Enforcement (Non-regulated financial service providers)

To exercise AML/CFT effective supervision, the CBA has a range of actions available in order to apply appropriate enforcement where problems are detected. Several of these actions have a legal basis in the AML/CFT State Ordinance. Such formal measures are indispensable tools for the CBA to enforce compliance if necessary. However, not every problem at a supervised entity will trigger formal enforcement measures. There are various alternative intervention methods that the CBA has at its disposal.

Enforcement policy

If the CBA establishes a violation, it will assess how it will act, whether an enforcement measure will be imposed, and, if so, which measure. For this assessment, the CBA is guided by its enforcement policy. This public document contains clear and objective factors that guide the CBA in its enforcement decision. Depending on the nature of the problem identified, a graduated response is appropriate. In instances where the issue is relatively minor, informal action may be sufficient. In other instances, formal enforcement measures may be necessary.

Formal measures

The CBA is empowered to take one or more of the following formal measures:

  • Issuance of a direction (aanwijzing) to adhere to a particular line of conduct within a reasonable term.
  • Imposition of a penalty charge order (last onder dwangom) ordering to take or desist from a certain action, while failure to comply with the order within the set term triggers an obligation to pay a penalty payment.
  • Imposition of an administrative fine (bestuurlijke boete), implying an unconditional obligation to pay a sum of money.
  • Filing a report to the criminal authorities; breaches of some important provisions of the supervisory state ordinances constitute a criminal offense.

It may also be possible to impose an administrative sanction (i.e. a penalty charge order or an administrative fine), not only upon legal persons that are financial institutions or businesses, but also upon natural persons who ordered the violation or were de facto in charge of the violation (e.g. the entity directors or senior management).

Downloads

  • State Decree regarding the principles for administrative enforcement AML/CFT State Ordinance (Landsbesluit grondslagen bestuurlijke handhaving LWTF) (in English) (in Dutch)
  • Enforcement policy supervision Centrale Bank van Aruba (Handhavingsbeleid Centrale Bank van Aruba) (in English) (in Dutch)