Regulatory Issues

Money laundering refers to the use of banking and other financial institutions, and any other institutions in the deposit and transfer of funds derived from criminal activity. Criminals launder money in order to disguise the identity of its source. Rapid technological advancement and the increased integration of the world’s financial systems have enhanced the ease with which criminal money can be laundered. On the other hand, the identification and tracking processes have been complicated.

The internal audit function is an integral component of sound corporate governance and risk management practices in banks. It is part of the ongoing monitoring of controls which provides an independent assessment of the adequacy of, and compliance with the bank's established policies and procedures. As such, the internal audit function assist the board and management of the organization in the effective discharge of their responsibilities.

The following amendments are hereby made to the Corporate Governance Guideline: The definition of “Independent Non-Executive Director” in clause 4.2. of the Guideline is amended by deleting the definition and substituting the following wording:……..