Finansinspektionen has decided to issue an injunction to the currency exchange company My Change Scandinavia AB (My Change) to immediately cease its operations. The reason is extensive and severe deficiencies in the firm’s work to combat money laundering and terrorist financing.
My Change is a small currency exchange firm that conducts currency exchange transactions in cash. Such transactions are associated with a high risk of money laundering and terrorist financing. The investigation into the firm was part of a theme investigation into how four currency exchangers comply with the anti-money laundering regulatory framework.
FI's review shows that My Change has not implemented any meaningful measures to fulfil the most fundamental parts of the Anti-Money Laundering Act. The review covered the firm's general risk assessment and risk assessment of customers, as well as its customer due diligence procedures, guidelines, and measures.
My Change has had insufficient policy documents in the form of deficient procedures and guidelines and completely lacked a general risk assessment. In addition, the firm has not assessed its customers' risk profiles or taken sufficient customer due diligence measures for any of the transactions that Finansinspektionen reviewed.
"It is our assessment that there is a high risk that the firm may be used by criminals for laundering illicit gains or terrorist financing. Given the severe violations of the Anti-Money Laundering Act, FI has decided that the firm must now cease its operations," says Malin Alpen, the executive director of Payments, which is responsible for anti-money laundering supervision.
My Change must cease its operations as a currency exchanger no later than 24 August 2023.