Cayman Monetary Regulatory Authority International Imposes CI$261,990.72 Fine on Lion Brokers Limited

The Cayman Monetary Regulatory Authority International (“the Authority”) has imposed administrative fines amounting to CI$261,990.72 on Lion Brokers Limited (“the Company”) under sections 42A and 42B of the Monetary Authority Act (2020 Revision) (as amended) for breaches of the Anti-Money Laundering Regulations (2020 Revision) (as amended) (“the AMLRs”).

The fines were imposed due to the Company's failure to comply with the AMLRs' legislative requirements, including:

1. Failure to apply Enhanced Customer Due Diligence measures;
2. Failure to conduct adequate risk assessments;
3. Failure to perform and document all necessary sanctions checks.

These findings stemmed from an onsite inspection, with similar issues identified during a prior review.

This case emphasizes the necessity for licensees to implement robust anti-money laundering/counter-terrorist financing/proliferation financing (“AML/CFT/PF”) policies and procedures that are appropriate, effective, and fully operational to comply with the jurisdiction’s AML/CFT/PF regulatory frameworks. This helps prevent entities from being exploited for money laundering, terrorist financing, or other financial crimes.

The Authority remains committed to strengthening the Cayman Islands’ AML/CFT/PF regime and, through both onsite and offsite monitoring, will continue to uphold vigilance in this area. We will address violations of the jurisdiction's AMLRs or regulatory laws with the necessary enforcement actions to maintain compliance.