Civil Penalties - Acadia Life International Limited (2023-08-24)

Summary

This is a press release notice in which the Bermuda Monetary Authority (BMA) announces that it has levied civil penalties totalling $100,000 on Acadia Life International Limited, a Class C long-term insurer, for failing to adequately comply with several requirements of the Proceeds of Crime (Anti-Money Laundering & Anti-Terrorist Financing) Regulations 2008. The failures were identified during an AML/ATF on-site inspection conducted in June 2022.

• Failure to implement appropriate AML/ATF governance under Regulation 16
• Failure to undertake a business risk assessment under Regulation 16(1)(ea)
• Failure to conduct appropriate customer risk assessments under Regulations 6(3)(a) and 6(3)(b)
• Failure to apply adequate customer due diligence measures under Regulations 5 and 6
• Failure to institute ongoing monitoring of business relationships under Regulation 7
• Failure to implement an independent audit function under Regulation 17A
• Failure to conduct appropriate training under Regulation 18
• Failure to implement internal policies on obligations under Bermuda's International Sanctions Regime

The Authority required these deficiencies to be rectified by December 2022, and notes that the Company complied within that timeframe and cooperated fully throughout the remediation process, which the Authority took into account in setting the penalty amount. This is an enforcement outcome notice describing a completed, already-remediated matter rather than a document imposing new continuing obligations on other entities.

Applies to

Class C insurers, long-term business insurers, regulated financial institutions

Deadlines

• December 2022: Deadline by which Acadia Life International Limited was required to rectify the identified AML/ATF and sanctions compliance deficiencies