The Reserve Bank has imposed penalties against Discovery Life and the Deutsche Bank in South Africa for weakness in the money laundering control measures.

The central bank says the administrative sanctions were imposed because of weaknesses identified in the two companies’ compliance with the provisions of the Financial Intelligence Centre Act.

It emphasised this is not because Deutsche Bank or Discovery Life were found to have facilitated transactions involving money laundering or the financing of terrorism.

Deutsche Bank was fined R28 million, excluding an amount of R10 million, which is suspended for three years.

Discovery Life was on the other hand fined R1.5 million, excluding an amount of R500 000 which is also suspended for three years.