Jiangsu Jingjiang Rural Commercial Bank Interim Measures for the Management of Anti-money Laundering

Jiangsu Jingjiang Rural Commercial Bank

Interim Measures for the Management of Anti-money Laundering

Chapter I General Provisions

Article 1       The Measures are formulated pursuant to the Anti-money Laundering Law of the People's Republic of China and relevant regulations of the People’s Bank of China (“PBC”), the law of the people’s bank of China,including the Regulation on Anti-money Laundering of Financial Institutions, the Administrative Measures for the Reporting of Large-value and Suspicious Transactions of Financial Institutions, and the Administrative Measures for the Customer Identification and Storage of Customer Identity Information and Transaction Records in Financial Institutions, and the Notice of the General Office on the Application of the Credit Codes of Application Agencies by the People’s Bank and the Notice of the Genaral Office on the Identity of the Customer with the Credit Code of the Application Agencyiesand other pertinent regulations, as well as the actual conditions of Jiangsu Jingjiang Rural Commercial Bank (the “Bank”), in order to prevent anti-money laundering activities and regulate the  anti-money laundering work of the “bank”, and maintain the financial order and guarantee the security of funds.

Article 2       The Measures apply to the Bank and all of its operating institutions (“unit”).

Article 3       Anti-money laundering mentioned in the Measures means the relevant measures taken in accordance with the anti-money laundering law, in order to prevent the money laundering activities that are taken by various means to conceal the sources and nature of the income and proceeds from drug crime, organized crime in the nature of gangland, terrorist activity crime, smuggling crime, corruption and bribery crime, crime of disruption of financial management order and financial fraud crime.

Article 4       RMB and foreign currency payment transactions mentioned in the Measures mean the transactions collected, paid and cleared in RMB or foreign currencies by customers via bills, bank cards, remittance, entrusted collection, custodian acceptance, telephone banking and online banking payment as well as cash.

Chapter II Anti-money Laundering Department and Personnel

Article 5       The head office has established an anti-money laundering leading group and established an office to build an anti-money laundering liaison system in order to "strengthen the leadership and improve the organization".

The anti-money laundering leading group is composed of the manager of the head office and the manager of the functional departments who are responsible for the coordination and leadership of the anti-money laundering work.

The anti-money laundering leading group office is established in the operation management department and is responsible for the daily management of anti-money laundering.

Anti-money laundering liaison consists of two levels, head office and grass-roots unit. The headquarters of anti-money laundering liaison is determined by the operations management personnel, basic unit anti-money laundering liaison by each unit operations director, respectively, the two levels shall be responsible for this line and the anti-money laundering work of analysis and report.

Article 6       Each unit shall set up the anti-money laundering leading group of this unit. The group should include the President, vice President, managing director and related personnel, the leader is the president of the unit and practice the President responsibility system.

Article 7       The anti-money laundering of the leading group is responsible for:

(1) Unified leadership and deployment of anti money laundering work within its jurisdiction;     

(2)Directing and coordinating the anti money laundering among the various departments (offices);

(3) Study and approve the anti money laundering plan and system;       

(4) Study the major and difficult problems in anti money laundering, and propose solutions;     

(5) Study the penalty opinions on violation of anti money laundering laws and regulations;    

(6) The examination and approval of large amount of cash payment within the scope of authority.

Article 8        The anti-money laundering of the leading group office is responsible for:

(1) Dealing with the daily work of anti money laundering;      

 (2) Responsible for the training of anti money laundering work;   

(3) Formulate and improve the internal control system of anti money laundering;     

 (4) Responsible for the inspection and supervision of anti money laundering;    

(5) Examination and approval of large amount of cash payment within the scope of authority;

(6) Collecting, analyzing and reporting information and data on anti money laundering;   

(7) Formulate specific anti money laundering work plans, strengthen investigation and research, timely summary, summarize and reflect the jurisdiction of the anti

(8) To be responsible for the punishment of the violation of anti money laundering, and report it to the head office of anti money laundering work of the head office;      

 (9) To cooperate with the judicial organs in the transfer and investigation of information concerning money laundering offences;    

(10) Other matters submitted by the leading group on anti money laundering.

Article 9         Tthe responsibilities of the anti-money laundering liaison staff

(1) To be responsible for the contact and communication with the local people's bank or the office of the head of anti-money laundering;

(2) To be familiar with and master anti-money laundering laws, regulations and institutions, and improve anti-money laundering capacity;

(3) Monitoring the opening, alteration and cancellation of RMB bank settlement account to ensure the authenticity, compliance and legality of the account opening;

(4) To supervise the use of RMB bank settlement accounts, analyze customers' capital transactions, collect, collate and analyze suspicious payment transactions, and record and report them;

(5) Urge the units to report large transactions and suspicious transactions on time, and to review and identify the work;

(6) To assist law enforcement agencies and other law enforcement agencies in accordance with the provisions of the laws and regulations to check, freeze and deduct customers' deposits of suspected money laundering;

(7)To report to the office of the head of anti-money laundering work of the head office in time for the important matters involved;

(8) To manage the anti-money laundering work, organize the staff to carry out the study, and conduct regular anti-money laundering propaganda;

(9)Strictly perform the duty of confidentiality of anti-money laundering;

(10) Other duties that shall be performed according to laws, regulations and institutions.

Article 10       Business handling teller responsibilities

(1) In accordance with the measures provisions of the management of RMB bank settlement accounts for preliminary account information, and the copy with the check stamp and my name with the original, be responsible for the authenticity of the audit data;

(2) Notify customers of the expired customer identity information in the settlement account for identification

(3)The business that carries out the identity verification shall be checked and checked by the Internet and verified by the citizen identity information system according to the regulations;   

(4) To strengthen the anti money laundering laws and regulations and the system of learning, careful examination of the organization of business, pay attention to the cash extraction, monitoring of large transfers payment, analysis of customer capital flows, the suspicious payment transaction timely fill in the column of "suspicious transaction report" submitted to the operation supervisor; 

(5) The right to refuse to transact business for unknown clients;   

(6) The company has the right to report directly to the head office of anti money laundering work of the head office of the anti money laundering work of the unit;

(7) Strictly adhere to state secrets, commercial secrets or personal privacy as a result of anti money laundering    

(8) Other duties that shall be fulfilled according to laws, regulations and systems.

Article 11 International Business Department should be in accordance with the "Regulations of the financial institutions large and suspicious transactions reporting management" system, to exchange large and suspicious transactions collection, collation, analysis, record and report.

Article 12  Units should be clear, responsible for the anti money laundering platform system entry, entry clerk changes should promptly notify the operations management department to modify the auditor unified by the operations director.

Chapter III Management Requirement

Article 13  Each unit should establish and improve the anti-money laundering post responsibility system, the presiding President first responsible for anti-money laundering work, operations director is responsible for the daily management of the inner workings of anti-money laundering, bank tellers are responsible for large and suspicious collection, record of payment for transactions. All units must strictly comply with the obligations of reporting large sums and suspicious payment transactions.

Article 14    All units shall establish an anti-money laundering learning system and organize employees to study and record anti-money laundering at regular intervals.

Article 15  The staff of the Head Office and all units shall keep secrets about anti-money laundering work, and shall not divulge to customers or other personnel customer identity information and transaction information that they may obtain in legitimate performance of anti-money laundering obligations. The information about large-value and suspicious transactions and the information about anti-money laundering obtained in assisting the PBC in investigation of suspicious transactions shall be held in confidence, and shall not be provided to any entity or individual against the regulations.

 Article 16  The Head Office and all units shall assist the judicial authority and administrative organs for law enforcement in combating money laundering activities according to law, and assist such departments as judicial, customs and taxation authorities in making inquiry about, freezing or withholding of customers' deposits according to law, administrative regulations and other pertinent provisions.

Article 17   Each unit should make full use of large and doubtful payment transaction data resources for various business operation services. Once the suspected of a crime was founded, it shall be timely reported to the headquarters of anti-money laundering leading group office with written form. And checked by the headquarters of anti-money laundering work leading group then report to the provincial association , the local people's bank of China, and the public security organs.

Chapter IV Review and Registration of Customer Information

Article 18    Each unit shall implement customer identification system as required:

(1) When establishing business relations with a customer or providing a customer with a cash remittance, cash exchange or bill payment in a transaction amount of more than RMB10,000 or equivalent to more than USD1,000, the sub-branch shall verify the customer’s valid identity certificate or other identification documents, register the customer’s basic identity information and maintain a copy or photocopy of the customer's valid identity certificate or other identification documents.

(2) If the customer is represented by others to handle business, all units should take reasonable way to confirm the existence of the agency relationship, in accordance with the relevant requirements of this regulation to the principal client identification measures, check the agent shall be valid identity certificate or identity certificate, registered agent name, contact information, identity certificates or type, number of identity documents.

(3) When dealing with single cash deposit or withdrawal in an amount of more than RMB50,000 or equivalent to more than USD10,000 for a natural person customer, the sub-branch shall verify the customer’s valid identity certificate or other identification documents.

(3) If a natural person customer designates a proxy for cash deposit or withdrawal, if the amount reaches or exceeds RMB50,000 or equivalent to more than USD10,000 per deal, the sub-branch shall also verify the valid identity certificate or identification documents of the depositor (or payee) and the account holder, register his/her name, contact method and category and number of identity certificate or identification documents.

(4) When providing non-counter services to customers by telephone, internet, ATM and other channels, the unit shall implement strict identification measures to know the customers.

(5) When the business relations with customers exist, all sub-branches shall take continuous customer identification measures to pay attention to customers and their day-to-day operating activities and financial transactions, and remind customers to update information timely. After the identity certificates or identification documents provided by a customer previously have expired, if the customer fails to update them within a reasonable period or provide a justifiable ground, each unit shall stop services for the customer. And

(6) When a unit entrusts a third party to identify customers on its behalf, it shall make sure the third party has taken customer identification measures satisfying the requirements of the Measures. In case the third party can not take such measures, the sub-branch shall bear the liability for failure to perform the obligations for customer identification.

Article 10     Under any of the following circumstances, each unit shall identify a customer again.

(7) For the customer to remit money abroad, all unit shall register the remitter's name, account information such as the name, domicile, residence, and the payee, retained in the remittance voucher or related information system the above information, and provide to the receiving remittance foreign institutions the information such as name, account number, residence. If the remitter doesn’t open an account in this institution, cannot register the remitter's account, can register and provide other relevant information to the foreign institution receiving the remittance, and ensure the traceable audit of the transaction. If the residence of an overseas payee is not clear, the name of the foreign institution where the remittance is received should be registered.

(8) The units shall not provide services to or deal with the customers whose identity is unknown, and shall not open an anonymous account or provide a fictitious account for the customer.

Article 19      The credit code of each unit application agency shall assist to carry out customer identification

(1) Deal with the following business, the relevant client due diligence measures should be taken to check the customer and the organization credit code certificate, registration of customer organization credit code, retained the organization credit code certificate copies or photocopies of:

1. Establish business relationship with institutional clients by opening accounts.

2, To not open an account the agency institutions provide single trading amount RMB 10000 RMB or foreign currency equivalent of more than $1000 cash remittance, cash conversion and bill payment and so on the disposable financial services.

(2) To carry out the continuous client identification, reasonable measures should be taken to confirm the remaining in the institutional clients credit code information effectiveness, timely reminder customer update "organization credit code card" by the regulation and institution credit code corresponding information application service system. If discover customer show "organization credit code card" is still in the period of validity, but not in accordance with the provisions, present credit reporting center or the people's bank branch to confirm validity, shall require the client to go through the formalities related effect to confirm.

Article 20 Under any of the following circumstances, each unit shall identify the customer again

(1) The customer requests for change of name, category of identity certificates or identification documents, number of identity card, registered capital, business scope, legal representative or person in charge;

(2) The customer's acts or transactions are abnormal;

(3) The customer’s name is the same as that of a criminal suspect or a person involved in  money laundering or terrorist financing that the relevant department of the State Council, organization and the judicial authority require financial institutions must assist in investigation or draw attention to;

(4) The customer is suspicious of involving in money laundering or terrorist financing activities;

(5) Customer information obtained is inconsistent with or contrary to the related information known previously;

(6) There is doubt about the truthfulness, effectiveness and completeness of the customer’s identity information obtained previously; or

(7) The client's credit code and the authenticity, validity and integrity of the institution's credit code certificate should be re-identified. If the doubt still cannot be taken out , suspicious transaction reports is required to submitted.

(8) Other circumstances where the sub-branch deems it necessary to identify the customer again.

Article 21     Except verifying the customer’s valid identity certificates or other certification documents, each unit may take one or several of the following measures to identify or re-identify the customer’s identity:

(1) Require the customer to provide additional identity information or identification documents;

(2)  Pay a return visit to the customer;

(3)  Conduct an onsite investigation;

(4) Verify with the public security organs and industrial and commercial administration, etc.; or

(5) Other measures that can be taken according to law.

When performing the obligation for customer identification, each unit shall verify the resident identity card of related natural person, if necessary, according to law, administrative regulations or department rules, by the online identity card information verification system developed by the PBC.

Article 22     When performing the obligation for customer identification, each unit shall report to China Anti-money Laundering Monitoring and Analysis Center and local office of PBC on the following suspicious conducts:

(1) A customer refuses to provide valid identity certificates or other identification documents.

(2) An overseas institution remitting funds to China still can not provide the name, account number, domicile or other related alternative information about the remitter upon request by the sub-branch.

(3) The customer refuses to update its basic information without justifiable reasons.

(6) After taking necessary measures, the sub-branch still doubts about the truthfulness, effectiveness and completeness of the customer’s identity information obtained previously. And

(5) The unit finds other suspicious conducts when performing the obligation for customer identification. Each sub-branch may report suspicious conducts by reference to the reporting of suspicious transactions.

Chapter V Reporting of Large-value and Suspicious Transactions

Article 23   All units shall strictly implement the report system of large and suspicious transactions, and should be timely reported to the standard of large or suspicious transactions; In case a transaction that belongs to a large number of and suspicious  transactions, the units shall submit large transaction reports and suspicious transaction reports respectively.

Article 24    The large amount transaction which meets the following standard should be submitted in time

(1) Cash deposit, withdrawal, remittance, cash bill disbursement and other forms of cash receipt or payment amounting to more than RMB50,000 or foreign currencies equivalent to over USD10,000 in a single deal or accumulatively in a day;

(2) Bank transfer between legal entities, other organizations and self-employed businesses, with an amount of more than RMB2 million or foreign currencies equivalent to over USD200,000 in a single deal or accumulatively in a day;

(3) Bank domestic funds transfer between the bank accounts of natural persons, the bank accounts of natural persons and legal entities, other organizations and self-employed businesses, with an amount of more than RMB500,000 or foreign currencies equivalent to USD100,000 in a single deal or accumulatively in a day.

(4) Bank cross-board transfer between the bank accounts of natural persons, the bank accounts of natural persons and legal entities, other organizations and self-employed businesses, with an amount of more than RMB200,000 or foreign currencies equivalent to USD10,000 in a single deal or accumulatively in a day.

Accumulative transaction amount is based on single customers, and accumulatively calculated and reported on a one-way basis according to the fund income or payment, unless otherwise required by the PBC.

The standards for the reporting of large transactions stipulated in paragraph 1 of this article shall be implemented in accordance with the revised standards of the people's bank of China.

Article 25     Large-value transaction reporting procedures.

(1) Each unit editor shall fill or supplement

Each unit should log into the anti-money laundering platform by the editors on the next day to fill or refill the large transaction information.

(2) The provincial association computer center reported uniformly

The centralized data generated by the central bank's computer center is submitted to the anti-money laundering monitoring and analysis center of the people's bank of China.

If the transaction conforms to two or more large trading standards, each unit shall submit a large transaction report separately.

Article 26      For a large transaction that meets one of the following conditions, if the transaction is not found suspicious, it may not be reported:

(1) When the deposit expires, it is not directly extracted or transferred, but the principal or principal added in all or part of the interest to be renewed in the same account in the institution.

The principal of the current deposit or the principal plus all or part of the interest is converted into a fixed deposit in another account of the same name which is opened by the institution.

The principal or principal of a fixed deposit is converted into a current account in another account in the same name which is opened by the institution.

(2) The conversion between different currencies of natural persons in the process of foreign exchange transactions in the firm market.

(3) The transaction for one party of party organs at all levels, the state authority, administrative organs, judicial organs, military organs, organs of the people's political consultative conference and the people's liberation army, armed police force, but excluding its various types of enterprises and institutions.

(4) Bond trading conducted by financial institutions in interbank borrowing and in the interbank bond market.

(5) Gold trading by financial institutions on gold exchanges.

(6) Allocation of funds within financial institutions.

(7) Transactions under loan transfer by international financial organizations and foreign governments.

(8) Swaps of debt under loan from international financial organizations and foreign governments.

(9)Tax revenue, wrong account charge and interest payment initiated by each unit.

(10) Other circumstances determined by the people's bank of China.

If the information system of the anti-money laundering work platform has been collected, it must be reported.

Article 27         Every business organizations and business department found or doubt with reasonable reason that the customer, customer funds or other assets, customer transactions or trying to deal with money laundering and terrorist financing and other related crime, no matter the amount of money involved, or value of the asset size, shall be submitted to report suspicious transactions.

Article 28        Reporting procedures for suspicious payment transactions:

(1) Report of the counter personnel

In handling the payment transaction, the counter personnel shall timely fill in the report of suspicious payment transaction and report to the operation supervisor in the case of article 22 and 27 of these measures.

(2) Analysis and review of operation supervisor

The operation supervisor shall conduct an analysis and review of the suspected payment transactions of the report, confirm the suspicious payment transaction, and the editors shall log in the system to make a refill of the information data the next day.

(3) Audit the post audit

After the audit of the post (operation supervisor), make information screening and report to the operation management department for approval.

(4) Examination and approval of the examination and approval of the post

After the examination and approval of the department of operation and management, do information screening and report to the computer center of the provincial association.

(5) Unified report of the computer center of the provincial association

The centralized data generated by the provincial association computer center is submitted to the people's bank anti-money laundering monitoring and analysis center.

Article 29        The report of the suspicious payment transaction shall be in the order of the date of the report and shall be kept by the operation supervisor and bound regularly.

Each unit should continue to pay attention to the accounts that report suspicious payment transactions.

Article 30       The office of the anti-money laundering work leading group shall strengthen the supervision and administration of the information collection and reporting of the large and suspicious transactions of all units.

Anti-money laundering work leading group office for large trading report or suspicious transactions have things is not complete or errors, as well as to the query or require correction is made by the people's bank of China, should supervise the agency to make rectifications within five working days in and record purpose.

Article 31        The post-supervision center found suspicious trading account in the process of supervision, shall promptly report to the anti-money laundering work leading group office, and cooperate with the anti-money laundering work management department to carry out the inspection.

Chapter VI Anti-money laundering and suspicious transaction investigation

Article 32     Each unit shall actively assist the PBC in onsite inspection of anti-money laundering.

(1) When the PBC or its sub-branches conduct an onsite inspection, each sub-branch may refuse the inspection if inspectors are less than two persons or can not present the law enforcement certificates or inspection notice.

(2) Each sub-branch shall actively assist inspectors in access to or duplication of financial institutions’ documents and materials relating to inspection, access to systems that manage business data based on computers, and assist in sealing and storage of documents and information that may be transferred, destructed, concealed or altered.

(3) After an onsite inspection, each sub-branch shall actively rectify according to the requirements put forward in the onsite inspection opinions of the PBC and its sub-branches.

Article 33     If the PBC finds any suspicious transaction activities that necessitate an investigation and verification, each sub-branch shall provide assistance according to the following requirements and provide related documents and information truthfully.

(1) In the investigation of suspicious transactions, there shall be no less than two investigators who must present law enforcement certificates and the investigation notice issued by the PBC or a provincial-level tier-1 sub-branch of the PBC. Access to, duplication or sealing of the account information, transaction records and other related information of the investigated institution’s customers must be subject to the approval of the person in charge of the PBC or a provincial-level tier-1 sub-branch of the PBC. In case investigators violate the prescribed procedures, the investigated institution has the right to refuse the investigation.

(2) The investigated institution shall actively assist the investigators in inquiring of related personnel; access to and duplication of the account information, transaction records and other related information of the customers of the investigated institution; sealing and storage of the documents and information that are likely to be transferred, concealed, altered or destructed.

(3) The inquired personnel of the investigated institution shall check the inquiry records, and may require supplementation or revision in case the records have omissions or errors. After the inquired personnel shall sign or affix a seal on the records upon verification; the records shall also be signed by the investigators.

(4) When sealing documents and information, investigators shall clearly check the number together with the employees of the investigated institution on the spot, and prepare a list in two copies, which shall be signed or sealed by the investigators and employees of the financial institution on the spot. One copy will be retained by the investigated institution, and the other will be annexed to the documents for future reference.

Article 34     If a customer for which anti-money laundering investigation has not been completed requests for transferring abroad the funds in the account involved in the investigation, each unit shall report to the PBC in time. The PBC may notify, in writing, each sub-branch to take temporary measures to freeze the account involved. The PBC may issue a written notice on cancellation of temporary freezing within 48 hours upon freezing of an account, to defreeze relevant account. If a sub-branch does not receive a notice on continued freezing from the investigative organ 48 hours after temporary freezing of an account, the temporary freezing shall be automatically cancelled.

Article 35     The anti-money laundering steering group of the Head Office shall organize functional departments and related member departments to inspect the anti-money laundering work of subordinate operating institutions on a regular or irregular basis for timely rectification if any. The audit department shall conduct an audit of the performance of anti-money laundering in this line.

Chapter VII Storage of Customer Information and Transaction Records

Article 36        The units shall establish the system of preservation of identity information, transaction records and information reporting according to the regulations.

Article 37         Units should maintain client identity information include: a client identity information, data and financial institutions to engage in a variety of customer identification performance records and information.
Natural person "as the basic customer information" includes: the customer's name, gender, nationality, occupation, address and contact information, has his domicile or where the work unit identification papers or identity documents the type, number and the expiry date.The customer's local and habitual residence is not consistent, customer's habitual residence registration.
A legal person, other organization or individual customers basic information "identity" include: the customer's name, domicile, business scope, organization code, tax registration certificate number, To prove that the customer in accordance with the established or may, in accordance with law, business and social activities of license, certificate or document name, number and expiry date;, legal representative, the controlling shareholder or actual controller, director, and the name, id card of the authorized to handle the business personnel or identity documents the type, number, expiration date.
Units should save transaction records include: the data of every transaction information, business vouchers, books, and the relevant provisions of the requirements reflect the real situation in the trade contract, business vouchers, receipts, business correspondence and other materials.

Article 38     Each unit shall take necessary management measures and technical measures to avoid the loss and destruction of customers’ identity information and transaction records and divulgence of customers’ identity information and transaction information. Each unit shall take practicable measures to store customers’ identity information and transaction records, to facilitate anti-money laundering investigation, supervision and management.

Article 39     Storage and destruction of customer information and transaction records shall comply with relevant regulations on the management of accounting archives.

Article 40     Keeping period of customers’ identity information and transaction records:

(1) Customer's identity information shall be kept for at least 5 years from the end of the business relationship or the one-time transaction bookkeeping.

(2) The transaction record shall be kept for at least 5 years from 1 January of the next year.

If customers’ identity information or transaction records subject to different keeping periods are stored in the same medium, they shall be kept according to the longest period. If the same customer’s identity information or transaction records are stored in different media, such identity information or transaction records shall be kept in at least one medium according to the aforesaid requirements on keeping period.

Article 41       Customer information and transaction records keeping expires, involving money laundering did not find out the relevant accounting data, shall be kept separate until completion of items.

Article 42        Each unit should strengthen large and suspicious transactions related information confidential work. The suspicious transactions data according to the relevant security regulation,  do personnel management, authorization read.

Article 43      “The archives law of the People's Republic of China”, “the measures for the administration of RMB bank settlement account”, “the accounting basic system for rural credit cooperatives ", "Jiangsu province rural credit cooperatives accounting archives management method" and other laws and administrative rules and regulations and other regulations for the client id information and transaction records, accounts table books and other accounting files have a longer shelf life requirements, should abide by its rules.

Chapter VIII Supplementary Provisions

Article 44       The natural person is mentioned in the present measures, including legal person, other organization or individual.

Article 45       In the present measures, such as with the relevant laws, regulations and other provisions of the state is not consistent, will be subject to the laws, regulations and relevant provisions of the state.

Article 46       The Measures are formulated, interpreted and amended by Jingjiang Rural Commercial Bank.

Article 47      The Measures come into effect as of the date of issuance. Effective policy date is two years from issuing date.

Attachment: suspicious payment transaction report form

Attachment

Suspicious Payment Transaction Report