In Canada, as of June 23, 2008, sellers who are listing a property for sale and buyers who are signing an offer to purchase are now required to show one piece of photo identification at the time of signing. The real estate salesperson or broker is required to fill in a form called the “Client Information Record” with details from the photo ID, as well as the person’s occupation. This information must be retained by the Real Estate Broker’s company files as a private record for FINTRAC review, if necessary.
FINTRAC refers to the Financial Transactions and Reports Analysis Centre, an administration tasked with enforcing the requirements of The Proceeds of Crime (Money Laundering) and Terrorist Financing Act. This federal law applies not only to real estate brokers, but also applies to the banking industry, life insurance companies, security deals, foreign exchange businesses, accountants and casinos.
Worldwide, it is established that the equivalent of $500 BILLION (US) is laundered each year. Most industrialized countries over the last several years have established new laws in order to fight both money laundering and suspected terrorisst financing activities on both the domestic and international levels.
To find out more about Canada’s laws on money laundering and terrorist, please visit FINTRAC’s website: www.fintrac.gc.ca or call toll free at 1-866-346-8722