According to the Financial Action Task Force, financial institutions should be required to implement:

The correct answer is D. group-wide programs, including policies and procedures regarding AML compliance. According to the web sources I found, FATF Recommendation 18 requires financial institutions to implement group-wide programmes against money laundering and terrorist financing that include policies and procedures for sharing information within the group for AML/CFT purposes…

Compliance Standards (International AML/CFT Standards and the role of FATF)

Question

Options

Aspecial procedures for encryption of information to be exchanged with affiliates and branches.
Bindependent AML programs to ensure privacy and safeguard confidential information.
Ca process to designate an officer at a senior level who ensures a safe exchange of information for
Dgroup-wide programs, including policies and procedures regarding AML compliance.

How the community answered

(59 responses)

A
3% (2)
B
14% (8)
C
8% (5)
D
75% (44)

Explanation

According to the web sources I found, FATF Recommendation 18 requires financial institutions to implement group-wide programmes against money laundering and terrorist financing that include policies and procedures for sharing information within the group for AML/CFT purposes. These programmes should also include compliance management arrangements, screening procedures for hiring employees, an independent audit function and ongoing employee training.

Topics

#FATF recommendations#group-wide programs#AML compliance#information sharing

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