Control of Compliance and Anti-Money Laundering Activities in the Bank
In line with the national strategy of Serbia for the prevention of money laundering and funding of terrorism, which the bank implements through its internal procedures and activities, ProCredit Bank is firmly committed to combatting money laundering and funding of terrorism.
The Republic of Serbia has enacted laws and by-laws based on directives of the European Union and standards set by the FATF (Financial Action Task Force) designed to combat money laundering and funding of terrorism. As a part of the ProCredit group, the ProCredit Bank is required to adhere to the standards set by ProCredit Holding in this field. Compliance with these procedures and policies is verified by the German regulator, BaFin, and compliance with the Law on the Prevention of Money Laundering and Financing of Terrorism is verified by the National Bank of Serbia.
The complete framework for the prevention of money laundering and funding of terrorism at the bank level comprises the following:
Appointment of an Anti-Money Laundering Specialist
The bank is required to appoint or authorise a specialist and adequate replacements in charge of prevention of money laundering and financing of terrorism at the bank level. Accordingly, each branch is required to appoint or authorise a specialist who will engage in activities aimed at prevention of money laundering and financing of terrorism at the branch level.
“Customer Due Diligence” approach
The bank has adopted the “Know Your Customer” procedure which aims at customer categorisation according to individual risk levels.
Risk classification of customers
The bank has carried out a risk classification of its customers in order to assess the risks of money laundering, terrorism financing and criminal activities, and it is conducting monitoring accordingly.
Transaction and customer monitoring
In order to detect potentially suspicious activities, the bank uses an IT system established by ProCredit Holding. SIRON software offers an IT solution which enables monitoring of transactions and customers, as well as the verification of all individuals on sanctions lists.
Suspicious customer reporting
ALM Specialists report suspicious customers and transactions to the Anti-Money Laundering Administration in all situations when there is a risk of money laundering and terrorism financing.
Staff training and anti-money laundering awareness
One of the most important mechanisms in the effort to fight money laundering and funding of terrorism is regular staff training for the purpose of raising awareness of the risk of money laundering and terrorism funding and methods for combatting such activities.
Establishing business co-operation with customers
In the interest of combatting money laundering and funding of terrorism, the bank verifies a customer’s identity before opening an account or commencing any other type of business with a customer, and requires certain documents about the customer and the origin of his/her assets.
ProCredit Bank does not open anonymous accounts, does not co-operate with fictitious legal entities and shell banks.