FINTRAC: $107,250 AMP Imposed on Immeubles Jack Sera Inc.

• FINTRAC imposed an administrative monetary penalty of $107,250 on Immeubles Jack Sera Inc., a real estate broker in Laval, Quebec.
• Immeubles Jack Sera Inc. has appealed the penalty decision to the Federal Court.
• Administrative monetary penalties can have significant financial implications for entities found non-compliant with regulations.

FINTRAC imposed an administrative monetary penalty of $107,250 on Immeubles Jack Sera Inc., a real estate broker in Laval, Quebec, which the company has appealed to the Federal Court.

FINTRAC, the Financial Transactions and Reports Analysis Centre of Canada, has taken enforcement action against Immeubles Jack Sera Inc., a real estate broker in Laval, Quebec. The agency imposed an administrative monetary penalty (AMP) of $107,250 on the company on November 20, 2024, following a compliance examination in 2022. However, it appears there was some confusion regarding the identity of the entity subject to the penalty, as FINTRAC's news release initially mentioned MSBG International Holdings Ltd., a money services business in Vancouver, British Columbia, before correcting itself to state that Immeubles Jack Sera Inc. was indeed the recipient of the AMP. Immeubles Jack Sera Inc. was found to have committed administrative violations including failure to develop and apply written compliance policies and procedures, failure to assess and document the risk of a money laundering or terrorist financing offence, failure to institute and document a plan for an ongoing compliance training program, and failure to conduct a prescribed review of its compliance program. Immeubles Jack Sera Inc. has appealed this decision to the Federal Court.

Administrative monetary penalties (AMPs) are a key tool for FINTRAC to enforce compliance with regulations among money services businesses, including real estate brokers. These penalties can have significant financial implications for entities found non-compliant. The penalty imposed on Immeubles Jack Sera Inc. was $107,250, and the company has appealed the decision to the Federal Court. This serves as a reminder that regulatory bodies are actively monitoring and enforcing compliance with regulations. Lawyers advising real estate brokers in Quebec should be aware of these developments and ensure their clients are meeting all necessary requirements to avoid similar penalties.

The imposition of an administrative monetary penalty on Immeubles Jack Sera Inc. by FINTRAC underscores the importance for real estate brokers in Quebec to be vigilant about compliance with regulations. The financial implications of such penalties can be substantial, and it is essential for these businesses to understand their obligations under the law. This incident, including the ongoing appeal by Immeubles Jack Sera Inc., serves as a reminder that regulatory bodies are actively monitoring and enforcing compliance, making it crucial for lawyers advising these entities to ensure they are meeting all necessary requirements.

Lawyers advising real estate brokers in Quebec should watch for potential FINTRAC enforcement actions and ensure their clients are compliant with regulations, as administrative monetary penalties can have significant financial implications.

Source: Original reporting via FINTRAC news release