Bank Leumi (Panama Branch) operates under a General License, and is regulated by the Superintendence of Banks of Panama and the UAF. Unidad de Análisis Financiero (AML Authority). We in Bank Leumi are making great efforts to prevent Money Laundering and Terror Financing by exercising strict rules and procedures for our employees and customers as well, when performing our different activities.
Leumi has policies, which are updated according to changes in the law. The most important tools that we use for the prevention of Money Laundering and Terror Financing, we can mention:
- Know your Customer Policy
- Know your Employee Policy
- Cash Deposit Policy
- Check Deposit Policy
- Cashier Checks and Drafts Police
- Money Transfers Policy
- Loans and Trade Finance Policy
- Transaction with other Banking Policy
All our policies and procedures are focused on 3 major risks associated with money laundering and terror financing, among which we can mention:
- The operating Risk
- Legal Risk
- Reputation Risk
Which can cause sizeable losses to the Bank and for that we have a chapter intended to mitigate them.
The Operational Risk, arises from the non observances or failure to adhere to internal control that exists when controls are weak and can lead to legal and Reputational Risk.
The Legal Risk is related to the potential loss for breaching the legal and administrative rules related to operations carried by the bank or by lack of knowledge of the law by the employees. This particular risk may lead stiff penalties, which may affect the Banks Reputation.
The last risk –Reputational Risk- is the risk of losing the customers confidence, share holders, employees, regulators and anyone else whose confidence in the bank under any circumstances, is a basic condition for doing business.
In General, the consequences are serious, intangibles and cause tremendous damage.
Please visit Anti Money Laundering in Panama for further information on this subject.
