Belfius Stays Ahead of the Game with Ongoing Transaction Monitoring

In its relentless pursuit of combating money laundering and terrorist financing, Belfius has implemented a robust system for transaction monitoring. This ensures that every transaction is subjected to thorough scrutiny, enabling the detection and prevention of suspicious activity.

First Line of Control

At the first line of control, Belfius staff are trained to exercise due diligence on every customer interaction, including:

• Requests for financial transactions
• Payment services
• Investment interviews
• Loan applications

The bank’s relationship managers and compliance team also conduct a thorough review of all transactions submitted to them.

Second Line of Control

The second line of control is an automated risk-based monitoring system that uses high-performance tools supported by the bank’s infrastructure and IT. This system identifies high-risk customers and conducts enhanced monitoring on their transactions.

Embargos and Sanctions Screening Measures

In addition, Belfius has implemented embargos and sanctions screening measures to ensure compliance with international sanctions. The bank maintains a Country Watchlist, which includes:

• Jurisdictions subject to EU export and import sanctions
• US sanctions
• Those considered fiscal paradises by Belgian authorities

Suspicious Transactions Reporting

Belfius has established a clear procedure for reporting suspicious transactions to the Financial Intelligence Unit (FIU). Staff members are trained to identify atypical transactions and report them to the AML team, which then conducts an analysis using a precise methodology. Depending on the outcome of this examination, the bank may decide to:

• Send a report to the FIU
• Terminate business relations with the customer

Procedures and Record Keeping

Belfius has translated its AML/CFT rules into operational guidelines and procedures that are available on its intranet site. The bank also maintains detailed records of:

• Customer identification data
• Transaction information

for at least ten years after the end of the business relationship.

Training and Awareness

To ensure that all staff members are aware of their AML/CFT duties, Belfius has developed a comprehensive training program. This includes:

• Mandatory e-learning course on AML/CFT
• Academic sessions for new branch employees
• Ongoing training and awareness programs to keep staff informed of the latest regulatory developments

Auditing

Belfius’ internal audit team regularly conducts missions and reports on its AML/CFT activities to ensure that the bank is in compliance with all relevant regulations and guidelines.