Non-financial businesses, including gold and real estate, will have to send reports of transactions they deem suspicious to the central bank from now onwards as part of the government’s efforts to combat money laundering and terrorism financing.
Bangladesh Bank yesterday issued a guideline to be applied by all real estate developers, business firms dealing with valuable metals and stones, trust and company service providers, lawyers, notary and other law professionals and accountants.
For instance, if a real estate developer becomes suspicious of the buyer’s source of money, it would immediately have to send the transaction’s report to the central bank.
The guideline, which was prepared in light of Anti-money Laundering Act, 2012 and Anti-terrorism Act, 2009, will be available in the website of the central bank and has been sent to the presidents of the concerned businesses and professional organisations.
News:The Daily Star/02-Nov-2013
BB move to ensure good governance in banks Guidelines for chairmen, CEOs, boards of directors issued
The central bank has taken a move to ensure good governance in the country's banking sector through updating responsibilities and formation of banks' boards of directors, officials said.
The Bangladesh Bank (BB) issued three circulars in this connection Sunday and asked chairmen and chief executive officers (CEOs) of all the banks to comply with the existing rules and regulations in line with the Bank Company Act (Amended) 2013.
Under the latest moves, the banks have been asked to form risk management committees along with the existing executive and audit ones to minimise fraud and forgeries in the banking sector.
The BB has specified the terms of reference and responsibilities of the committees to ensure accountability and transparency of the banks' management.
"We've taken the measures to protect the interest of depositors through establishing good governance in the banking sector," SK Sur Chowdhury, deputy governor of the BB, told the FE.
He also said the central bank has issued the circulars in line with the Bank Company Act (Amended) 2013 to ensure corporate governance in the bank management.
The central bank said prior approval will be sought from the BB for appointment of new directors of the banks excepting the specialised ones.
Currently, there are more than 600 directors in the commercial banks.
A meeting of the Board of Directors can be held once in a month, but it can be more if necessary. However, at least one board meeting has to be held in three months, according to the circulars.
Regarding responsibilities of the chairmen of the boards of directors, the BB said the chairman of the board or chairman of any committee formed by the board or any director does not personally possess the jurisdiction to apply policymaking or executive authority. Therefore, he will not participate in or interfere into the administrative or operational and routine affairs of a bank.
The CEO will ensure compliance of the Bank Company Act, 1991 and/or other relevant laws and regulations in discharge of routine functions of the bank.
"The CEO shall report to the Bangladesh Bank of issues violative of the Bank Company Act, 1991 or of other laws/regulations and, if required, may apprise the board post facto," the BB said.
Besides, the BB issued a unified policy for the banks in appointing their advisors and consultants contractually.
Under the new rules, former director, chief executive officer or any other officer of the banks cannot be appointed as the advisor or consultant of the same banks contractually immediately after their retirement or termination.
However, they can be appointed as advisor or consultant of the same bank after passing one year from the date of their retirement or termination.
The map includes geographic information of bank branches, ATMs, agents, and other financial access points across the country. Bangladesh Bank Governor Atiur Rahman launched the web portal.
This project was sponsored by the Bill & Melinda Gates Foundation, facilitated by BB and Microcredit Regulatory Authority,
and implemented by a specialist firm Brand Fusion who hired local data collectors to go around Bangladesh over a six-month period earlier this year.
Speaking on the launch of the programme Atiur said the map would help us to generate information and analyse the financial access points and would eventually be a great value to the commercial sector.
“This new tools can complement our new Integrated Supervision System which is our new electronic portal which allows us to monitor many aspects of the financial sector both at the aggregate macro level as well as zoom into branch level data,” the governor said.
Besides, he said this new financial mapping tool to be used by both BB and the Microfinance Regulatory Authority (MRA) in making balanced and sound policy and regulatory decisions.
For example BB staff can use this when giving bank branch permissions and also when determining the appropriate balance of branch, ATM, agent and other point of service.
AMM Farhad, Managing Director (CC) of SIBL, seen at a training course at the bank's training institute in Dhaka recently.
Social Islami Bank Limited (SIBL) organised a training course on "Foundation Course in Banking for Probationary Officer" at the bank's training institute in Dhaka recently.
AMM Farhad, Mana- ging Director (Current Charge) of SIBL, inaugurated the course as chief guest, said a press release.
Md Yunus Ali, Deputy Managing Director of the bank, and Divisional Heads of the Head Office attended the function.
Sheikh Abdul Hye Bacchu, Chairman of the Board of Directors of BASIC Bank Limited, inaugurates the 64th branch of the bank at Elenga in Tangail on Saturday.
The 64th branch of BASIC Bank Limited was inaugurated at Elenga in Tangail on Saturday.
Sheikh Abdul Hye Bacchu, Chairman of the Board of Directors of the bank inaugurated the branch as chief guest, said a press release.
Md Anwarul Islam, FCMA, Director, Fazlus Sobhan, Kanak Kumar Purakayastha, Deputy Managing Directors, high officials of the bank and local elites were present on the occasion.