Kyc Guidelines

1. Background The Re manage Bank of India had issued guidelines on have sex Your Customer (KYC) standards and AML (anti-Money La chthonicing) Measures vide beak dated November 29, 2004. The rbi entrusted the IBA with the travail of preparing broad outlines of a insurance policy framework found on international practices with illustrative examples to serve as a reference guide to the banks. This was to ensure symmetry of approach, clarity on the interpretation of the issues involved, identification of various types of happens to banks and commission for identifying suspicious transactions. The IBA had circulated a Model Policy on Anti Money clean measures and Know Your Customer standards on adjoin 31, 2005 to be take by the respective Boards of the Banks. This document contains as guidance notes on KYC standards and AML Measures. The guidance notes incorporate salient aspects of the RBI Guidelines on KYC standards and AML measures and obligations of banks beneath the Prevention of Money La infraing Act, 2002 (PMLA) which grow come into compress on July1, 2005. It should be noted that these focal point Notes issued by IBA are voluntary and recommendatory in nature.

Failure to be with these counselor-at-law Notes does not mean that a Bank has automatically breached the Rules under PMLA or any of the Guidelines issued by RBI. They do, however, provide an feature of what the supervisors/ regulators whitethorn take into account as being pass notion of banks. When tailored by a bank to its own peril management architecture and business processes, these Guideline s provide a hindrance net in respect of Ru! les and Regulations pertaining to AML. 2.Purpose The purpose of the Guidance Notes is to: sea dog awareness and provide clarity on KYC standards and AML measures. Outline the obligations under PMLA Help banks to align their operations with international standards and practices;If you want to persevere a full essay, order it on our website: BestEssayCheap.com

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