FINTRAC details crackdown after US sanctions eight Canadian money services businesses

OTTAWA, Nov. 6, 2026 — The Financial Transactions and Reports Analysis Centre of Canada, known as FINTRAC, said it worked with the U.S. Office of Foreign Assets Control and Financial Crimes Enforcement Network on the designations. The agency said its registration revocations this year exceeded those of the previous three years combined. Sanctions on Canadian Money Services Businesses

OFAC sanctioned the eight businesses under Executive Order 13902 for operating in Iran’s digital asset sector. Treasury accused them of converting currencies into cryptocurrency to facilitate Iranian financial flows, including transactions involving sanctioned exchanges and addresses associated with the Islamic Revolutionary Guard Corps. Several also allegedly handled funds linked to Canadian drug trafficker Ryan Wedding. home.treasury.gov

FINTRAC said it imposed administrative penalties totaling more than C$198 million on nine money services businesses over the past year. Violations included failing to register and failing to report large virtual currency transactions. It also referred 28 cases of suspected noncompliance involving money services businesses to law enforcement during that period. Sanctions on Canadian Money Services Businesses

The agency said legislation passed in March increased criminal penalties for operating without valid registration to a maximum C$5 million fine, five years in prison, or both, following conviction on indictment. FINTRAC added that Canadian law generally prevents it from disclosing compliance actions against individual businesses, except through public notices of administrative monetary penalties. Its statement did not identify whether any of the eight sanctioned firms had their registrations revoked. Sanctions on Canadian Money Services Businesses