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Money laundering and the financial sector

Last updated on September 19, 2024

The Province of B.C. is working to stop money laundering by addressing vulnerabilities in the financial sector.

Actions taken by the Province of B.C.

B.C. is working to tackle money laundering in the financial sector.

Institutions and professionals in the financial sector are expected to identify and prevent money laundering under the federal Proceeds of Crime (Money Laundering) and Terrorist Financing Act.

Money services businesses

The Province introduced a new regulatory regime for money services businesses, with the BC Financial Services Authority as the provincial regulator.

Money services businesses are businesses that:

  • Send money domestically or internationally on behalf of customers
  • Provide currency exchange
  • Issue or redeem traveler's cheques or money orders​

The Money Services Businesses Act, which will come into force through regulation, will require these businesses to meet requirements for registration, broad background checks and reporting. The act will also enable investigations and penalties for money service businesses, ensuring that only legitimate individuals and businesses participate in the money services industry.

Vehicle exports

To address the risk of money laundering through trade and vehicles exported outside of B.C., the Provincial Sales Tax Act was amended to eliminate the ability to receive a Provincial Sales Tax (PST) refund on purchases of vehicles intended for export.