(1888PressRelease)
January 14, 2007 - Abou-El-Fotouh defined compliance as "a system which is designed to ensure that the bank does, as far as is reasonably practical, what is necessary to “get it right” in terms of its legal obligations." He explained that "effective compliance is crucial for banks and it is critical to the success on any bank and supports strong relations with regulators. A failure to comply may involve serious results, including large fines and even imprisonment. In addition, banks should keep trust of stakeholders"
Basel Committee on Banking Supervision has a unique definition of compliance function: "An independent function that identifies, assesses, advises on, monitors and reports on the bank’s compliance risk, that is, the risk of legal or regulatory sanctions, financial loss, or loss to reputation a bank may suffer as a result of its failure to comply with all applicable laws, regulations, codes of conduct and standards of good practice (together “laws, rules and standards”)”. Speaking on this definition, Abou-El-Fotouh said "it is the backbone of the job description of all compliance officers and all compliance-related activities should be tied to it"
He further explained that compliance risk is the risk arising from a failure to comply with relevant laws and regulations governing the conduct of the bank’s business. Therefore, compliance officers must carry out compliance risk assessment i.e. examine the risks associated with failing to meet legal obligations. Subsequently, tailor compliance measures to the risk identified by the risk assessment.
Company History
Oman International Bank S.A.O.G came into existence on 1st January, 1984 and became the first 100% Omani owned commercial bank in the Sultanate of Oman. The Banks has 82 branches in the country and 4 overseas branches at Mumbai and Cochi in India and Karachi & Lahore in Pakistan
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