Compliance control
This is how we make our bank secure
What is compliance
It is an important part of bank's operations — examining whether the bank and its clients follow all the required laws, regulations, rules and policies, both internal and external (state and international).
Why we need compliance
What does compliance do
Examining
01.Training
02.Implementing
03.How we check our clients
In the terrorists and suspicious persons lists, sanctions lists
Clients' participation in operations of prohibited or high-risk countries and territories
Suspicious transactions, purchases and sales of sanctioned goods and services
Bank checks
Opening bank accounts offline only at the bank branch
Only in person, prohibited by proxy
Required documents:
Required documents:
IIN of a non-resident (passes automatic verification at the State Revenue Committee of the Republic of Kazakhstan)
Application form with contact details, citizenship, residence, residential address
Mandatory compliance checks:
- International sanctions lists
- Analysis of counterparties
- History of relationship with the bank
- List of terrorists and suspicious persons
- Foreign politically exposed persons
- Verification of activities, business reputation
- Origin of funds
- List of people involved in arms proliferation
- Verification on prohibition on opening an account
- List of unreliable taxpayers, presence of tax debts
In regard to the residents of the Russian Federation and the Republic of Belarus screening of international transfers is carried out in order to prevent the purchase of sanctioned goods/services
Technologies that help us check
We use an AML (Anti Money Laundering) module by Prime Source.
This is an automatization software of financial monitoring and risk management in accordance with the legislation on combating the legalization (laundering) of proceeds from crime and the financing of terrorism.
In order to improve the quality of our checks, we are always improving the system in terms of enrichment with modules. For example, we are now implementing a module using machine learning to increase the speed and quality of checks for suspicious transactions.
The system allows us to:
- Conduct automatic checks by lists of international sanctions, terrorists and extremists
- Calculate risk levels and assign risk ratings to clients
- Detect and respond to threshold and suspicious transactions in a timely manner
- nteract via a secure communication channel — report suspicious transactions, exchange additional requests and files
- Form management and regulatory reporting
Bank audit
Government agency
Agency of the Republic of Kazakhstan for the Regulation and Development of the Financial Market (ARFRM).
Subject of inspection
- Compliance with international sanctions.
- Compliance with the legislation of the Republic of Kazakhstan on "The Law On Counteraction of Legitimization (Laundering) of Incomes Received by Illegal Means, and Financing of Terrorism"
- Capital adequacy and structure inspection.
Date of inspection
June-July, 2022
The verification processes
Conclusion of the inspection
As a result of the inspection regarding compliance with LCL/FT legislation and international sanctions, no violations were found. Hence, the regulatory authority did not impose any fines, sanctions, or other control measures on the bank.
Laws we follow
“The Law On Counteraction of Legitimization (Laundering) of Incomes Received by Illegal Means, and Financing of Terrorism”
In order to reduce the level of such criminal activities as money laundering, terrorist financing, weapons proliferation, the world community and all countries are developing and introducing special laws.
“The Law On Counteraction of Legitimization (Laundering) of Incomes Received by Illegal Means, and Financing of Terrorism”
In order to reduce the level of such criminal activities as money laundering, terrorist financing, weapons proliferation, the world community and all countries are developing and introducing special laws.
International sanctions
Our bank is not only a participant in international relations, but also part of a large international holding company Freedom Holding Corporation. Therefore, we strictly and fully comply with the prohibitions and restrictions of the sanctions of the United Nations, the European Union, the United States and other leading countries of the world.
Our bank is not only a participant in international relations, but also part of a large international holding company Freedom Holding Corporation. Therefore, we strictly and fully comply with the prohibitions and restrictions of the sanctions of the United Nations, the European Union, the United States and other leading countries of the world.
About SWIFT transfers
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Q&A
What license does the bank have?
How often does the bank undergo ARFRM inspections?
Do auditors from other countries check the bank's work?
How does the verification of SWIFT transfers change depending on the geopolitical situation in the world?
What does the bank do if a client accidentally ends up on the list of terrorists?
Which clients undergo compliance control checks?