Chinese tech giant Tencent is reportedly close to being fined a record amount following the firm’s WeChatPay offering falling short of AML guidelines.
The mobile payments and communication service was reported by the Wall Street Journal to have been insufficient in terms of checks when it came to transactions being made through the site, which were picked up by the regulator in the region.
The regulations that were missed by the firm were set by the Chinese Central Bank..
It comes as the regulatory framework in the region is elevated and heightening, specifically around the movement of money and fraud prevention.
According to reports from the Wall Street Journal, the fine is likely to be a significant one and could be a landmark moment for fraud prevention in China.
It comes almost a year on from the sanctioning of Alibaba, which was hit with a fine close to $2.8 billion over antitrust shortcomings.
The digital marketplace in China continues to grow at a rapid rate – with it being one of the few countries that expanded its economy during the opening year of the pandemic.