Iraq’s Financial Services Regulatory Bodies Strengthen Compliance with Anti-Money Laundering, Combating Terrorism Financing and Non-Proliferation of Weapons of Mass Destruction Rules

Elaf Islamic Bank Achieves Compliance with Regulatory Guidelines

The Central Bank of Iraq has announced that Elaf Islamic Bank has successfully complied with the regulations and guidelines related to anti-money laundering, combating terrorism financing, and non-proliferation of weapons of mass destruction. The bank has also adhered to the principles outlined in MENAFATF and international bodies.

Enhanced Compliance Department

In a bid to ensure effective compliance, Elaf Islamic Bank has revamped its compliance department. This department is responsible for monitoring and assessing the efficiency of policies, procedures, processes, and systems. The compliance team ensures that basic banking practices such as Know Your Customer (KYC) policies are strictly followed, enabling customer due diligence and classification based on risk profile.

Measures to Identify Suspicious Activities

The bank has implemented measures to identify and escalate suspicious activities to management and regulatory bodies. Additionally, it regularly updates its procedures and processes to incorporate changes in regulatory guidelines. The bank also provides regular training to employees on compliance issues, empowering them to identify suspicious transactions and prevent non-compliance issues.

Independent Audits and Compliance Policy

Elaf Islamic Bank conducts independent audits on a quarterly and yearly basis to ensure that its business operations are compliant with Central Bank of Iraq’s and international regulatory bodies’ rules on anti-money laundering, combating financial terrorism, and non-proliferation of weapons of mass destruction. The bank’s compliance policy requires it to operate at all times in conformity with the highest ethical standards and full observance of applicable laws and regulations.

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” under the Model 2 IGA. The bank’s GIIN (Global Intermediary Identification Number) is L7VZ9D.99999.SL.368, as assigned by the IRS (Internal Revenue Service).

Key Takeaways

• Elaf Islamic Bank has achieved compliance with anti-money laundering, combating terrorism financing, and non-proliferation of weapons of mass destruction rules.
• The bank has revamped its compliance department to ensure effective monitoring and assessment of policies, procedures, processes, and systems.
• Measures have been implemented to identify and escalate suspicious activities to management and regulatory bodies.
• Regular training is provided to employees on compliance issues to prevent non-compliance issues.
• Independent audits are conducted quarterly and yearly to ensure business operations comply with regulatory guidelines.