some of its customers by conducting appropriate scrutiny of transactions carried out for them during the period between 11 February 2016 and 2 October 2016,” HKMA said in a statement late last week. “CAHK also failed to maintain effective procedures for carrying out its duties under the AMLO in relation to continuous monitoring of business relationships with customers during this period.”

The watchdog said it took account of factors such as the seriousness of what its investigation unearthed; the need to deter firms from having ineffective systems; CAHK’s remedial action; and the fact that the group hasn’t violated such AML controls and systems before.

"Indosuez accepts the contravention of the HKMA and has cooperated fully throughout the investigation," a spokesperson for the firm said in a statement given to WealthBriefingAsia. 

"The deficiencies identified were historical issues dating back to 2016. The bank takes the matter seriously. The processes of the deficiencies have been identified and the bank immediately took remedial actions. At no time was the bank accused of concealing or assisting a money laundering or terrorist financing operation by one of its clients," the spokesperson said.