cs-trans.biz
in the matter of Fighting against Money Laundering (December 18, 2002)
-- English Translation of the Content and Articles 5, 6, 8, 21, 29 and some parts of annex
Article 1 Definitions
Article 2 Field of Application
Article 3 Branches and Group Companies Overseas
Article 4 Prohibition of Acceptance of Valuable Properties proving the Corruption and Other Crimes
Article 5 Prohibition of Business Relationship with Criminal or Terrorist Organizations
A financial intermediary must not maintain any business relationship with entities or persons that, it knows or should presume, constitute a terrorist organization or any other criminal organization, are members of such organization, or are supporting or financing them.
Article 6 Relationship with Corresponding Banks
(1) The provisions of this
ordinance apply equally to the relationship with the corresponding banks
(2) [Not Translated]
Article 7 Business Relationship Accompanied by Growing Risks
Article 8 Transactions that Show Growing Risks
(1) A financial intermediary shall
fix the criteria for detection of transaction showing legal and reputational
risks.
(2), (3) [Not Translated]
Article 9 Global Management of Legal Risks and Reputational Risks
Article 10 Internal Directives in the matter of Fighting against Money Laundering
Article 11 Formation of Personnel
Article 12 Transaction Supervising System
Article 13 Internal Service for Fighting against Money Laundering
Article 14 Verification of the Identity of the Contracting Party and Identification of the Owner of Economic Right
Article 15 Information of the Requesting Party at the time of Transfer
Article 16 Business Dealing of Bank Bills
Article 17 Additional Clarification in case of Growing Risks
Article 18 Means of Clarification
Article 19 Delegation of the Additional Clarifications to Third Parties
Article 20 Time of Additional Clarifications
Article 21 Permission of Business Relationship accompanied by Growing Risks
Permission of business relationship accompanied by growing risks needs approval of the superior person or organ.
Article 22 Responsibility of the Direction to One’s Higher Level
Article 23 Availability of Information
Chapter 7 Conduct in the presence of Indications of Money Laundering or of connections with Terrorist Organizations
Article 24 Communication at the time of establishing the Business Relationship
Article 25 Connections with Terrorist Organization
Article 26 Conduct in the absence of Decisions of Authorities
Article 27 Doubts on the Quality of the Business Relationship and the Right of Communication
Article 28 Rupture of the Doubtful Business Relationship
Article 29 Pursuit of the Doubtful Business Relationship
A financial intermediary who decides to pursue a doubtful business relationship is obliged to maintain such relationship under strict supervision and to examine such relationship in the light of indications of money laundering (annex).
Article 30 Information for the Banking Commission
Article
31
Article 32 Transitional Provisions
Article 33 Going into Effect
[Annex]
Indications of Money Laundering
I. Importance of Indications
II. General Indications
[……]
Transactions show particular risks of money laundering:
A3
when their construction indicates an unjust purpose, when their economic purpose is not recognizable, or rather when they seem absurd from the economic point of view;
A4
when the valuable properties are withdrawn right after it is brought into the account (passage account), as far as the client’s conduct does not make such immediate withdrawal acceptable.
A5-A8bis [not translated]
[……]
III. Particular Indications
1. Cash Operation
2. Account or Deposit Operation
3. Fiduciary Operation
4. Others
IV. Qualified Indications
*This
is just an unofficial translation of a part of the law. For an original, complete text, visit
the government’s site.
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