Central Bank of Cyprus fines Banque SBA Cyprus €750,000 over anti-money laundering failures

Nicosia, Cyprus. The Central Bank of Cyprus (CBC) has imposed a €750,000 administrative fine on Banque SBA Cyprus over failures identified during a 2023 inspection. The decision was taken on September 29 under the CBC’s supervisory responsibilities for preventing and suppressing money laundering.

Inspection findings

The CBC said the bank failed to comply with specific provisions of Cyprus’ anti-money laundering law and the fifth edition of its directive to credit institutions on preventing money laundering and terrorist financing, issued in February 2019.

Supervisory powers

Under section 59(6) of the Prevention and Suppression of Money Laundering Activities Law of 2007, as amended, the CBC may impose measures when a supervised entity fails to comply with Part VIII of the law or related Central Bank directives.

The CBC said such decisions follow administrative law procedures and principles, including giving the affected entity an opportunity to provide explanations before a final decision. It is the authority responsible for enforcing Cyprus’ anti-money laundering legislation for financial activities carried out by institutions under its supervision, including credit institutions.