January 12, 2018 2:29 pm

Canadian financial institutions warned over North Korea money laundering concerns

Canadian financial institutions have been ordered to treat what few transactions they conduct with North Korea with even greater diligence.

KCNA/via REUTERS.
A A

Canadian financial institutions have been ordered to treat what few transactions they conduct with North Korea with even greater diligence as the federal government tries to increase pressure on the nuclear-armed nation.

READ MORE: China blasts Canada, U.S. for North Korea summit: ‘It will only create divisions’

Finance Minister Bill Morneau quietly issued the directive last month following concerns that the North Korean government was skirting international sanctions through money-laundering and other illicit means.

Financial transactions between Canada and North Korea are already extremely limited because of those sanctions, which the federal government imposed in August 2011.


Story continues below

But financial institutions will now have to treat even those few that are allowed, which include remittances worth less than $1,000 and humanitarian aid, as potential cases of money-laundering and report them to the government.

The move comes as Canada prepares for a meeting with allies in Vancouver next week, where the main topic will be finding ways to further squeeze the North Korean government and get it to give up its nuclear program.

READ MORE: Canada, allies looking at possibly intercepting North Korean ships

The discussions will put a heavy emphasis on stopping North Korean money-laundering as well as smuggling by sea, which U.S. officials have suggested could involve taking action against North Korean shipping.

© 2018 The Canadian Press

Report an error

Comments

Want to discuss? Please read our Commenting Policy first.

Global News