Misrepresentations to the regulator
In its investigation, the Qatar regulator said it identified systemic failures in Guardian’s implementation of its AML/CFT policy, procedures, systems and controls.
Additionally, in the course of the investigation, the regulator stated that Guardian made “misrepresentations” regarding its conduct and implementation of the policy, procedures, systems and controls designed to prevent money laundering and terrorist financing.
The regulator said the “imposition of this substantial financial penalty […] demonstrates the significant failings in GWMQ’s business operations […] and the serious nature of the contraventions by GWMQ of the rules of the QFC”.
Michael Ryan, chief executive of the Regulatory Authority, said: “The implementation of effective AML/CFT controls is essential to protecting the reputation of the QFC and the firms that operate in the QFC.
“The Regulatory Authority takes AML/CFT seriously and the action taken reflects the importance that the Regulatory Authority places on effective AML/CFT systems and controls.”
Liquidation
As reported by International Adviser in March, Guardian Wealth Management Qatar was also hit with a legal notice from Qatar’s international court.
The international court and QFC Regulatory Authority matters are separate.
Published in the local gazette, it stated that “at 9am on Tuesday 24 April 2018, the court will hear an application filed by the liquidators pursuant to Article 137(1) of the QFC Insolvency Regulations 2005 that their remuneration in connection with the discharge of their duties as liquidators be increase”.
In March, Guardian’s joint chief executive David Howell told IA: “We are exiting Qatar and winding the company up. As part of the process it’s normal business practice to appoint a liquidator.”
