CGD and BNU Timor Implement Stringent Anti-Money Laundering and Counter-Terrorism Financing Measures
Complying with Domestic Laws
Banco Comercial Português (CGD), one of the largest banks in Portugal, has taken significant steps to ensure that its operations comply with domestic anti-money laundering and counter-terrorism financing (AML/CTF) laws. The bank’s East Timor branch, BNU Timor, has also adopted similar measures.
Internal Policy Requirements
According to a statement released by CGD, its internal policy requires branches and majority-owned subsidiaries in third countries to implement measures equivalent to those laid down by Portuguese law. This includes:
- Identification
- Due diligence
- Correspondent banking
- Record-keeping
- Training
BNU Timor’s AML/CTF Measures
BNU Timor, the East Timor branch of CGD, has implemented AML/CTF policies and procedures that are compliant with Head Office internal policy and local laws and regulations in force in the Democratic Republic of East Timor. These measures include:
- Customer due diligence
- Politically Exposed Persons (PEPs) screening
- Anonymous account blocking
- Record-keeping for seven years
- Monitoring of suspicious activities
- Reporting of suspicious transactions to the Financial Intelligence Unit
- Employee training programs
- Independent audit and compliance review functions
Risk-Based Due Diligence Procedures
The bank has also implemented risk-based due diligence procedures for correspondent banks, including:
- Understanding their business nature
- License to operate
- Management quality
- Ownership
- AML/CFT regime
Additionally, BNU Timor does not conduct business with shell banks or provide payable-through accounts.
IT Solutions and Sanctions Policy
The bank has an IT solution to filter all inward and outward payments against UN, EU, and OFAC proscribed lists. It also has a sanctions policy in place to ensure that it does not establish or maintain relationships with persons, entities, or sanctioned countries. The bank’s sanctions policy is available on its website.
Compliance Principles
BNU Timor follows the principles contained in the Wolfsberg AML Questionnaire and makes its questionnaire available online. Under the Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism (USA Patriot Act) Act 2001, CGD may be required from time to time to provide Certification Regarding Accounts for Foreign banks.
Conclusion
The bank’s commitment to AML/CTF compliance is evident in its robust policies and procedures, which aim to prevent money laundering and terrorism financing.