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HD Faculty™ requires all
members, participants, special purpose users, and trading houses carrying
on financial business to establish and maintain appropriate internal
control and communication procedures, as may be appropriate, for the
purposes of forestalling and preventing money laundering. |
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| Registered members, participants, special purpose users, and trading houses and their authorized agents, and/or portfolio managers as appropriate are expected to establish clear responsibilities and accountabilities and institute the appropriate internal controls and procedures established through the Money Laundering Compliance Officers on the basis of these Rules, Regulations, and Instructions which deals with the Recognition and Reporting of Suspicious Transactions. |
| All members, participants, special purpose users, and trading houses and their authorized agents, and/or portfolio managers as appropriate operating from the host country should: |
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have procedures for the prompt validation of suspicions and subsequent reporting to the Money Laundering Combating Unit; |
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provide the Money Laundering Compliance Officer with the necessary access to systems and records to fulfil this requirement; and, |
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maintain close co-operation and liaison with the law enforcement agencies. |
| It is recognized that the financial sector encompasses a wide and divergent range of businesses. It is equally recognized that the extent of necessary procedures and controls will also vary in relation to the size and structure of each organization. |
| As good practice, registered members, participants, special purpose users, and trading houses and their nominee financial institutions are recommended to make arrangements to verify, on a regular basis, compliance with policies, procedures and controls relating to money laundering activities, in order to satisfy ConscribNet’s management that the requirement to maintain such procedures has been discharged. Larger financial sector businesses may wish to ask their internal audit or compliance departments to undertake this role, while smaller institutions may wish to introduce a regular review by management. |
| It is important that the procedures and responsibilities for monitoring compliance with and effectiveness of money laundering policies and procedures are clearly laid down by all members, participants, special purpose users, and trading houses and their authorized agents, and/or portfolio managers as appropriate. |
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