DECREE OF DIRECTOR GENERAL OF FINANCIAL INSTITUTION NUMBER : Kep-2833/LK/2003 CONCERNING

Transcription

1 ANNEX IVA.3 DECREE OF DIRECTOR GENERAL OF FINANCIAL INSTITUTION NUMBER : Kep-2833/LK/2003 CONCERNING GUIDE OF IMPLEMENTING KNOW YOUR CUSTOMER PRINCIPLE FOR NON BANK FINANCIAL INSTITUTION 1

2 DECREE OF DIRECTOR GENERAL OF FINANCIAL INSTITUTION NUMBER : Kep-2833/LK/2003 CONCERNING GUIDE OF IMPLEMENTING KNOW YOUR CUSTOMER PRINCIPLE FOR NON BANK FINANCIAL INSTITUTION DIRECTOR GENERAL OF FINANCIAL INSTITUTION, Considering : a. That to implement Article 4, Article 14, Article 17, and Article 21 of Ministerial Decree of Finance number: 45/KMK.06/2003 on Application of Know Your Customer Principle for Non Bank Financial Institution, it is required further guides to implement Application of Know Your Customer Principle for Non Bank Financial Institution ; b. That in relation with considerations in point a aforesaid it is necessary to issue Director General of Financial Institution s Decree on Application of Know Your Customer Principle s Guide for Non Bank Financial Institution; Whereas : 1. Laws No. 2 Year 1992 on Insurance Business (State Gazette Republic of Indonesia Number 13 Year 1992, Supplement Number 3467); 2. Laws No. 11 Year 1992 on Pension Fund (State Gazette Republic of Indonesia Number 37 Year 1992, Supplement Number 3477); 3. Laws No. 15 Year 2002 on Criminal Commitment of Money Laundry (State Gazette Republic of Indonesia Number 30 Year 2002, Supplement Number 4191); 4. Presidential Decree Number 61 Year 1988 on Financial Institution (State Gazette Republic of Indonesia Number 53 Year 1988); 5. Ministerial Decree of Finance Number 45/KMK.06/2003 on Application of Know Your Customer Principle for Non Bank Financial Institution (State News of Republic of Indonesia Number XX Year 2003); 6. Ministerial Decree of Finance Number 2/KMK.01/2001 on Organization and Job Structure of Financial Ministry as had been Ministerial Decree of Finance Number 316/KMK.01/2002, lastly; DECIDE : Stipulate : DECREE OF DIRECTOR GENERAL OF FINANCIAL INSTITUTION ON APPLICATION OF KNOW YOUR CUSTOMER PRINCIPLE FOR NON BANK FINANCIAL INSTITUTION 2

3 Article 1 Application of Know Your Customer Principle s Guide as meant in Article 4 paragraph (2) of Ministerial Decree of Finance on Application of Know Your Customer Principle for Non Bank Financial Institution should be set according to condition, organization structure and business specification of each Non Bank Financial Institution. Article 2 (1) Application of Know Your Customer Principle s Guide as meant in Article 1 aforesaid at leas include description regarding: a. Special work unit or special officer who has responsible for Application of Know Your Customer Principle; b. Duties of director board, and duties of commissioner board or being similar, as well as special work unit as special officer as meant within point a aforesaid, to implement Application of Know Your Customer Principle; c. Policy of receiving and identifying customer, policy of monitoring and reporting suspicious transaction and risk management policy as well as policy of getting business partner if any; d. Procedure of receiving and identifying customer as well as procedure of monitoring and reporting suspicious transaction ; e. Training policy of Application of Know Your Customer Principle for employees; and f. Samples of suspicious transaction. (2) Application of Know Your Customer Principle s Guide as meant in paragraph (1) set in any guide comprising individually, or as part of one or more other operational guides regulating transaction with customer. (3) Implementation of Applying Know Your Customer Principle s Guide as meant in paragraph (1) aforesaid presented in Attachment I herein. Article 3 (1) In case of implementation of Applying Know Your Customer Principle s Guide as mean within Article 2 it had been set forth one autonomy guide, subsequently, it should be sent to Minister of Finance. (2) In case of implementation of Applying Know Your Customer Principle s Guide as mean within Article 2 as part of one or more other operational guide regulating transaction with customer(s), then, which should be sent to Minister of Finance are : a. entirely, principals or list of content of each related operations; and b. Part of those operational guides regulating Know Your Customer Principles. 3

4 Article 4 (1) Samples of suspicious transaction type as meant within Article 14 of Ministerial Decree of Finance concerning Application of Know Your Customer Principle for Non Bank Financial Institution presented in Attachment II herein. (2) In case of Non Bank Financial Institution identifying other transaction which of their considerations properly, it should be deemed as suspicious transaction nevertheless, such transaction was not included within Attachment II herein, such Non Bank Financial Institution should treat such transaction as suspicious one and should be reported to Minister of Finance. (3) Non Bank Financial Institution should update samples of suspicious transaction type in implementation of Applying Know Your Customer Principle s guide, as well as to add such transaction as meant within paragraph (2). (4) Either special work unit or special officer who has responsible to implement Application of Know Your Customer Principle should distribute samples of suspicious transaction as meant within paragraph (1)and updating results as meant within paragraph (3) to shareholders, commissioner or director boards or being equal, employees or officers of such Non Bank Financial Institution. (5) Either special work unit or special officer who has responsible to implement Application of Know Your Customer Principle should give understanding on type of suspicious transaction to shareholders, founders and stakeholders, commissioner board or being equal, employees or officers of such Non Bank Financial Institution. Article 5 (1) Either the establishment of special work unit or the assignment of special officer who has responsible to implement Application of Know Your Customer Principle as meant within Article 17 of Ministerial Decree of Finance on Application of Know Your Customer Principle for Non Bank Financial Institution is decided by general meeting of shareholders or being equal. (2) In the case of setting either establishment of special work unit or special officer assignment who has responsible to implement Application of Know Your Customer Principle by general meeting of shareholders or being equal may not be realized, it is decided by confirmation in writing from board. (3) Such confirmation in writing as meant within paragraph (2) it should have approval by general meeting of shareholder or being equal for the first opportunity whey they make decision. (4) The decision of either establishment of special work unit or special officer assignment who has responsible to implement such Application of Know Your Customer Principle as meant within paragraph (1) as paragraph (2), as well as general meeting of shareholders approval or being equal of as meant within paragraph (3) should be sent to Minister of Finance. 4

5 Article 6 (1) Administrative Sanction as meant within Article 21 of Ministerial Decree of Finance on Application of Know Your Customer Principle for Non Bank Financial Institution it may be given by warning sanction; a. Limitation/Business Activity Freezing; b. Revoking of Business License; or c. Replacement of Board/Executive; (2) Type of charged administrative sanction and procedure as well as its terms for each type of administrative sanction as meant within paragraph (1) it will be adjusted with type of Non Bank Financial Institution and its violation. Article 7 This Decree of Director General of Financial Institution is commenced since the issuance. Stipulate in Jakarta On date of May 2003 Director General of Financial Institution, Signature Darmin Nasution NIP The copy is suitable with the original Head of General Division Signature Prasetyo Wahyu Adi S NIP