SECTION FIVE

DECISION

OF THE BOARD OF THE CENTRAL BANK OF THE REPUBLIC OF UZBEKISTAN OF THE DEPARTMENT FOR COMBATING TAX, CURRENCY CRIMES AND MONEY LAUNDERING AT THE GENERAL PROSECUTOR'S OFFICE OF THE REPUBLIC OF UZBEKISTAN

42 On Amendments and Additions to the Rules of Internal Control for Combating Money Laundering of Proceeds from Criminal Activities and Terrorist Financing in Commercial Banks

Registered by the Ministry of Justice of the Republic of Uzbekistan on February 2, 2010, Registration No. 2023-1

(Enters into force on February 12, 2010)

In accordance with the Laws of the Republic of Uzbekistan "On the Central Bank of the Republic of Uzbekistan" (Vedomosti Oliy Majlisi Respubliki Uzbekistan, 1995, No. 12, Art. 247), "On Banks and Banking Activity" (Vedomosti Oliy Majlisi Respubliki Uzbekistan, 1996, No. 5-6, Art. 54) and "On Combating Money Laundering of Proceeds from Criminal Activities and Terrorist Financing" (Sobranie Zakonodatelstva Respubliki Uzbekistan, 2004, No. 43, Art. 451), the Board of the Central Bank and the Department for Combating Tax, Currency Crimes and Money Laundering at the General Prosecutor's Office of the Republic of Uzbekistan decide:

1. Make amendments and additions to the Rules of Internal Control for Combating Money Laundering of Proceeds from Criminal Activities and Terrorist Financing in Commercial Banks, approved by the Decision of the Board of the Central Bank and the Department for Combating Tax, Currency Crimes and Money Laundering at the General Prosecutor's Office of the Republic of Uzbekistan dated October 13, 2009, Nos. 23/6, 32 (reg. No. 2023 of October 23, 2009) (Sobranie Zakonodatelstva Respubliki Uzbekistan, 2009, No. 44, Art. 472) according to the Appendix.

2. This decision enters into force upon the expiration of ten days from the day of its state registration in the Ministry of Justice of the Republic of Uzbekistan.

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Chairman of the Central Bank
F. MULLAJANOV

Tashkent,
December 29, 2009,
No. 39/3

Head of the Department for Combating Tax, Currency Crimes and Money Laundering Z. DUSANOV

Tashkent,
December 29, 2009,
No. 3

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APPENDIX

to the Decision of the Board of the Central Bank, the Department for Combating Tax, Currency Crimes and Money Laundering at the General Prosecutor's Office of the Republic of Uzbekistan dated December 29, 2009 Nos. 39/3, 3

Additions and Changes Made to the Rules of Internal Control for Combating Money Laundering of Proceeds from Criminal Activities and Terrorist Financing in Commercial Banks

1. Redraft the second paragraph of paragraph 12 as follows:
   "The Head of the Internal Control Service must have higher economic or legal education and experience in managing a subdivision of a commercial bank related to the implementation of banking operations for no less than two years, or work experience in the Internal Control Service for no less than one year."

2. Supplement paragraph 22 with the following paragraph:
   "Measures for due diligence of clients are also carried out with respect to clients whose accounts were opened before the entry into force of these Rules."

3. Supplement paragraph 27 with the second paragraph as follows:
   "In the process of due diligence of legal entities, a commercial bank must take reasonable and available measures to identify the natural person — the beneficial owner of the client, who ultimately is the owner or controls the client, including by studying the ownership and management structure of the client, as well as the founders (shareholders, participants) of the client."

4. Supplement paragraph 32 with paragraphs fifth through eighth as follows:
   "must pay special attention and conduct thorough analysis of transactions related to international money transfers, in which information about the sender (surname, first name, patronymic of natural persons, full name of legal entities, address and account number of the sender) is not provided or is provided in incomplete volume; acting as an intermediary in a payment transfer, are obliged to ensure the transmission and storage of all information about the sender accompanying the electronic transfer, together with the transfer; must pay attention to compliance by their foreign subsidiary banks, branches and representative offices located in countries that do not perform or insufficiently perform international requirements for combating money laundering of proceeds from criminal activities and terrorist financing, with international standards in this field; are obliged to require their foreign subsidiary banks, branches and representative offices to inform the head bank, in case of impossibility of applying corresponding measures to combat money laundering of proceeds from criminal activities and terrorist financing, due to the existing ban by the legislation of the country in which the subsidiary banks, branches and representative offices are located. In turn, commercial banks must notify the Central Bank and the Department about this;"

5. Redraft the first paragraph of paragraph 35 as follows:
   "35. When identifying a client and the beneficial owner of the client, a commercial bank is obliged to verify the received information with the list of persons specified in paragraph 42 of these Rules (hereinafter — the List), as well as with the list of states not participating in international cooperation in the field of combating money laundering of proceeds from criminal activities and terrorist financing, formed and provided to commercial banks by the Department in the manner established by legislation."

6. Supplement paragraph 37 with the fourth paragraph as follows:
   "to open accounts without the personal presence of the person opening the account, or their authorized representative;"

7. Supplement paragraph 39 with sub-item 16 as follows:
   "16) transfer by a non-resident to a resident of funds as grants, financial assistance, loans or gratuitous assistance."

8. Supplement sub-item 4 of paragraph 40 with the words
   "or in the absence of information about the sender;"

9. In the first paragraph of paragraph 44, replace the word "may" with the word "must".

10. Recognize paragraph 45 as having lost force.

11. In paragraph 46:

    • in the first paragraph, replace the word "may" with the word "must";
    • supplement with sub-item "g" as follows:
      "g) transactions related to transfers of funds, in which information about the sender (surname, first name, patronymic of natural persons, full name of legal entities, address and account number of the sender) is provided in incomplete volume;";
    • consider sub-item "g" as sub-item "d".

12. Redraft the first paragraph of paragraph 47 as follows:
    "47. When attributing a client or a transaction carried out by a client to a high-risk category, the corresponding subdivision of the commercial bank must notify the Internal Control Service about the carrying out of the transaction by this client (opening an account, debit from the account, etc.). The Internal Control Service must maintain constant monitoring of the transactions carried out by this client."

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Sobranie Zakonodatelstva Respubliki Uzbekistan, 2010.