The Reserve Bank of New Zealand has filed civil proceedings in the High Court against ASB Bank, alleging breaches of core obligations under the Anti-Money Laundering and Countering Financing of Terrorism (AML/CFT) Act.
The RBNZ said the breaches date back to at least December 2019 and relate to failures to meet fundamental compliance requirements under the legislation.
ASB has cooperated with the regulator throughout the investigation and has admitted liability for all seven causes of action identified by the central bank. The parties have jointly agreed to recommend a penalty of NZ$6.73 million, though the final decision will rest with the court.
---
News like this can see the bids drop out of a currency (in this case the kiwi $) while the dust settles. Its unlikely to have an impact beyond the fleeting though.
