Paysera LT fined for violations of anti-money laundering and terrorist financing requirements
Bank of Lithuania imposed the fine of €370 thousand on the electronic money institution Paysera LT for infringements of the Republic of Lithuania Law on the Prevention of Money Laundering and Terrorist Financing.
In April and May 2020, the Financial Market Supervision Service of the Bank of Lithuania conducted an on-site inspection of Paysera LT, UAB and exposed significant shortcomings related to compliance with anti-money laundering and terrorist financing requirements.
It was established during the inspection that Paysera LT had improperly assessed money laundering and terrorist financing risks, had not ensured proper compliance with the requirements on remote identification of customers and the application of enhanced customer due diligence measures to higher-risk customers.
Violations were ascertained with regard to KYC information collection and assessment, ongoing monitoring of business relations and transactions of customers, updates of information obtained during customer and beneficial owner identification and implementation of international financial sanctions.
During the period under inspection the company has failed to ensure efficient internal control and provide sufficient human resources for the management of money laundering and terrorist financing risks, whereas its staff members were not properly acquainted with their functions and responsibilities.
After assessing the nature of violations and taking into account the mitigating circumstances, the Bank of Lithuania imposed the fine of €370 thousand on Paysera LT, UAB and instructed the company to correct the violations.
The company notified the Financial Market Supervision Service that it had undertaken actions to eliminate the violations ascertained and to enhance its anti-money laundering and terrorist financing activities by increasing the number of staff employed in this field and investing in technological solutions.
Information on enforcement measures applied by the Bank of Lithuania, complaints regarding the applied enforcement measures, and settlement results is available here.