The monetary fine was imposed on LLC “Microfinance Organization MJC” (Identification Number: 416297509) for:

1. 25 (twenty-five) facts of not providing the information about the monitored transactions (operations) to the Financial Monitoring Service of Georgia, in accordance with Article 6, Paragraph 1, Subparagraph 'a' of the 'Rule on Record-keeping, Storage and Reporting of the Information on the Transaction by Obliged Entity to the Financial Monitoring Service of Georgia' approved by Order No. 1 of the Head of the Financial Monitoring Service of Georgia dated June 5, 2020. Which according to the article 3, paragraph 3, subparagraph 'M' of the “Rule for determining, imposing and enforcing of the fine to the microfinance organizations and their administrators” (hereafter referred to as "the fine rule") adopted on February 5, 2020 by the order №16/04 of the President of the National Bank of Georgia considers fining the microfinance organization with the amount of 2,000 (two thousand) GEL on each case. In total, for 25 (twenty-five) case of violation mentioned in this paragraph - 50,000 (fifty thousand) GEL.
2. According to Article 6, Paragraph 1, Subparagraph 'A' of the 'Rule on Record-keeping, Storage and Reporting of the Information on the Transaction by Obliged Entity to the Financial Monitoring Service of Georgia' approved by Order 1 of the Head of the Financial Monitoring Service of Georgia on June 5, 2020, there was 5 (five) facts where the microfinance organization submitted information regarding a monitored transaction (operation) to the Financial Monitoring Service of Georgia with a delay of up to 5 business days, which in accordance to Article 3, paragraph 4, subparagraph 'A.A' of the mentioned fine rule, considers the fine with 100 (one hundred) GEL for each case. In total, for 5 (five) facts of violation mentioned in this paragraph – 500 (five hundred) GEL.
3. During an inspection period on 1 (one) occasion a microfinance organization incorrectly submitted information/documentation to the National Bank of Georgia. Which according to Article 3, Paragraph 3, Subparagraph 'P' of the fine rule, considers the fine of the microfinance organization with 2,000 (two thousand) GEL for each case. In total, for 1 (one) case of violation mentioned in this paragraph - 2,000 (two thousand) GEL.
4. During an inspection, it was revealed that in 3 (three) cases obliged entity failed to comply with the requirement stipulated in Article 10, Paragraph 5 of the Law of Georgia “On Facilitating the Prevention of Money Laundering and Financing of Terrorism”. Specifically, the microfinance organization did not monitor of business relationships, failed to take reasonable steps to determine the origin of the client's assets and funds. Which according to Article 3, Paragraph 3, Subparagraph 'Z' of the fine rule, considers the fine of the microfinance organization with 3,000 (three thousand) GEL for each case. In total, for 3 (three) cases of violation mentioned in this paragraph - 9,000 (nine thousand) GEL.
5. During an inspection, it was revealed that obliged entity failed to comply with the requirement stipulated in Article 27, Paragraph 6 of the Law of Georgia “On Facilitating the Prevention of Money Laundering and Financing of Terrorism”. In particular, the software (electronic) system implemented by the organization for the purposes of preventing money laundering and terrorism financing, as well as facilitating compliance with the sanctions regimes required by the National Bank through written instructions, operates with significant deficiencies. Which according to Article 3, Paragraph 2, Subparagraph 'E' of the fine rule, considers the fine of the microfinance organization with 20,000 (twenty thousand) GEL.

Microfinance Organization LLC “Microfinance Organization MJC” (Identification Number: 416297509) was fined with total amount of 81,500 (Eighty-one thousand five hundred) GEL.