Cayman Islands Monetary Authority Imposes Administrative Fine of CI$72,800 on Star Insurance (2021-03-26)

Summary

This is an enforcement notice announcing that CIMA imposed discretionary administrative fines totalling CI$72,800 on Star Insurance Company (Cayman) Ltd for breaches of the Anti-Money Laundering Regulations. It is informational in nature, reporting a completed enforcement action rather than creating new rules or ongoing requirements for other entities.

• Legal basis: Fines imposed under sections 42A and 42B of the Monetary Authority Act (2020 Revision, as amended) for breaches of the Anti-Money Laundering Regulations (2020, as amended).
• Failings identified: Failure to apply customer due diligence measures; failure to apply enhanced due diligence measures; failure to verify source of funds; failure to understand the nature and purpose of business relationships; and failure to file a suspicious activity report.
• Origin of case: Failings were first identified during an onsite inspection conducted in 2019.

The notice serves as a public warning that CIMA will continue to treat AML/CFT/PF breaches seriously and take enforcement action where necessary, urging licensees generally to maintain effective, fully implemented AML/CFT/PF policies and procedures.

Applies to

insurance companies, licensees