The French banking and insurance supervisor announced on Friday that it had fined BMW Finance 500,000 euros for shortcomings in its controls to combat money laundering and the financing of terrorism.
BMW Finance is a specialized credit institution, affiliated with the German car manufacturer BMW.
The Prudential Control and Resolution Authority (ACPR) found that BMW Finance’s anti-money laundering and terrorist financing (LCB-FT) system and its assets freezing system had several shortcomings, indicates a statement. She felt that BMW Finance had too late to devote sufficient human resources to these systems and to comply with the regulations.
Only two people were affected by the implementation of its LCB-FT system during the control of the authority, a number clearly insufficient in view of the volume of activity of the establishment and the scope of the tasks entrusted to these employees, says the ACPR.
In its decision, the Sanctions Committee however noted that the specificities of BMW Finance’s activity led it to consider that the scope of the shortcomings identified in the LCB-FT system was relatively limited and took into account the fact that significant actions of remediation had been initiated following an internal audit and deployed during and after the control. This financial penalty, imposed on May 16, is accompanied by a reprimand.
An LOA specialist
BMW Finance offers its customers financing products for long-term leasing or with the option to purchase vehicles for individuals and professionals, customers of the group’s dealer network.
It also markets maintenance and mechanical breakdown guarantees, insurance and loans to some 172 BMW dealers in France (in 2022) to enable them to finance certain operating needs and to acquire or renovate their real estate premises, details the ACPR.
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