The Financial Post reports in its Friday edition that in an effort to comply with more stringent anti-money-laundering regulations, some banks are cutting ties with small businesses that offer money services including overseas transfers and foreign exchange. The Post's Barbara Shecter writes that the trend has been noticed by an association for more than 200 of these money services businesses and their affiliates and prompted its co-chairs to send a written complaint this week to the banking regulator suggesting the move is frustrating competition and will drive these business lines to unregulated marketplaces. In a letter sent to Jeremy Rudin, who runs the Office of the Superintendent of Financial Institutions, the Canadian Money Service Business Association says members have had their bank accounts closed in what appears to be a sector-wide "sweep," even though they are compliant with all anti-money-laundering rules. The letter to OSFI says there has been a widespread "withdrawal of service" by Bank of Nova Scotia and other financial services institutions -- terminating decades-long relationships in some cases. Failures can lead to fines and cause problems with regulators in Canada and internationally.