Section 7P: Obligation of the Indicator Organisation

1) To implement this Act or the rules made under this Act or the guidelines issued or the instructions given, the indicting institution shall formulate and implement policies and procedures for the prevention of asset laundering and terrorist financing based on its country, geographical area, scope, size of business, customers, turnover and risks.

2) The policies and procedures under sub-section (1) shall include the following matters:

(a) Internal policies, procedures and controls relating to customer identification, business relationships, monitoring, business information, records and other obligations,

(b) A continuous monitoring system,

(c) To comply with or provide for compliance with this Act or the rules made or directions issued under this Act,

(d) Adequate provision of procedures for the recruitment of personnel to maintain high-quality personnel,

(e) The provision of regular training and re-employment to the staff,

(f) Effective arrangements for independently monitoring, inspecting, auditing and updating records of work operations,

(g) The identification and reporting of suspicious transactions,

¹(g1) The exchange of information with the institutions concerned under sections 7J, 7L, and 7M,

¹(g2) The provision of risk management concerning the customer and the use of the business relationship and compliance with the conditions,

(h) Such other arrangements as may be necessary for carrying out the obligations and evaluating the effectiveness of this Act or the rules made or directions issued under this Act and

(i) Other arrangements prescribed by the regulatory body.

3) The referring institution shall appoint a compliance officer of the management level to fulfil the obligations according to this Act continuously, the rules made under this Act, the guidelines issued, or the instructions given.

4) The referring institution shall ensure that the implementing officer, according to sub-section (3), has the following functions, duties and powers and the necessary resources available to him:

(a) To have access to any records, books of account and documents relating to accounts required in the course of the performance of his functions,

(b) To demand and receive any information, information, details or documents from the concerned employee of the indexing institution,

(c) To perform such other functions as may be necessary for carrying into effect the provisions of this Act or the rules or directions made or issued under this Act and

(d) To perform such other functions as may be prescribed by the regulatory body.

¹5) The indicator institution shall update and submit the risk-based institutional policy, procedures, and action plan to the regulatory body at least once a year and not more than once as required, based on changes in the existing laws, risk assessment, changes in business and technology, changes in the way of committing crimes, and trends.

¹6) The indicting agency shall make arrangements for the identification of the customer to be carried out under this Act, the monitoring of the transaction, the identification of the transaction or suspicious transaction beyond the prescribed limit and its basis, risk assessment and management, the implementation of policies and procedures and other activities to be carried out under this Act, including through electronic means.

Provided that the regulatory body may, based on the risk assessment, exempt any work carried out under this sub-section of the indicator institution in the low-risk areas from being carried out by electronic means.

^{1Added by Act, 2080 to amend certain Acts relating to Prevention of Money Laundering and Promotion of Business Environment.}