Money laundering, terrorism, and the proliferation of weapons of mass destruction are crimes that pose a severe threat to the economic, social, and security systems of the nation as well as the international community. Criminals have relied on banks as a means of committing such crimes. Many countries have given importance to and cooperate in formulating solutions to this problem in order to break the cycle of such crimes. In this regard, an international organization named the Financial Action Task Force (FATF) has established international AML/CFT measures called ‘The Forty Recommendations’ to be guidelines for countries in the enactment of their internal legislation.

Krungthai Bank PCL has taken into account the importance of AML/CTPF legal proceedings and is committed to preventing the Bank from being used as a channel for money laundering. Therefore, AML/CTPF policies and operating regulations have been established in the following matters:

The Bank provides the internal AML/CTPF risk assessment and management in order to know and prepare measures to prevent and mitigate AML/CTPF risks annually. The assessment would be subject to approval by the senior management level.

The Bank requires that information about customers and their related persons be checked against the list of designated persons (Sanction Lists), which include the Thailand Designated list, announced by the Anti-Money Laundering Office and international sanction lists according to international standard, and the list of known or suspected terrorists issued by competent authorities before establishing a relationship or conducting the transaction with the Bank until the relationship is terminated. If it is found that the customer has identical information with the designated person list, the Bank must refuse to establish a relationship/ terminate the relationship/transactions with the Bank.

The Bank requires customers to provide information and proof of identity to authenticate the validity of their existing identity information before establishing a relationship or conducting transactions, including verifying that customers are the genuine owner of the information and evidence.

The Bank is required to carry out Customer Due Diligence (CDD) to know the facts about the customer and the ultimate beneficiary owner before establishing a relationship or conducting transactions, both Face-to-face and Non-face-to-face, until the customer terminates the relationship with the Bank, including conducting risk assessment and management of every customer from the establishment of business relationship until the termination of the relationship with the Bank.

For the Non-face-to-face channel, the Bank shall have the customer provide complete information and evidence attesting to the customer's identity. The Bank shall verify the accuracy and currentness of ID card information from government sources and compare the customer's face image (Face recognition) to completely verify the customer's identity before the first transaction's approval.

In addition, the Bank is required to update/review customer information used for identity verification and to monitor their CDD information to be up-to-date continuously. This process must be periodically conducted until the business relationship with the customer is terminated.

The Bank imposes Political Exposed Persons (PEPs) as high-risk factors. PEPs require an Enhanced Due Diligence process and arduously monitoring of customer information. Establishing a relationship with PEPs would be subject to approval by the senior management or a specially assigned officer.

From the beginning of the business relationship until it ends, the Bank mandates that all clients' financial movements or transactions be monitored and tracked.

The Bank requires that the transactions that meet the limit as prescribed by law and that are suspicious be reported with accurate and complete information as well as within the specified timeframe.

The Bank requires that all information and evidence of identity verification, as well as Customer Due Diligence and transactions, be kept entirely within the period specified by law. (10 years after the end of the business relationship as imposed by regulations or ten years since the last transaction).

The Bank has an independent audit to regularly evaluate the implementation of AML/CTPF policy and procedure and report internally to the Bank’s audit committee to ensure that they are followed accordingly.

Executives and employees of the Bank are required to be trained in AML/CTPF in accordance with the guidelines set by the Anti-Money Laundering Office. The Bank also provides a knowledge assessment after the training and includes a knowledge review with both Classroom and Online Platforms' training formats.