Financial Crime World

COMPLIANCE MEASURES FOR BANKS IN ARMENIA: A COMMITMENT TO ETHICS AND REGULATIONS

Maintaining a Responsible Reputation in the International Financial System

ID Bank CJSC reiterates its commitment to upholding the highest ethical and regulatory standards as a responsible participant in the international financial system. The bank’s stance on compliance is clear: it will not facilitate, directly or indirectly, violations of applicable international sanctions and/or restrictions.

Protecting Clients’ Interests, Safety, and Business Continuity

As a key player in Armenia’s banking sector, ID Bank values and protects clients’ interests, safety, and business continuity above all else. To this end, the bank complies with globally imposed sanctions by the United Nations Security Council, the European Union, the United Kingdom, the United States, and other international sanctions and/or restrictions.

Sanctions Policy

The bank’s Sanctions Policy prohibits any activity that would breach applicable sanctions, resulting in the rejection of transfers/transactions and potential refusal to serve clients who engage in such activities. The policy serves as a deterrent against money laundering and terrorism financing, while also safeguarding the business reputation of ID Bank and its clients.

Anti-Money Laundering (AML) and Counter-Terrorism Financing (CFT) Policy

ID Bank’s AML/CFT Policy is built on the foundation of the Law of the Republic of Armenia on “Combating Money Laundering and Terrorism Financing” and Regulation of the CBA on “Minimum Requirements to Reporting Entities in the Field of Preventing Money Laundering and Terrorism Financing.” The policy’s main objectives include:

AML/CFT Policy Objectives

  • Prevention of the use of ID Bank as a tool for money laundering and terrorism financing
  • Mitigation of possible risks associated with money laundering and terrorism financing
  • Protection of the business reputation of ID Bank and its clients

Measures Included in the AML/CFT Policy

  • Implementation of the “Know Your Customer” principle (including identification of beneficiaries and authorized persons)
  • Customer due diligence
  • Enhanced customer due diligence
  • Daily monitoring
  • Updating customer data
  • Implementation of a risk-based approach
  • Identification of suspicious transactions
  • Submission of mandatory reports on suspicious transactions/business relationships to the Central Bank of the Republic of Armenia
  • Training of employees in AML/CFT principles

Specific Restrictions

ID Bank also adheres to specific restrictions, including:

  • Not opening or maintaining anonymous accounts or accounts in fictitious names
  • Not opening accounts with only numeric, alphabetic, or other conventional symbolic expression
  • Not servicing bearer securities
  • Rejecting transactions if customers fail to provide required documents

Prohibited Transactions and Business Relationships

Additionally, ID Bank prohibits conducting transactions or establishing business relationships involving:

  • Nuclear energy
  • “Red-Light” businesses
  • Marijuana
  • Virtual currencies