Recently, the China Banking and Insurance Regulatory Commission issued the Administrative Measures for Anti-Money Laundering and Counter-Terrorist Financing for Banking and Financial Institutions (Draft for Comments) (hereinafter referred to as the “Measures”). The Measures specify the obligations, functions and duties of banking and financial institutions with respect to anti-money laundering and counter-terrorism financing.

The Measures, composed of 53 Articles in five Chapters, clearly stipulate the obligations, functions and duties of banking and financial institutions with respect to anti-money laundering and counter-terrorism financing. They also obligate banking and financial institutions to incorporate money laundering and terrorism financing risk management into a comprehensive risk management system, to embed anti-money laundering and counter-terrorism financing requirements into the compliance management and internal control system, and to ensure that the anti-money laundering and counter-terrorism financing risk management system comprehensively covers all of their products and services.

 (Source: Shanghai Securities News)