Dudley money services boss jailed for non-compliance of laundering regulations
THE owner of a money services bureau in Dudley has been jailed for 12 months for failing to comply with regulations to help combat money laundering.
Paramjit Singh Sangha, who runs PS Gold Exchange, failed to carry out the legal checks required under Money Laundering Regulations (MLRs) before transferring up to £400,000 of his clients’ money to India.
Wolverhampton Crown Court heard that despite being reminded of his obligations during visits from HM Revenue and Customs (HMRC), he did not verify the identity of all his customers, failed to keep supporting documentation and neglected to train his staff to spot suspicious activity.
Colin Booker, Assistant Director, Criminal Investigation, HMRC, said: “MLRs exist to prevent businesses being used for money laundering purposes by criminals. People who run money services bureaux are required to take extra care when transferring larger sums of money, to help prevent criminally obtained cash from being laundered outside the UK.
“HMRC officers visited Sangha on several occasions and advised him that he needed to take more care. He chose to ignore us, which is why he found himself in court.”
Sangha, left, was arrested by HMRC officers in October 2013. At a hearing in September 2014 he pleaded guilty to four charges of failing to comply with MLRs. He returned to Wolverhampton Crown Court where he was jailed for 12 months.
