Financial and security experts have called on stakeholders in the financial services sector and allied institutions to comply with regulations guiding their operations.
They said that this had become necessary in view of the threats money laundering and terrorism financing posed to the growth of the economy and the general security of the citizens.
The experts spoke at the 2015 Compliance Workshop organised by Access Bank Plc in Lagos.
The Group Managing Director of the bank, Mr. Herbert Wigwe, stressed the economic and national benefits of waging war against money laundering and terrorism financing.
The stakeholders’ workshop, which had the theme ‘Combating the financing of terrorist organisations and their money laundering channels: Challenges for financial institutions’, had participants from the diplomatic community, financial and allied institutions, regulatory and security agencies in attendance.
Wigwe, who said that the cost of non-compliance was high, urged compliance officers and others interfacing with customers to always adhere strictly to principles and process guiding financial operations.
He said, “We believe that we must rise up to the challenges around money laundering and financing of terrorism. We must find ways to eliminate these activities that are generating financial flows outside of what is supposed to be the traditional mode through which finances come up to support the economic activities.
“Instead, what we are seeing is a diversion of financing into non-economic activities that can only serve to destroy our financial sojourn and integrity of various countries.”
The GMD said that financial and allied institutions must be concerned about strengthening the overall compliance framework in the country as done in other climes.
Stressing that such activities have corrosive and corrupting effect on the society and overall economic system, the Access Bank CEO maintained that the fight must not be left to the government alone, stressing that every entity, institution and individual must collaborate to successfully fight the social ills.
“In South East Asia, Europe and others, governments have implemented various curbing measures in accordance with prescribed international standards. And the intensity of these measures and the pace of enforcement have differed from country to country,” Wigwe added.
Quoting an International Monetary Fund report, he said money laundering chop off two to five per cent of the global Gross Domestic Product.
He noted that since financial institutions were conduit pipes used for the nefarious activities, they must lead the fight.
He said, “As an industry, it is clear that we must cut off resources available to these terrorists. There must be strong working relationship with all the law enforcement agencies. The bar of compliance has to be raised by all stakeholders, professional bodies, accountants and auditors must be involved in this fight.”
No comments:
Post a Comment