Elaf Islamic Bank Boosts Compliance with Anti-Money Laundering, Terrorism Financing Rules

Strengthening Operations in Line with International Standards

Baghdad - Elaf Islamic Bank, a leading financial institution in Iraq, has taken a significant step to ensure its operations are in line with international standards and regulations. The bank has revamped its compliance department to effectively implement anti-money laundering (AML), combating terrorism financing (CFT), and non-proliferation of weapons of mass destruction rules.

Enhancing Compliance through Effective Monitoring

The bank’s compliance team is responsible for monitoring and assessing the efficiency of policies, procedures, processes, and systems in place at the institution. The team ensures that basic banking practices such as Know Your Customer (KYC) policies are strictly followed, allowing for customer screening, monitoring, and classification based on risk profile.

• Identifying suspicious activities: The compliance department identifies suspicious activities and alerts management and regulatory bodies.
• Ongoing review and updating: Changes in regulatory guidelines are incorporated into the bank’s procedures and processes through ongoing review and updating.
• Regular training sessions: The compliance team conducts regular training sessions to equip employees with skills to identify suspicious transactions and prevent non-compliance issues.

Independent Audits for Enhanced Compliance

Elaf Islamic Bank undergoes independent audits on a quarterly and yearly basis to ensure its business is compliant with Central Bank of Iraq and international regulatory bodies’ rules on AML, CFT, and non-proliferation of weapons of mass destruction.

Ethics and Compliance Policy

The bank’s compliance policy requires operations to be carried out at all times in conformity with the highest ethical standards, observance of applicable laws and regulations, international best practices, and conventions. The policy also ensures compliance with internal policies, standards, guidelines, and procedures approved by the Board.

FATCA Compliance

In reference to FATCA (Foreign Account Tax Compliance Act), which came into effect on July 1, 2014, Elaf Islamic Bank has declared itself “FATCA compliant” in the status of reporting Financial Institution Single Status under “Model 2 IGA”. The bank’s GIIN (Global Intermediary Identification Number) for FATCA is L7VZ9D.99999.SL.368.

By strengthening its compliance department and adhering to international standards, Elaf Islamic Bank demonstrates its commitment to transparency, accountability, and responsible banking practices.