Regulatory Framework for Money Service Businesses in B.C.
Engagement Summary
The Government of British Columbia is increasing its capacity to combat money laundering and other financial crimes that are affecting our sustainable economy. People were asked to provide feedback on potentially developing a new regulatory framework for money services businesses in British Columbia. Currently, money services businesses are required to register with the Financial Transactions and Reporting Analysis Centre of Canada (FINTRAC), but there is no provincial regulatory framework for money services businesses, which puts them at risk of being used to launder dirty money. Money services businesses are separate from traditional financial institutions, like banks or credit unions, and they provide a range of financial services to British Columbians, such as foreign exchange dealing and money transfers. Before providing feedback it was recommended that the public review the consultation document..
Engagement Timeframe
March 6 to April 30, 2020
Input Received
British Columbians and stakeholders responded positively to the consultation, and several key industry leaders and umbrella groups made submissions for consideration. The consultation received submissions from:
- Canada Money Services Business Association – national organization that fosters payments compliance as it relates to the regulations affecting Canadian organizations in the Money Services Business.
- Money Services Round Table – a U.S. based money services businesses organization whose members include American Express Travel, RIA Financial Services, Western Union Financial Services, MoneyGram Payment Systems and others.
- Electronics Transactions Association – the leading U.S.-based trade association for the payments industry, representing over 500 companies that offer electronic transaction processing products and services.
- ATM Industry Association – a non-profit trade association representing the ATM industry.
Submissions were also received from and discussions held with B.C.-based MSBs, the City of Richmond, and law enforcement.
Input leads to action:
Ministry staff have reviewed all of the input received including submissions and follow-up discussions held with stakeholders and are currently developing recommendations on how to proceed for consideration by government.