EML knew of Irish money laundering concerns a month before it told the market

EML Payments has revealed it was made aware of concerns by the Central Bank of Ireland about one of its subsidiaries a month before it informed the market.

Jul 28, 2022, updated Jul 28, 2022
The intelliHR board has dropped its support for Humanforce (AAP Image/Joel Carrett)

The intelliHR board has dropped its support for Humanforce (AAP Image/Joel Carrett)

In response to questions from the ASX about the timing of its disclosures to investors, the Brisbane-based financial services company said the information from the Irish regulator was potentially price sensitive but was also “confidential, insufficiently definite and a reasonable person would not expect the information to be disclosed”.

The issue relates to the company’s Irish subsidiary, a prepaid card service company known as PCSIL, which had been subject to an investigation and a subsequent remediation program relating to concerns that the business had shortcomings in its anti-money laundering controls.

Revelations this week that CBI was still concerned about gaps in its remediation led to a sell-off in the company’s shares.

And today the company revealed that the concerns from CBI were made in a letter dated June 16, which was marked confidential. EML notified the market of the letter on July 25.

It said the letter raised shortcomings that required investigation, but there were doubts about the accuracy of some of the concerns expressed by the CBI and the scale of work required would have little impact on the remediation program underway at PCSIL.

It said some of the information required by the CBI was not material.

EML shares rose more than 4 per cent today.






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