Regulatory Alerts2020-06-16
Added · Updated
BFIU Circular No. 26: Instructions to be followed by schedule banks for prevention of money laundering, terrorist financing and proliferation financing
The Bangladesh Financial Intelligence Unit mandates that all schedule banks operating in Bangladesh establish a Central Compliance Committee and a dedicated Anti-Money Laundering and Combating the Financing of Terrorism (AML/CFT) department to ensure institutional compliance. Banks are required to implement risk-based customer due diligence (CDD) and enhanced due diligence (EDD) measures, including the identification of beneficial owners, regular transaction monitoring, and the maintenance of accurate customer records. The circular specifies operational requirements such as quarterly committee meetings, semi-annual reporting to the BFIU, and strict prohibitions on anonymous accounts and dealings with shell banks or entities linked to designated persons.