Money Transaction Company

Money Transaction Company

Recognizing unusual transactions

As a service provider – money Transfer Company – you are familiar with practices within your business. Whether a transaction is considered unusual depends largely on your professional judgment. Your judgment is consistent with what is considered unusual within your profession. In addition to your judgment, there are situations that are unusual by nature and should therefore be reported.

If a situation arises as described in the examples below (not exhaustive), this is a reason to further examine whether the transaction could be related to money laundering, terrorist financing, and/or associated predicate offenses. It is not necessary to determine with certainty that the above-mentioned crimes have been committed. You merely need to have an assumption that the transaction can be related to one of these crimes.
If you believe that the transaction could be related to money laundering, terrorist financing, and/or associated predicate offenses, you are required to report this under the subjective indicator.

Red flags – Money transfer company

  • A cash transaction in small denominations, with uncounted money, in unusual packaging;
  • Frequent deposits by parties other than the account holder that do not match the client’s profession or activities
  • The client is nervous for no valid reason
  • There is a striking turnover on the account which is disproportionate to the client’s profession/activities or business activities
  • Incoming payments originating from typical offshore financial centers
  • Outgoing payments go to parties/countries that do not match the client’s profile

Typologies:

RBA Guidance for Money Service Businesses

660.49 KB | 9 downloads

 

Regulation:

Regulation regarding an order for the extradition of MTC documents

154.57 KB | 13 downloads