(Yicai Global) Feb. 14 -- China Securities and Citic Securities, two of China’s top brokerages, have each been penalized over CNY13 million (USD1.9 million) by the country's central bank for not performing their duties of properly recording customer identification data and reporting any suspicious transactions in order to prevent money laundering.

China Securities was fined CNY13.88 million for failing to fulfil its obligations to collect customer identification data, and as a result was conducting transactions for unidentified clients and opening anonymous accounts, the People’s Bank of China said on Feb. 6. The brokerage also did not report large-value and suspicious transactions as required.

Citic Securities was ordered to pay CNY13.76 million for similar offences. Four department heads were also fined between CNY25,000 (USD3,668) and CNY105,000 each.

They are not the first brokerages to be punished for failing to uphold the anti-money laundering law this year as China’s regulators make greater efforts to hold brokers to account. Guotai Junan Securities was fined CNY950,000 (USD139,394) by the PBOC's Shanghai branch on Jan. 12.

Editor: Kim Taylor