Anti-Money Laundering
and
Counter-Financing Terrorism Policy
Contents
1. INTRODUCTION 4
1.1. Purpose 4
1.2. Scope 4
2. GOVERNANCE FOR AML 5
2.1. AML-CFT Governance 5
2.1.1. Board Responsibilities 5
2.1.2. Board Risk and Compliance Committee (Board Level) Responsibilities 6
2.1.3 Compliance Management Committee 6
2.1.4. Senior Management Responsibilities: 6
3. KNOW YOUR CUSTOMER (KYC) 11
3.1. Know your customer (KYC) 11
3.2 Customer Acceptance Principles (CAP) 12
4. PURPOSE OF KYC 13
4.1. Mechanisms Deployed for KYC 13
4.2 Timeline for Obtaining KYC 13
4.3 Know Your Customer for a High-Risk Account 14
4.4. Enhanced Customer Due Diligence (ECDD) 15
4.5. Provisions regarding KYC of existing customers 15
4.6. Beneficial Owner 15
4.7. Know Your Employee (KYE) 16
5. PREVENTION OF MONEY LAUNDERING (ML)/TERRORIST FINANCING (TF) 16
6. RISK ASSESSMENT 17
6.1. The Risk Management Process 17
6.2 The Risk Management Framework 18
7. SUSPICIOUS AND LARGE VALUE TRANSACTION 19
8. TRANSFER VIA WIRE 20
9. SHELL AND CORRESPONDENT SUPERMYAN REMITTANCE COMPANY 20
9.1. Correspond 20
9.2 Shell SuperMyan Remittance Company 21
9.3. Account and Transaction Monitoring 21
10. REPORTING RELATED TO AML-CFT 21
11. PROVISIONS REGARDING RESTRICTION IN TRANSACTIONS 22
12. RETENTION OF RECORDS 22
13. CONFIDENTIALITY OF CUSTOMER INFORMATION (TIPPING OFF) 23
14. POLICY COMPLIANCE 23
14.1 Employee Training Program 23
14.2 Amendment to the Policy 23
14.3 Compliance Measurement 23
14.4 Non-Compliance 24
14.5 Exceptions 24
1. INTRODUCTION
1.1. Purpose
The purpose of this Policy and Procedures framework of the SuperMyan Remittance Company Limited (SMR’s) actions;
1. To formulate effective policies and methods for managing money laundering/terrorist financing (ML/TF) threats.
2. Developing the core principles for acceptable supervision based on the Financial Action Task Force (FATF) 40 Recommendations requires sufficient risk management.
3. To Identify, evaluate, and comprehend country-specific ML/TF risks from the activities and take the appropriate steps to mitigate such risks effectively.
4. To control and reduce money laundering and terrorist financing through the legitimate use of SMR's services.
5. To continuously assess and monitor money laundering and terrorist financing and cooperate with national management.
1.2. Scope
The four tenets covered in this AML Policy are:
a. Know Your Customer (KYC)
b. Risk Assessment of Accounts
c. Accounts Review
d. Suspicious and Large Value Transaction Monitoring and Reporting
This Policy aims to raise awareness of money laundering activities and their negative consequences among employees, customers, and the general public and effectively counter/guard against them at all times.
Given the sensitivity of the issue on the world stage, the Bank has adopted this Policy to proactively deal with money laundering concerns within the framework of local legislation and Central Bank of Myanmar recommendations.
The fundamental purpose of adopting this Policy is to ensure compliance and willingness to accept it. This Policy applies to all employees, including those working for its subsidiaries.
2. GOVERNANCE FOR AML
Strong corporate governance enables us to fulfill our goal of growing sustainable enterprises more confidently and efficiently.
SMR established a solid and effective corporate governance system to assure openness, accountability, and ethical behavior in their business. Effective policies and procedures, monitoring and reporting methods, and internal controls are all part of a good corporate governance framework. Measures that promote appropriate function separation and the avoidance of conflicts of interest are fundamental characteristics of an efficient corporate governance framework.
The Governance Framework includes methods for disclosure and transparency, the Board of Directors' and Management's obligations, and shareholders' rights and equitable treatment. The Board of Directors (BOD) will ultimately be responsible for defining a corporate vision strategy and business model, supervising an SMR's corporate governance culture, and is expected to design tools to achieve this goal, including board committees. The management team will ensure accountability to operate the corporate governance system effectively.
The governance structure delegated responsibility for properly implementing SMR's AML regulations and overall accountability. It contains guidance from international standards, CBM circulars and directives, and aspects of developing best practices to match our firm's requirements.
2.1. AML-CFT Governance
2.1.1. Board Responsibilities
The Board of Directors is responsible for implementing strong AML-CFT norms in the business. The following tasks are the Board of Directors' core responsibilities:
a) Approving and enforcing AML Policy
b) Establishing and approving the organizational structure, roles, and responsibilities in AML-CFT of individual departments/units;
c) Oversight on the risk management of AML-CFT;
d) Review the AML-CFT status of the SuperMyan Remittance Company regularly and provide feedback, if any, to the management or Compliance Officer (“CO”); and
e) Any amendments/cancellation or revision in the Policy shall be at the discretion of the Board of Directors
2.1.2. Board Risk and Compliance Committee (Board Level) Responsibilities
a) Review and support AML Policy for approval by the Board of Directors;
b) Review the SuperMyan Remittance Company's AML-CFT status regularly and forward it to the Board for further review;
c) Periodically review and update AML Policy; and
d) Monitor AML-CFT-related activities for AML Policy implementation.
2.1.3 Compliance Management Committee
The Compliance Management Committee shall be responsible for the following duties and responsibilities;
a) Approving the AML/CFT Policy and Procedure
b) Evaluating AML/CFT issues reported by the Compliance Department
c) Review and recommend the risk situations that may occur in remittance operations presented by the chief compliance officer and management.
d) Evaluating and directing the AML/CFT matters by the Chief Compliance Officer and Management
e) Instructions to correctly comply with relevant laws, regulations, and international standards.
f) Performing any additional tasks and responsibilities assigned by the BODs.
2.1.4. Senior Management Responsibilities:
1. Chief Executive Officer
The Chief Executive Officer is the financial institution's executive leader who ensures that AML policies and procedures are efficiently implemented. The following are the Chief Executive Officer's primary responsibilities:
a) Ensuring that AML-CFT Program policies and procedures are in line with the remittance's business, services, and information technology, as well as developments in modes of money laundering or terrorist financing;
b) Approving and enforcing AML/CDD Procedures of the remittance business;
c) Ensuring that AML-CFT Program implementation is based on established policies and procedures;
d) Ensuring that all employees, particularly employees of related work units and new employees, have participated in ongoing training related to the AML-CFT Program;
e) Supervise the AML-CFT Unit's work in implementing AML Policy and Procedure;
f) Based on the CO's recommendation for any action against respective staff for not complying with AML Policy and Procedure, the Chief Executive Officer shall take the initiative for further action against such staff;
g) Ensuring that sufficient recourses, suitable workplace, required access to information, documents, and staff have been managed to do compliance function effectively and efficiently; and
h) Other discretionary authorities shall be exercised as delegated in the Policy or from time to time by the Board.
2. Compliance Officer (CO)
The CO will be at the senior management level and the point of contact for implementing the AML policy, procedures, and regulatory requirements of AML-CFT. Under CO, Supermyan Remittance will have a separate AML-CFT Unit to implement CBM Directives, the AML Act/Rules, the CFT Act/Rules, the AML Policy and Procedures, etc. Appoint an Assistant Compliance Officer (ACO) to assist in executing all of the CO's tasks. The CO has the following rights in operation.
a) Direct access to any documents, transactions, and documents related to accounts;
b) Right to demand/acquire any information, details, account statements, or documents from any SuperMyan Remittance Company staff; and
c) Direct access to documents and information required to implement the AML-CFT Act, Regulations and Rules, CBM Directives/Circulars, and the SuperMyan Remittance Company’s Internal Policy and Procedures.
The responsibilities of CO are;
a) An effective policy, procedure, and system for the implementation of the AML-CFT Program shall be developed;
b) Suspicious Transaction Reports (STR) sent by the Department shall be reviewed/analyzed and sent to FIU;
c) Ensure timely reporting of Threshold Transaction Report (TTR) to FIU;
d) CO shall consult with another department or obtain specialist feedback if necessary;
e) CO shall prepare the report on the AML-CFT status of the Co
f) CO shall educate the Co.’s management/ all departments to comply with the AML Policy, Procedure, CBM Directives, and related laws and regulations;
g) CO shall make recommendations to act to those staff who have not provided the required information, documents, and account details and/or who do not cooperate with the implementation of the AML Policy/Procedure to CEO and HR;
h) The CO shall present the AML-CFT status report to the Board Risk Committee. BRC shall send those reports regularly to the Board. The Board of Directors shall analyze such reports and provide input to the Board Risk Committee or Management as appropriate.
i) The CO shall inform shareholders, board members, top-level management, and staff on AML-CFT, its impact on the Co., and other relevant information. If necessary, an external resource person may be used.
j) The CO shall arrange frequent AML-CFT training for staff to improve the AML-CFT agreement and ensure successful execution of the Co., as required by the Regulator.
3 Finance Manager
The Finance Manager's primary tasks are as follows:
a) The Finance Manager is responsible for ensuring appropriate implementation, control, monitoring, and reporting of the SuperMyan Remittance Company's whole operation; and
b) As specified by the AML/CDD Procedure.
4. Operation Manager
The following are the primary responsibilities of the Operation Manager
a) To ensure proper implementation of the AML-CFT Act, its Regulations and Rules, AML Policy and Procedures;
b) To instruct Branches to comply with AML-CFT Policy, Procedure, CBM Directives, etc.;
c) To instruct respective branches and departments to rectify the discrepancies on AML-CFT-related matters;
d) To arrange for the digitalization of all customer information as per AML-CFT Law/CBM Directives;
e) To ensure proper resources, controls, and best practices are advised to the operation department and
f) As directed by the AML/CDD Procedure.
5. Compliance Department
The Compliance Department shall be responsible for the following duties and responsibilities-
a) Draft the Policy and Procedure concerns with AML/CFT and report to the Management Committee and the BOD.
b) Report compliance and integrity risks in operation activities to BOD or the Management Committee.
c) Ensuring the SuperMyan Remittance Company’s compliance and integrity-related policies and rules are current and in line with international standards.
d) Report cases and complaints relating to compliance matters.
e) Review and approve business transactions of high-risk customers.
f) Review, assess, and record all related AML/CFT matters.
g) Having the exclusive right to conduct Off-Site Monitoring and On-Site Inspection for all AML/CFT-related matters.
h) Communicating with all organizations concerned with AML/CFT matters.
i) Forming the Units, including the Front-Line Compliance Officer for every branch.
j) Holding the AML/CFT-related training quarterly for all employees of the SuperMyan Remittance Company.
k) Carrying out other duties and responsibilities delegated by the BOD.
6. Information Technology Department (IT)
The IT Department supplies the AML and CFT Unit with the appropriate data and assistance.
7. Internal Audit Department
An internal audit is an impartial authority that determines if SuperMyan Remittance Company has followed the AMLCFT Law, Regulations and Rules, CBM Directives, and AML/CDD Policy and Procedures. The following are the primary functions and responsibilities of the Internal Audit Department.
a) The Internal Audit Department shall independently review the compliance of the AML Policy and AML/CDD Procedure;
b) The Internal Auditor shall be responsible for conducting checks and reviews to ensure that the control, monitoring, and reporting procedures outlined in this Policy are followed;
c) Internal Audit shall independently check and verify the SuperMyan Remittance Company's AML Policy and Procedure, AML-CFT Law, Regulations and Rules, and CBM Directives at the Department/ Branch/Unit and
d) The AML-CFT unit shall be provided with information on AML-CFT compliance and the most recent status of the Department/Branch/unit every quarter.
8. Human Resource Department
a) The following are the leading roles and responsibilities of the Human Resource Department:
b) Before hiring new employees, do an AML screening (criminal activity, sanction list, etc.). It also applies to outsourced personnel;
c) HR must guarantee that all employees' due diligence is updated and reported regularly, and HR must monitor all staff accounts for money laundering activity.
d) To organize an AML-CFT training program for staff as needed and
e) Departmental punishment/action, as the CO/CEO advised, shall be taken against staff who do not comply with the AML-CFT Laws, Regulations, Rules, CBM Directives, and AML Policy and Procedures.
9. Individual employee
Individual employee's significant roles and responsibilities are as follows:
a) Individual employees must be more alert to the likelihood of Money Laundering or terrorist Financing threats while using the goods and services.
b) Any employee who learns of the SuperMyan Remittance Company's or any of its customers' participation in money laundering and terrorist activities must report it to the CO/ACO.
3. KNOW YOUR CUSTOMER (KYC)
3.1. Know your customer (KYC)
KYC is the process of validating a client's identifi3.1cation. The phrase refers to the remittance rule that oversees these actions.
SuperMyan Remittance Company increasingly requires clients to supply more information to verify their honesty and integrity. Know Your Customer regulations are becoming increasingly necessary worldwide to avoid identity theft, financial fraud, money laundering, and terrorist financing.
SuperMyan will only get into commercial relationships with consumers who have completed identification and KYC.
3.2 Customer Acceptance Principles (CAP)
Customer Acceptance Principles (CAP) establishes the conditions for customer acceptance.
a) Accounts may only be established in the name of a natural or legal person/organization, with the name matching the name on the primary identifying document. The SuperMyan Remittance Company should only open the account based on the required documents and information specified in the AML Act, Rule, CBM's CDD Measures Directive, and the SuperMyan Remittance Company's AML/CDD Procedure.
b) Accounts will be established upon customer identification and verification of needed information/documents. Before creating a new account, necessary checks are performed to guarantee that the customer's identification does not match with any person involved in money laundering or with forbidden entities such as individual terrorists or terrorist groups, etc.
c) PO Boxes are not accepted as registered home addresses. (Postal boxes are accepted as postal addresses).
d) Accounts must not be established or held (or one-time transactions performed) if a customer or prospective customer is implicated in money laundering or terrorist funding. In such cases, the account opening process should be halted, and any attempted suspicious behavior should be reported to the CO or ACO.
e) SuperMyan Remittance Company shall not create accounts for shell Financial Institutions or maintain accounts with an alternate name/anonymous name (which differs from the primary identification document), fictional name/blank name, or numbered/alphanumeric characters.
f) Accounts or one-time transactions for persons or businesses on the sanctions list are prohibited.
g) If there are power of attorney holders, beneficial owners, third-party mandates, or guarantors in a connection, these individuals should be recognized as the principal customer. The documentation for such an agreement should be checked, and the purpose of the agreement should be understood and documented.
4. PURPOSE OF KYC
a) To develop methods for verifying the identification of persons, corporations, or other institutions;
b) Detecting suspicious transactions;
c) To develop processes and procedures for monitoring high-value and suspicious transactions; and
d) Create procedures for performing due diligence and reporting on such efforts.
4.1. Mechanisms Deployed for KYC
SuperMyan will employ various ways to conduct Customer Due Diligence/Know Your Customer. These tasks must be completed at the time of account opening. SuperMyan will use all or a mix of the KYC/CDD processes listed below.
a. Customer identification and profiling
b. Risk assessment
c. Documentary Evidence
d. Document verification as per original
e. Beneficial Owner Identification
f. Politically Exposed Person (PEP) verification
g. Account Opening Restrictions
4.2 Timeline for Obtaining KYC
After establishing a commercial connection or conducting any transactions, the customer's KYC can be acquired in the following situations, subject to Branch Manager approval:
a. where the verification can occur as soon as reasonably possible
b. when it is not required to disrupt routine company operations
c. when the hazards of ML and TF are appropriately handled
Before verification, the SuperMyan Remittance Company will implement risk management processes about the terms under which a client may use the business relationship. The processes will comprise a set of measures such as limiting the number, types, and/or amount of transactions that may be executed and monitoring big or complicated transactions that are performed outside of expected norms for that sort of connection.
Regardless of the preceding, KYC must be acquired before account opening/transaction in the following circumstances:
a. If the customer is a high-risk Politically Exposed Person (PEP) or a family member or cousin of a PEP.
b. If the customer or transaction appears suspicious and is of substantial value.
4.3 Know Your Customer for a High-Risk Account
SuperMyan Remittance Company must determine if clients, beneficial owners, and future consumers are high-risk customers. The AML/CDD mechanism must include a risk management mechanism for High-Risk customers. In the event of local/international consumers with substantial authority, PEPs, clients of foreign organizations operating high-risk operations, or nationals who are high-risk customers, the following requirements must be met:
a) Prior approval of the respective Branch Manager is required before establishing a business relationship;
b) If an existing customer falls under the category of high-risk customer, approval as per clause (a) above must be obtained immediately;
c) The SuperMyan Remittance Company shall identify the source of wealth/fund of the high-risk customer or beneficial owner;
d) Ongoing monitoring of the business relationship with the customers and their transactions; and
e) Conduct Enhanced Customer Due Diligence (ECDD) of such high-risk
4.4. Enhanced Customer Due Diligence (ECDD)
The SuperMyan Remittance Company must carry out the ECDD under the following conditions:
a) High-risk customers;
b) Customers from high-risk countries and customers from countries that have partially implemented FATF standards;
c) PEPs, their family members, and close associates;
d) Customers who make large-value transactions that are complicated and unnatural in nature, as well as transactions that have no clear financial or legal objective;
e) A customer who has a business relationship or transaction with individuals, companies, or any legal entity that has not followed the FATF standards or who belongs to a high-risk country;
f) A customer using new technology with the potential for ML/TF;
g) A customer suspected of ML/TF; and h. As prescribed by the regulator.
4.5. Provisions regarding KYC of existing customers
When a customer maintains an account and/or makes transactions before the execution of this policy, the customer will be identified, the documents will be examined, and the risk will be graded according to the customer and/or beneficial owner, business relationships, transactions, details about the manufacturing or service, country or geographic region, or the methods of distribution following this policy.
4.6. Beneficial Owner
The ultimate natural person who owns or controls funds, property, or customers—or in whose best interest the transaction is being executed—is referred to as the Beneficial Owner. It also refers to the supreme natural person who rules over or uses such authority over a legal entity or organization. Under the following circumstances, the identification of these beneficial owners must be established as per the AML CDD Procedure:
a. If the transaction is carried out on the actual customer's behalf.
b. If SuperMyan Remittance Company determines that a party other than the genuine customer completed the transaction.
Will the SuperMyan Remittance Company open an account only when the beneficial owner can be identified? Relationships with individuals or entities can only be established if the SuperMyan Remittance Company can identify the beneficiary owner or the client can supply the beneficial owner's details.
4.7. Know Your Employee (KYE)
According to the CBM Directive, SuperMyan Remittance Company must have procedures that reasonably guarantee the identification and honesty of potential and current employees and their integrity. The human resources department must include the KYE regulations in the hiring process, and employee KYE must be routinely checked.
5. PREVENTION OF MONEY LAUNDERING (ML)/TERRORIST FINANCING (TF)
This policy protects SuperMyan Remittance Company against the ML/TF risk. SuperMyan Remittance Company is dedicated to abiding by all applicable national AML/CFT laws and regulations. SuperMyan Remittance Company shall, if appropriate, employ worldwide best practices in addition to the AML-CFT regulations currently in effect in the nation. Senior Management is fully dedicated to implementing the policies and procedures required by the CBM Directives/Circulars, Regulations and Rules, and AML-CFT Law. Senior Management will also arrange for the Financial Institution's policies and procedures to be implemented and monitor and control risk resulting from money laundering and terrorist financing activities in the institution's day-to-day operations and business dealings. With the new technology;
a) SuperMyan Remittance Company must evaluate the risk of money laundering and terrorist financing associated with new technologies, non-face-to-face transactions, and business processes within the Financial Institution.
b) Risk assessment in the aforementioned situation must be completed before introducing such new technology, business practices, or distribution systems.
c) Before integrating such new technology into the Financial Institution, SuperMyan Remittance Company shall establish appropriate procedures for managing risk from the above process.
d) SuperMyan Remittance Company must create a process to reduce the risk of customer transactions that don't occur in person.
6. RISK ASSESSMENT
a) For risk assessment, SuperMyan Remittance Company will examine the customer profile in light of the following factors: country of origin, geographic location, type of business, occupation, customer type, service or product, transaction, and delivery methods.
b) After obtaining the national risk assessment report, SuperMyan Remittance Company must also abide by its basis or the risk assessment made by the regulatory authority.
c) SuperMyan Remittance Company will use section (a) above to determine the risk grade.
d) When necessary, by the authorized body, SuperMyan Remittance Company shall report the assessment, record it, and submit it to the regulatory body if needed.
e) Depending on the customer's risk tolerance, SuperMyan Remittance Company will assign them to one of three groups (High, Medium, or Low).
6.1. The Risk Management Process
The Risk Management Process includes the following:
(a) Identification
(b) Measuring
(c) Controlling
(d) Monitoring
(e) Mitigation
a) Identification
The first stage of risk management is identification. These risks stem from a variety of sources, including
(1) customers,
(2) products and services,
(3) delivery channels, and
(4) geographic regions and markets.
b) Measuring
It is equally important to measure or quantify risk in addition to detecting it. As a result, develop procedures and mechanisms to assess the quantum of each type of ML/TF concerning the predicted duration of such risk.
c) Controlling
Developing clear lines of authority and reporting lines and duties is crucial to a risk-control structure. Effective risk management also depends on the organization's capacity to communicate its rules, processes, and restrictions to all personnel and business units engaged in managing ML/TF risks.
d) Monitoring
Create effective systems for continuously monitoring risk exposures and the effectiveness of risk management systems and procedures. As a result, SMR are expected to have Management Information Systems (MIS) that track ML/TF risks and changes in exposure.
e) Monitoring
If the procedures are followed successfully and consistently, the mitigation of ML/TF risks will be reduced.
6.2 The Risk Management Framework
The Risk Management Framework encompasses the following measures:
a) Governance for AML
b) Board of Directors
c) Senior Management
d) The Risk Management Function
e) Policies and Procedures
f) Internal Controls
g) The Compliance Function
h) Risk Monitoring and Reporting
i) Training
7. SUSPICIOUS AND LARGE VALUE TRANSACTION
This document section aims to draw attention to large-value and suspicious transactions. SuperMyan Remittance Company will reject any transaction if, after considering the customer's explanation and further data, there are reasonable grounds to believe that the funds are not from a legitimate source or will be used for illicit purposes like human trafficking or terrorism. When identifying transactions that appear suspicious, SuperMyan Remittance Company must apply reasonable judgment.
Before transactions are considered suspicious, it is essential to determine the customer's identity concerning his declared norms of dealings, services, etc. Therefore, taking a cautious approach throughout the process is crucial. SuperMyan Remittance Company will never notify a consumer that a report is being made about his transactions or if they are deemed suspicious. SuperMyan Remittance Company will promptly notify the Financial Intelligence Unit (FIU) through ACO/CO of any proposed or suspicious transactions.
Within the deadline, SuperMyan Remittance Company must disclose suspicious and large-value transactions. In the following situations, SuperMyan Remittance Company is required to report upon discovering any questionable client, transaction, or property:
1. If there is any reason to suspect that there may be charges against someone for money laundering, terrorism financing, or any other offense.
2. If an individual or organization is thought to be connected to terrorist activities through financing or a member of a terrorist organization.
Reporting suspicious transactions is mandatory even if no attempt is made to carry out transactions linked to money laundering or terrorist activity. The AML/CDD Procedure shall provide further provisions for suspicious transactions, the format for reporting suspicious transactions, and the reporting methods and procedures.
8. TRANSFER VIA WIRE
A wire transfer is one way to send electronic money from one person or organization to another. One can wire transfer from one country to another or from one SuperMyan Remittance Company account to another within that nation's borders. Wire transfers are a safe way to move money from one place to another because they don't entail moving money. The AML/CDD Procedure must specify specific AML precautions for wire transfers.
9. SHELL AND CORRESPONDENT SUPERMYAN REMITTANCE COMPANY
9.1. Correspond
Understanding the nature of the correspondent's business, its operating license, the caliber of its management, ownership, and effective control, its AML policies, external oversight, and cautious supervision, including its AML-CFT regime, are just a few of the risk-based due diligence procedures that SuperMyan Remittance Company must put into place. When creating a SWIFT Relationship Management Application (RMA) with any correspondent SuperMyan Remittance Company, SuperMyan Remittance Company must perform the necessary due diligence.
Furthermore, continuous due diligence on correspondent accounts must be carried out regularly or whenever conditions alter. Financial Institution policies also prohibit us from providing payable-through or pass-through accounts. The Financial Institution's senior management must authorize any new correspondent SuperMyan Remittance Company ing arrangements.
9.2 Shell SuperMyan Remittance Company
A SuperMyan Remittance Company is not physically present in any nation is known as a shell SuperMyan Remittance Company or business. SuperMyan Remittance (SMR) cannot do business with shell companies or SuperMyan Remittance Companies.
9.3. Account and Transaction Monitoring
The Financial Institutions must follow the following procedures to conduct ongoing due diligence on their clients, beneficial owners, or transactions:
a) Verify that the transaction has been completed by providing the description of the business and the risk given to SuperMyan Remittance Company until the connection ends, and if required, obtain information about the source of revenue.
b) Review and update the records to ensure the data and documentation about Politically Exposed Persons (PEPs) are current.
c) Regularly inspect customer relationships and cross-border wire transfers via correspondent SuperMyan Remittance Company.
d) Additional duties as directed by the regulating body.
In the event of the aforementioned transactions, investigations will be conducted, and records will be maintained.
10. REPORTING RELATED TO AML-CFT
SuperMyan Remittance Company must notify the FBI if CO believes, or has good reason to believe, that monies are being used to finance terrorism or are the proceeds of criminal activity. It is forbidden for concerned employees to reveal to the FIU that a Suspicious Transaction Report (STR) or relevant information is being filed. The AML/CDD Procedure of SuperMyan Remittance Company will detail the steps involved in raising the STR and reporting to the FBI. Additionally, SuperMyan Remittance Company must produce TTRs (Threshold Transaction Reports) and other AML-CFT-related reports and submit them to the FIU or regulator upon request.
11. PROVISIONS REGARDING RESTRICTION IN TRANSACTIONS
It is forbidden to continue doing business with or deal with the following types of customers:
a) The customer must submit the required paperwork and information for their identification using the AML/CDD procedure.
b) A consumer whose identity was unclear based on the information and specifics collected from them.
c) The beneficiaries' identities are unknown.
d) Determining the commercial partnership's goal or intended nature is impossible.
The business relationship must end if any of the current clients violate the terms above. If SuperMyan Remittance Company cannot secure the necessary KYC, it should not open the account, initiate business dealings, complete the transaction, or continue the commercial connection. It should also consider reporting any suspicious transactions involving the customer.
12. RETENTION OF RECORDS
The following data must be kept on file by the financial institution:
a) Copies of all records acquired during the customer due diligence process;
b) Records proving the identities of customers and beneficial owners, account files, and business correspondences, retained for a minimum of five years following the conclusion of the business relationship or the completion of a transaction with a customer for whom the SuperMyan Remittance Company does not have an established business relationship;
c) All records of attempted or completed transactions, whether domestic or foreign, kept for a minimum of five years after the attempt or completion of the transaction. These documents have to be specific enough to allow for the reconstruction of every single transaction and
d) Copies of such reports and associated paperwork to the Financial Intelligence Unit for a minimum of five years following the date of the report.
13. CONFIDENTIALITY OF CUSTOMER INFORMATION (TIPPING OFF)
Employees of SuperMyan Remittance Company are not permitted to give other customers or unauthorized individuals access to customer information, including reports, documents, records, statements, and other data prepared or kept under the AML-CFT Law, Regulations, and Rules, and CBM Directives/Circulars. The relevant employees will take every safety measure to prevent the disclosure of such private information. It is illegal to tip someone off.
14. POLICY COMPLIANCE
14.1 Employee Training Program
Business units that supply goods and services that comply with legal standards must provide training. Employees working in customer-facing departments, remittance departments, SWIFT departments, etc., of SuperMyan Remittance Company must be periodically trained and reminded on how to spot suspicious activity and report it. The relevant staff will be informed of any changes to the AML-CFT legislation or any new concerns.
In addition to the aforementioned, staff training ensures that all staff members get AML/CDD training through internal or external channels.
14.2 Amendment to the Policy
This Policy shall be interpreted following the AM/CFT Act, national regulations, and CBM and FIU circulars and directives. Should any clause, subclause, or section of this policy conflict with the laws of the nation, the laws of the country shall prevail to the extent of the conflict.
This Policy is up for review every year. A distinct AML/CDD procedure developed by the SuperMyan Remittance Company and implemented following board approval will exist.
14.3 Compliance Measurement
CO, or the designated officer, will use various techniques, including tools, reports, internal and external audits, and feedback to the policy owner to ensure compliance with this policy. Programs for audits and compliance testing of this Policy and operational procedures relevant to AML shall be carried out by SuperMyan Remittance Company auditors. A risk-based approach defines the frequency and scope of audits and compliance tests, with higher-risk units and processes undergoing more frequent audits and testing.
Similarly, the AML-CFT Unit or Compliance Department may perform an assurance review in a sample of branches or departments to test the policy's compliance.
14.4 Non-Compliance
Employees determined to have broken this policy may face disciplinary action by the current Employee Handbook's guidelines.
14.5 Exceptions
Any deviation from this policy must be approved by SuperMyan Remittance Company management and confirmed by CO.