The Financial Sector Conduct Authority (FSCA) has fined Harith General Partners R1.7 million for breaching South Africa’s anti-money-laundering laws. Harith, one of Africa’s largest infrastructure investors with nearly $300 billion (R5.2 trillion) in assets under management and the Public Investment Corporation PIC among its shareholders, failed to verify clients’ identities, confirm sources of funds, or screen them against United Nations terrorism sanctions lists.

The FSCA said Harith also neglected to vet employees for competence and integrity, and its risk-management plan was inadequate under the Financial Intelligence Centre Act. Regulators described the lapses as: “serious compliance breaches” that could expose the financial system to criminal abuse. Harith says it is co-operating to remedy shortcomings.