Governance Strategies and Philosophies for Combating Real Estate Money Laundering In Canada

Authors: Shawn R and Na J*

DOI: 10.23880/ijfsc-16000370

Volume 9, Issue 1

Abstract

In the realm of international criminal activities, public political figures (PEPs) frequently exploit the real estate market for money laundering purposes. The simplicity of this practice, coupled with substantial capital flows and stable returns, attracts criminal proceeds to Canada and other Western countries. Implementing anti-money laundering (AML) legislation and adhering to the recommendations of the Financial Action Task Force (FATF) have become pivotal in refining domestic AML systems and safeguarding international reputation. Studies of anti-money laundering directives from Europe, America, and the FATF, along with Canada's recent initiative in Vancouver to enhance transparency in land ownership, reveal that uncovering the identities of landowners and bolstering information sharing about high-risk clients are effective measures to prevent the infiltration of criminal funds into the real estate market. The application of this concept necessitates the establishment of a risk identification and management system based on big data as particularly essential.

Keywords: Real Estate Money Laundering; Anti-Money Laundering; Peps; Beneficial Ownership

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