Luxembourg’s financial regulator, the CSSF, has imposed a fine of €226,000 on Maitland Luxembourg SA, a specialised PFS (professional of the financial sector, frequently known by its French acronym PSF). The penalty was levied on 26 July and announced on 14 September.
The fine was imposed in application of anti-money laundering laws. It is an administrative sanction imposed for “professional obligations of the fight against money laundering and counter financing of terrorism”, the CSSF said in a press release.
The “shortcomings” were identified by the CSSF “during an off-site inspection” of Maitland’s anti-money laundering systems in its role as a service provider to companies and trusts. The CSSF identified deficiencies relating to “clients’ risk assessment, the obligation of ongoing customer due diligence measures, the obligation of cooperation with the authorities.”
Apex's pending acquisition
The financial regulator noted that Maitland has taken corrective action following the audit and “has sold part of its business to another trust and company service provider.”
When contacted for comment, Maitland replied: “We have no comment to provide at the moment”.
As a specialised PFS, Maitland’s authorisation would have allowed it to carry out the activities of company domiciliary, company formation and management services, registrar, customer communication agent, administrative agent and family office.
On 18 May, the Apex Group, which has a large presence in Luxembourg, announced the pending acquisition of the fund services and third party management company business of Maitland International Holdings, a group specialising in the provision of fund services. The acquisition of the Maitland business is expected to be completed later this year. In addition to Luxembourg, the Maitland Group has operations in Guernsey, South Africa and the UK.
Originally published in French by Paperjam and translated for Delano