During the examination: Focus on the prize
You’re a businessperson and you see the big picture. You understand your whole business and how it all fits together, so it can be off-putting to be interviewed by someone only wanting to hear about a small slice of your business operations—your AML procedures. Don’t take it personally, this is FINTRAC’s one and only mandate as far as your business is concerned, and your interviews will go more smoothly if you stay focused on AML. It can be tempting to talk about other related concepts e.g. theft and fraud prevention, for instance, but these can be confusing for an examiner who is asking specific questions to test your understanding of AML-related concepts.
Have a copy of your AML compliance program with you, either on your computer screen or printed, and refer to it if need be. Examinations are always ‘open book’ rather than a memory test. It’s also acceptable to ask the examiner for clarification if you aren’t sure what information they’re asking for. Doing so is much better than going off on a tangent about something unrelated. It is important, however, to remember the examiner is there to assess your compliance. They have a job to do, and while they may be friendly, they are not your friends. Treat your examiners with professional courtesy.
Make sure you are answering the questions you are asked. It can be helpful if you tend to get nervous or veer off-track to have more than one person present, so you can be re-directed if need be. Your answers should describe your compliance program, as well as the things you are doing in order to comply. This will often seem redundant because most of this information was submitted before the examination, but there is a method to the madness.
Remember how it’s not enough to have a dusty binder on the shelf? These redundant questions are asked by examiners to figure our whether or not you actually understand and are following your policies and procedures. They will also look for evidence in your data and documents.
After the examination: It’s not too late
If the examination doesn’t go well, FINTRAC will often ask if you have any other data or documents to provide. There is a limited timeframe—usually five business days—to submit these to FINTRAC, if such documents or data exist.
Again, procrastination is your enemy. If you have materials to submit, it’s time to get organized and get those materials to FINTRAC.
There is a disclosure statement FINTRAC almost always reads at the beginning and end of an examination. The fact the examiner reads this statement does not indicate there will be a penalty. If you aren’t sure whether or not a penalty is being considered, ask. The examiner will usually be able to give you some indication of the next steps.
If the FINTRAC examiner has indicated a penalty is being considered, this is the right time to reach out to a lawyer.
If a penalty is assessed and you choose to appeal it, you will want to start building your case as early as possible. This is because each submission you make has an effect on the next steps in the process.
