Electronic payments shut down as FCA anti-money laundering regulations tighten

E-payment provider permanently shuts down operations due to failure to satisfactorily meet FCA standards after suspending operations for three years. New

Electronic payments provider ePayments puts the final nail in the coffin of its operations. ePayments sent email notices to customers on Tuesday saying it was officially closing its business operations in light of local regulations.

The financial services provider was one of the largest electronic payment providers in the UK. However, almost three years ago the UK's Financial Conduct Authority (FCA) ordered it to cease trading due to alleged weaknesses in its "financial crime controls".

At the time of the original suspension, ePayments was estimated to hold $149 million, or £127.5 million, in customer funds, which were temporarily inaccessible.

After years of restructuring efforts, the company attributes the permanent shutdown to "extremely difficult and unprecedented global economic conditions", years of halt to operations and the inability to satisfactorily meet the demands of FCA.

It indicates funds are safe and encourages old customers to withdraw funds to e-wallets and wait for refund information. Twitter users responded to the update with a mix of relief and frustration, with one user saying he had funds stuck in ePayments since 2020:

Thank goodness I transferred my fund 2 months ago as soon as you unlocked access to the fund. My fund was blocked since 2020.

While another tweeted at the company that its funds were still inaccessible.

The move comes as financial regulators in the UK have tightened the reins on the sector. The