Financial Institution Compliance Officers in Turkey Take Strong Stance Against Money Laundering and Terrorist Financing

Turkish Bank A.Ş., one of the country’s leading financial institutions, has announced the development of a comprehensive compliance program to prevent money laundering and combat financing of terrorism. The program was approved by the bank’s board and is being implemented across all branches and financial subsidiaries.

Program Implementation

• Turkish Bank A.Ş. has assigned a Compliance Officer (MLRO) and established a Compliance Unit responsible for coordinating and overseeing anti-money laundering efforts.
• The unit will work closely with Turkey’s Financial Intelligence Unit (FIU) to ensure that all necessary communication and coordination takes place.

Key Policies and Procedures

• Identification of clients and proxies
• Detection of beneficial owners
• Risk assessment of customers based on geographic, business/activity, product and service, and flagging criteria
• Enhanced due diligence for high-risk clients, including Politically Exposed Persons (PEPs) and their families and close associates, requiring senior management approval

Sanction and Embargo Lists Screening

• Turkish Bank A.Ş. will screen client names and transactions against sanction and embargo lists provided by domestic and international competent authorities
• Prohibition of direct or indirect accounts with shell banks and companies engaged in business activities related to weapons of mass destruction

Monitoring and Reporting

• Regular monitoring and controlling activities to detect unusual and potentially suspicious transactions
• Reports to Turkey’s Financial Investigation Board (MASAK) for any suspicious activity
• Records and documents will be kept for at least ten years, with client information reviewed and updated on a risk-based approach

Staff Training

• Yearly planned training activities for staff under the supervision of the compliance officer, covering topics such as:
  • Money laundering
  • Terrorist financing
  • Relevant legislation

Compliance Program Monitoring

• The bank is required to submit institutional policies and amendments to MASAK within thirty days of any changes
• Notification of policy updates to all related staff members by obtaining their signatures
• Efficiency and execution of the compliance program are regularly monitored by internal or independent external auditors, as well as public auditors authorized by MASAK

For more information on Turkish Bank A.Ş.’s money laundering prevention measures, contact a.cakir@turkishbank.com.