Anti Money Laundering and Combating Financing Terrorism Regime
Financial Institutions, in a global backdrop, are focusing on Money Laundering (ML) & Terrorist Financing as a major risk, accordingly local & international regulatory bodies are taking steps to mitigate this risk and SBP is not an exception. SBP’s regulatory framework for ML and terrorist financing is revised in the shape of Prudential Regulations and circulars, which are amended from time to time. State Bank of Pakistan has recently made anti money laundering and Combating the financing of terrorism (AML / CFT) regulations more comprehensive by revising its approach drastically. These regulations have been issued to banks / DFIs with a view to introduce a comprehensive regulatory framework in line with international standards to mitigate the various risks arising from money laundering and terrorist financing aimed at providing an environment for effective implementation of risk based approach considering various Bank’s internal policies, procedures, risk parameters. Presenters from SBP will highlight the issues that became the reasons of introducing the revised regulations and how they should be implemented in letter and spirit by banks/DFIs.
The Trainers will also focus on initiatives taken for AML & CFT in light of National Action Plan (NAP), NACTA Guidelines, Common Reporting Standards, Fourth Schedule, etc.
Who should attend this Workshop ?
Compliance Managers, AML Managers, Area Operations Mangers, Manager Operations, Branch Managers, Risk Managers, Business Development Managers Assets and Liabilities, Internal Auditors, ADC Managers, Internal Control Managers.
Evolution of global regime for Anti money laundering
Regulatory regime for AML/ CFT in Pakistan
FMU - Roles / Responsibilities / Actions / Powers
The Revised 40 FATF Recommendations of Feb 2012
OFAC – Role / Sanctions / Actions
Revised Prudential Regulations R-1 to R-6
Customer Due Diligence – R-1
Correspondent Banking – R-2
Wire transfers/ fund transfers – R-3
Reporting of transactions – R-4
Record Keeping – R-5
Internal controls, policies, Compliance, audit and training – R-6
What are the changes?
Automated AML Solutions – technicalities and Challenges On-going transaction monitoring
STR & CTR reporting mechanism
Assan Account - A new challenge for industry
Automated KYC modules
Continuous Training of client facing staff
Continuous Screening of client portfolio
Terrorist Financing vs. Geographical Risk of Pakistan
Action under Anti terrorism Act (ATA), 1997
Proscription of individuals on fourth schedule of ATA, 1977 by Govt.
Legal prohibitions for individuals on fourth schedule – Freezing under Section 11 (O)
Circulation of lists by SBP as received from NACTA
Regulatory instance towards AML/ CFT
Risk based approach
Major circulars from time to time e.g. top 100 depositors branch wise
Regulatory expectations from banks & Question Answers