May 25, 2016
The Reserve Bank fined Capitec and the local branch of Deutsche Bank a combined total of R25 million last year for shortcomings in the systems they have in place to combat money laundering, the bank said.
The Bank emphasised the decision to impose administrative sanctions on Deutsche and Capitec “was not based on any evidence that Deutsche Bank or Capitec facilitated transactions relating to money laundering and/or financing of terrorism activities.”
However‚ Capitec was fined R5 million for failing to report cash transactions above R24‚999 to the Financial Intelligence Centre in line with the legislation and it was directed to take remedial action.
Deutsche Bank’s “know your customer” measures were inadequate and it was fined R10 million for this and was directed to address deficiencies in its controls and systems related to detecting property related to terrorism.