资源描述
2July2010VictorMatafonov,GroupHeadofSystemsandMonitoring,FinancialCrimeRiskMartinRowlandsGroupSanctionsAdviser2July2010VictorMataIntroductionsanctionscompliancerolesVictorMatafonovGroupHeadofSystemsandMonitoring,FinancialCrimeRiskSetsstandardsforoperationofGroupsscreeningsystemsOverseesdeploymentofscreeninglistsEnsuresystemsusershaveproperguidanceAssuranceMartinRowlandsGroupSanctionsAdvisorMaintainsGroupPolicyandProceduresTrainingGeneraladviceandinternalreportingTransactionaladviceRegulatoryrelationships2IntroductionsanctionscomAgendaIntroductionNatureandimpactofsanctionsSanctionscomplianceinbanksCompliancechallengesSystemselectionprocess3Agenda3IntroductiontoStandardCharteredBank(SCB)4Introductionto4Establishedforover150yearsDualprimarylistedLondon,HKTop15ofFTSE100companiesRegulatedbyFSA73,800employees,125nationalities75countriesandterritoriesIncome$15.2b,PBT$5.1b,Assets$435bAmericanExpressBankacquiredFeb08KeyfactsFocusonAsia,AfricaandtheMiddleEast*Based on Final Results 2009OurBusinessConsumerBankWholesaleBank5Establishedforover150yearsInternationalProfile6FocusonAsia,AfricaandMiddleEastInternationalProfile6FocusonInternationalsanctionsNatureandimpactofinternationalsanctions7Internationalsanctions7InternationalsanctionsSanctionsaremeasuresimposedbygovernmentstodepriveacountry,organisationorindividualof:Financialand/oreconomicassetsThebenefitoftradeEconomicinteractionwiththecountryorcountriesimposingorimplementingsanctions8Internationalsanctions8InternationalsanctionsUSsanctionsagainstnamedparties,andagainstsixcountries(Myanmar/Burma,Cuba,Iran,NorthKorea,Sudan,Syria)UKsanctionsagainstnamedparties9Internationalsanctions9InternationalsanctionsUnitedNationssanctionsEuropeanUnionsanctionsOthercountrysanctionsagainstnamedcountriesorparties,e.g.countryboycottsofIsrael;countrysanctionsagainstnamedparties10Internationalsanctions10ImpactofsanctionsCriminaloffencescorporateentitiesindividualsRegulatoryand/orcriminalfinesRegulatoryreviews,auditsandenforcementactionsLicenceissuesReputationalimpact11ImpactofsanctionsCriminaloImpactofsanctionsSanctionsremainapriorityformajorregulators:UK:FSAApril2009thematicreviewonUKsanctions:“We expect firms to implement more effective systems and controls.”US:CreditSuisseDecember2009$536mfineoverIransanctions;ABNAmroMay2010additional$500mfine.SanctionscomplianceremainsatoppriorityinSCBsComplianceandAssuranceagendafor2010,whichprojectsfurtherenhancementstotheGroupssanctionscomplianceprogramme.12ImpactofsanctionsSanctionsOurapproachtosanctionscomplianceContinuousimprovementapproachActivelyseekingopportunitiestoenhanceprocessesOngoingbenchmarkingCommitmenttoremainatindustrybestpracticeIntegralpartoftheGroupssustainabilityprogramme13OurapproachtosanctionSanctionscomplianceSanctionscomplianceinbanks14Sanctionscompliance14SanctionscomplianceprogrammeAcomprehensivesanctionscomplianceprogrammeincludesthefollowingelements:IPoliciesandproceduresIITrainingandawarenessIIIAutomatedscreeningsystemsIVManagementinformationandAssuranceVGovernanceandoversight15SanctionscomplianceprogrammeComplianceprogrammeobjectivesIPoliciesandProceduresMaintaininlinewithchangingregulationandindustrybestpracticeContinuouslyimproveclarityandeaseofuseIITrainingandAwarenessRaiseawarenessofsanctionscompliancerisksImprovethetechnicalunderstandingoftargetedstaff16ComplianceprogrammeobjectiveComplianceprogrammeobjectivesIIIAutomatedScreeningSystemsOngoingimprovement:effectivenessandoperationalefficiencyAlignscreeningcapabilitieswithchangingbestpracticeMaximisestandardisationacrosstheGroupIVAssuranceMaintain/improveframeworkofcontrols,managementinformationandassuranceVGovernanceandOversightDevelopanddrivesanctionscompliancestrategyEnsureeffectivemanagementoversightmaintained17ComplianceprogrammeobjectiveSanctionscomplianceprogrammeIPoliciesandProcedures18Sanctionscomplianceprogramme19PoliciesandProceduresGroupSanctionsPoliciesGroupProceduresCountryProceduresOperationsProcedures(tradeandpayments)UnitOperatingInstructions19PoliciesandProceduresGrouPoliciesandProceduresPolicyandProceduresapplyglobally(subjecttodispensations)ClearruleswhichdescribetransactiontypespermittedandprohibitedClearresponsibilitiesforadvisingOperationalproceduresfocussedonkeyriskareasthosewhichmakepaymentsorreleaseassets20PoliciesandProcedures20PoliciesandProceduresGroupSanctionsPolicyCountrySanctionsProceduresandUSPersonsProcedureProceduresconcerningdealingswithnamedsanctionedpartiesUSsanctionedpartiesUKsanctionedparties21PoliciesandProcedures21Policiesandprocedures-challengesClarityandsimplicityinproceduresProhibitionofattemptstocircumventsanctionsEscalationprocessInternalreportingofanydeparturesfromproceduresandpreventivesteps22PoliciesandprocedureschalSanctionscomplianceprogrammeIITrainingandAwareness23SanctionscomplianceprogrammeTrainingandawarenessSanctionselementsintrainingforbasicbankingprocesses(e.g.accountopening)SanctionscomponentsinFinancialCrimeRiskrelatedtraining(e.g.AntiMoneyLaunderingeLearning)Periodicsanctionsspecifictrainingfortargetgroups:TradeteamsCashManagementteamsCountryHeadsofFinancialCrimeRiskRelationshipManagementteams24TrainingandawarenessSanctioSanctionscomplianceprogrammeIIIAutomatedscreeningsystems(referendofpresentation)25SanctionscomplianceprogrammeSanctionscomplianceprogrammeIVManagementInformation&Assurance26SanctionscomplianceprogrammeManagementInformation&AssuranceMetricsandManagementInformationMonthlyaccountandtransactionscreeningmetrics.CountryFinancialCrimeRiskstafftrackissuestoresolution.ConsolidatednumbersreportedtoGroupFinancialCrimeRiskCommittee.RiskAssessmentandAssuranceKeyControlSelfAssessmenttoensurecompliancewithpoliciesandproceduresintrainingandcustomer/transactionscreening.Ongoingriskassessmentofproductsandservices.Externalbenchmarking.27ManagementInformation&AssurSanctionscomplianceprogrammeVGovernanceandoversight28SanctionscomplianceprogrammeGovernanceandOversightCountryFinancialCrimeRiskteamsCountrymanagementRegionalComplianceHeadCountryoperationsteamsCountrymanagementGroupOperationsGroupFinancialCrimeRiskGroupHead,ComplianceandAssuranceGroupBoard29GovernanceandOversight29SanctionscomplianceprogrammeIIIAutomatedscreeningsystems30SanctionscomplianceprogrammeAutomatedScreeningSystemsAgendaWatchlistsOverviewofscreeningprocesses,workflowsandguidance:nCustomerscreeningnTransactionscreeningContinuousimprovementprocessesChallengesRiskassessmentInitiativesunderwayAssuranceSystemsselectionprocess31AutomatedScreeningSystemsAgeGroupWatchlists-SourcesTheGroupswatchlistsaremadeupofthefollowingcomponents:nExternalvendorprovideddataconsolidatedregulatorylistsandspecialistvalueaddedlistsnExternaldatanotpubliclyavailable(e.g.fromsomeregulatorssuchasSingapore)nInternalGroupwatchlists(i.e.prohibitednames,countrynames,SWIFTBankIdentificationCodes).nInternalcountryspecificwatchlists(e.g.listsofcreditdefaulters,fraudsters,exitedaccountsetc).Byfarthebiggestcomponentisfromtheexternalvendor(i.e.morethan1millionnames).Theyprovideuswithnamesin3broadcategories:AconsolidationofpubliclyavailableregulatorylistsincludingUKHerMajestysTreasury(HMT)list,USOfficeofOfficeofForeignAssetControl(OFAC),UN,EU.AlistingofPoliticallyExposedPersons(PEPs)Alistingofnamesassociatedwithadversemedia32GroupWatchlistsSourcesThe3333GroupWatchlists-UsesGlobalscreeningofpotentialandexistingcustomernamesandselectotherparties(e.g.counterpartiesinTrade,directorsofcorporateentitiesetc)against:nAllGroupwatchlistsGlobalscreeningoftransactions(e.g.SWIFTmessages)against:Globalregulatorylists(i.e.HMT,OFAC,EnhancedOFAC,USPatriotAct).Globalinternallists(i.e.prohibitednames,countrynames,BICcodes)Countryspecificsanctionslists(e.g.MAS,HKMA,UN)3333GroupWatchlistsUsesGl343434OverviewofScreeningProcessesAutomatedscreeningofcustomersandotherparties(e.g.counterparties,directorsorbeneficialownersofcorporateentities,staff,vendorsetc)againsttheallGroupwatchlists:Priortoaccountopeningorundertakingselectedtransactions(e.g.trade)Periodicallytoensureexistingcustomers/otherpartieshavenotbeenaddedtowatchlists.LookingfornameorwordmatchesPreandaftertheeventOutcomesofconfirmedmatches:Rejectnewaccountortransactionapplication.TakeappropriateactiononexistingaccountinaccordancewithGroupCustomerDueDiligence(CDD)/Sanctionspoliciesandprocedures.Amendriskrating.IssueSuspiciousActivityReport(SAR)Automatedscreeningoftransactions(e.g.SWIFTmessages)againstthefollowingwatchlists:Globalregulatorylists(i.e.HMT,OFAC,EnhancedOFAC,USPatriotAct).Globalinternallists(i.e.prohibitednames,countrynames,BICcodes)Countryspecificmandatorylists(e.g.MAS,HKMA,UN)Lookingfornameorwordmatches.Realtimepriortomessagebeingsentoractedupon.Outcomesofconfirmedmatches:Rejecttransaction.TakeappropriateactionontransactioninaccordancewithGroupSanctionspoliciesandprocedures.Amendcustomerriskrating.IssueSAR.Screeningofcustomer/otherpartynamesScreeningoftransactions343434OverviewofScreeningPr353535ScreeningStatistics-GroupCustomerDueDiligence(CDD)screeningataccountopening:Approx.16kregisteredusersacrosstheGroupundertakeapprox.400ksearcheseverymonthaspartofCustomerDueDiligenceprocessesandotherinvestigativesearches.Thisresultsinapprox.52kalerts(potentialmatches)permonthbeinginvestigatedacrosstheGroup.Periodiccustomerscreening:Periodicrescreenoftheentirecustomerbase(approx.15mretailand126kwholesalecustomers)againstallGroupwatchlists.Thisresultsinapprox.160kalertspermonthbeinginvestigatedbyapprox.75staffwithintheChennaiSSCandintherespectivecountries.Transactionscreening:Upto7mpaymentmessagesarescreenedpermonthforsanctionspurposes,generatingupto460kalertspermonthforfurtherinvestigation.Theequivalentofapproximately70fulltimeoperationsstaffareinvolvedinsanctionsscreeningprocesses.353535ScreeningStatisticsGWLMWatchListManagerWLMfeedstwofunctions:AOCAccountOpeningCheckfornewcustomers.CMRCustomerMatchReportforperiodicscreeningofexistingaccountsWLMAOCCMR16,000usersacrosstheGroupaccessAOCtoidentifyhighrisksanctionedandhighrisknamespriortoaccountopeningExternalVendorListsRegulatoryListsPEPs&AssociatesAdverseMediaEnhancedlistsInternalListsGrouplistsCountryListsPeriodicReports(Monthly)arerunpercountrytoidentifynamematchesbetweentheWatchListsandCustomerDatabaseListsofcustomernames(country/business/Group)WLMDatabaseScreeningSystemsUsedCustomerScreening36WLMWatchListManagerWLMAOCSourceCustomer&CounterpartyNamesDataWatchlistManagementAnalysis&ReportingEscalationtoCountryComplianceand/orGroupSanctionsAdvisorReviewofNameMatchesSanctionsScreeningSystemSharedServiceCentre,PaymentOperationsinCountryMessagingSystemReviewofNameMatchesPaymentOperationsinSharedServiceCentre,Chennai,IndiaScreeningSystemsUsedTransactionScreeningandWorkflowAlerts(potentialnamematch)Notificationofrelease/rejectEscalationofalert.37SourceCustomer&WatchlistMaSanctionsGuidanceGFCRPolicies,ProceduresandGuidance38SanctionsGuidanceGFCRPoliSanctionsGuidanceKeyinvestigationsteps39Reviewalertscore,thecloserthescoreto100%thecloserthematch.Comparealertedcustomer/transactiondetailsagainstwatchlistentry.Forindividualcustomers,compareuniqueidentifyinginformationsuchasdateofbirth,passportnumbers,fathersname,countryofbirth,nationality,residenceandotherbackgroundinformation.Forentitycustomers,compareuniqueidentifyinginformationsuchasincorporationdetails(i.e.countryofincorporation,countryofoperation)companyprofileandotherbackgroundinformation.Forpaymentmessagescompareaddressdetailstodetermineifitisthesamepersonorentity.Reviewotherbackgroundinformationonwatchlistentrytoseeifthereisanycommonality.Ifstilluncertaincangobacktocorrespondentbankandaskfordetails.SanctionsGuidance39ReviewSanctionsGuidanceEscalationprocess40OutlinedinAutomatedPaymentScreeningProcedure,GroupNamesScreeningSystemsProcedureandGroupSanctionsProcedure.GroupNamesScreeningSystemsProcedureStepstobetakenifaconfirmedmatchagainstsanctionslist:followtheGroupSanctionsProcedure,informGroupSanctionsAdviserimmediatelyofthenamematchandactiontaken,proceduresrequiretoactasboundbyUKlawunlessthereisaconflictwithlocallaw,inwhichcaserefertoGroupSanctionsProcedure.SanctionsGuidance40Outline41414141ContinuousimprovementSanctionsEnhancementProgrammeInternalInternalAuditBenchmarkingthroughEngagementwithindustrybodiesFSAThematicindustryreviewExternalconsultancyInternalPeriodicpolicyandprocedurereviewsbyGroupSanctionsAdvisor&GroupHeadofSystems&MonitoringIndustryGuidanceBasleCommitteeWolfsbergGroupFATFSR7JMLSG41414141ContinuousimprovemeNameMatchingLogicThereareessentiallytwotypesofnamematchinglogic:Exactnamematchingusedtoperformexactnamematchingagainstmainwatchlistentitiesandaliases.Nonexactnamematching(fuzzymatching)usedtodetectnonexactnamematchesagainstwatchlistentitiesandaliases.Thisincludespartmatches,namevariations,spellingvariationsandpermutations.Specificruleshelpidentifyclosematchesbyeliminatingspaces,specialcharacters,noisewordsorbyaddingsynonyms,noisewordsetc.Nonexactnamematchingincreasestheleveloffalsealerts,thereforesystemsneedtoemploytechniquestoreducethemsuchas“exclusionorgoodguy”lists,noisewordsuppressionetc.42NameMatchingLogicThereareeScreeningSystemTestingandTuningWiththehelpofexternalconsultants,SCBcreatedanindependenttestingteamtoperiodicallytesttheeffectivenessitscustomerandpaymentscreeningsystems.Theteamcreatesdatafilesfromsanctionsliststotestapproximately40differentexactandnonexactnamematchscenarios.Thesearethenrunagainstthebankssanctionsscreeningsystemsinatestenvironmentandtheoutputreviewedtoidentifyareaswherethesystemslogiccanbeenhanced.Thegeneraltrendisthatexactnamematchinginbankshashistoricallybeenworkingeffectively,howeverthelevelofeffectivenessofnonexactnamematchingismuchmorevariedandthereareteststhatrequireimprovement.Workiscontinuingtoimprovetheseresults.43ScreeningSystemTestingandT4444444444SWIFTMessagesTypesScreenedTherearecurrently243SWIFTMessageTypes(MTs)inuseacrosstheindustry.Banksmaynotsubscribetoorusealloftheseandmanyarenotdirectpaymentinstructions.BankshaveeachdecidedforthemselveswhatMTstoscreen.SCBriskassessestheSWIFTMTsusedbythebusinessandcoveredbyitsscreeningsystemsandwiththeassistanceofexternalconsultantscomparesthatlisttoindustrypeers.Asaresultagroupminimum(containingapprox90MTs)hasbeenestablishedandsystemsaretunedtoincludetheseasaminimum.Systemsareupdatedandalignedasandwhenpolicyamended.4444444444SWIFTMessagesType4545454545EvaluationofmessagesrejectedAllbankswillfromtimetotimehavetheirmessagesrejectedbyotherbanks.Itisimportanttomonitorthisandtakeappropriateactiontoavoidcontinuingrejects.Thetrendsthatweareseeingareasfollows:Category%ofrejects1.Bankssystemlogicdidnotdetectahit,whereassystematotherbankdid(e.g.aspellingvariation).52.NodirecthitagainstanyofficialwatchlistonBankssystem.Themessagewaseitherprocessedwithoutstoppingorsubjecttooperatorrelease.Bankbelievesmessagewascorrectlyprocessedbutotherbankhastakenadifferent,morecautiousinterpretation.153.NodirecthitagainstanyofficialwatchlistonBankssystem.Hitagainstotherbanksinternalwatchlistsandmessagerejectedeitherimmediatelyorafterfurtherinvestigation.504.HitagainstofficialwatchlistonBankssystem.Operatormakesthewrongjudgmentorfailstoundertakefurtherinvestigation.30Total1004545454545EvaluationofmessaChallengesinscreeningprocessNeedfordetailedinformationonsanctionedpartiesinsanctionsliststohelpdecisioningofpotentialnamematches(alerts).Needforaccurateanduptodateclientinformationtohelpdecisioningofalerts.Turnroundtimesandclientexpectations.Commonnamesandfalsealerts(e.g.AliKhanonOFAClist)Spellingvariationsandtheriskofmissingtruealerts.46ChallengesinscreeningprocesAlternateSpellingIslamicNamesFirstname-MohdIqbalSurnameAbdAlRahman395 variations for Mohd26 variations for Iqbal227 variations for Abd Al RahmanCourtesy:LanguageAnalysisSystemsInc47AlternateSpellingIslamicNNamevariations/aliasesHotelBookingTraffic ViolationCriminalIntel FileCellPhoneCo.The Name Problem:One Name Many VariationsMustafa Khan OwasiWANTEDMissed at Routine StopMoustafa Kan Elowesse(cultural variation&phonetic variation)Mustaffa Bouasy(cultural variation)Moustafa Abouassi(cultural variation)Mustaffa Kan Owazi(character variation)Mostaffa Ken Abdolwasie(cultural variation&character variation)Moostapha Kanawasi(phonetic variation)Criminal RecordFileCourtesy:LanguageAnalysisSystemsInc48Namevariations/aliasesHotelNameTranslationsTaiwanPhilippinesIndonesiaThailandCambodiaMyanmar(Burma)LaosVietnamHongKongMacauMalaysiaChinaSingaporeTheSameNameacrossSEAsiaCourtesy:LanguageAnalysisSystemsInc49NameTranslationsTaiwanPhilippNameTranslationsTheSameNameinaKoreanTelephoneBookCourtesy:LanguageAnalysisSystemsInc50NameTranslationsTheSameName515151UseofcodesinmessagesChineseCommercialCodelongstandingpracticeusedforofficialandotherpurposes.Nottoconcealidentitybuttoenableaccuratetranslation.Usedtorecorddetailsofremitter,beneficiaryandotherpaymentdetailsinSWIFTmessages.Codecouldbeusedtoconcealnamesofsanctionstargets.Screeningofcodeisachallenge.:72:/REC/CONTINUEORDERINGCUSTOMER/800215791562079414441367/146671082621882765670074515151Useofcodesinmessages525252OngoingRiskAssessmentOngoingriskassessment/benchmarkingagainstindustrytoevaluatecoverageanddeterminenextproduct/channelstoscreen.Sanctionsriskassessmentundertakenwithinputfromthebusiness,operationsandFinancialCrimeRisk(Compliance).Riskassessmentlookingatproduct,countryandcustomer,takingintoaccountscreenability,volumesandvalues.Riskassessmentofwatchliststostoportriggerenhancedinvestigation.525252OngoingRiskAssessmentO535353OngoingRiskAssessmentCountryRiskInherentriskscoredonthebasisof:nregulatoryrequirementtoscreenpaymentsnindustrypracticetoscreenpaymentsndifferencesinlocalasopposedtoGroupsanctionslistsnwhethertherewasasignificantclusterofsanctionedpersonsfromthecountryontheOFAC/HMTlistnreservecurrencystatusnAMLriskExposuretotheriskscoredonthebasisof:whetherTransactionBankinghasinfrastructuretherenetworkbankingpartnershipcountrywhetherBankhasaclearingbusinesswhetherBankclearsforeigncurrency,esp.USDBanksstatusasacashmanagementbankinthecountryvolumesandvaluesoftransactionsthroughBank535353OngoingRiskAssessment5454545454InitiativesunderwayandplannedSystemstuningFinetunesystemstocontinuouslyimprovescreeningeffectiveness,whilstminimisingtheleveloffalsealerts.Sometimesthisrequiresadjustingsystemlogicthresholds,systemenhancementsorlistenhancements(i.e.fuzzyvariationsofwatchlistnames).Extendingscreeningtootherproducts,partynamesandwiderwatchlistsConnectionoftheGroupsglobalTradeFinancesystemstocustomerscreeningsystemstoscreenmoreparties.Screeningpartiesontransactionsagainstwiderwatchliststoidentifyhigherriskpartiesandimproveinvestigationefficiency.ExtendingscreeningtoselecthigherriskdomesticRTGSsystems.WatchlistenhancementsPurchaseofexternalvalueaddedwatchlistsandbuildinginternalwatchlists.InvestigatingthesourcingofwatchlistnamesinnativelanguagetoavoidproblemsofmultiplespellingvariationsofnameswhentranslatedtoEnglish.SystemsupgradesStandardisingandsomeselectupgradingofsystems(e.g.tohelpdealwithChineseCommercialCode).5454545454Initiativesunderwa5555OngoingmonitoringofscreeningeffectivenessandcomplianceIntroducedvalueaddedlist(OFACEnhancementfile)ofkeywordstowatchlistscoveringsanctionedcountriesandassociatedcities,banks,corporates,individuals,PEPsandvessels.AutomationofWatchlistuploadprocesses.AssurancechecksintroducedtoensurethatallthelatestOFAC,UKHMTnotificationsareupdatedinSanctionScreeningsystemsontime.IntroducedKeyControlSelfAssessment(KCSA)checksforcustomerrescreening.KCSAchecksexistinPaymentSystemstocheckthequalityofthealertinvestigation/escalationsanddecisionmaking,performedbythebusiness.IndependentSanctionsScreeningSystemTestingcapabilityestablishedandnowoperational.5555Ongoingmonitoringofscre5656SystemSelectionTransactionMonitoringWatchlistManagementCustomerScreeningTransactionScreening5656SystemSelectionJuly2004GroupAMLProgramestablishedandcommissionedbytheGroupRegulatoryandComplianceCommitteetoselectandimplementfortheGroup:ATransactionMonitoring(TM)solutionforselectedhigherriskcountries(approx1518countries).ASanctionsFiltering(SF)solutionforallpaymentprocessingcentres(46countries).AreplacementfortheGroupsexistingaccount/watchlistnamematchingsystems.CompletedbetweenJulyandDecembe
展开阅读全文