Adeduntan calls for measures to combat fraud, money laundering

—- urges banking professionals to institutionalize CDD

STORIES BY COMFORT EKELEME, BUSINESS EDITOR

Chief Executive Officer, FirstBank Group, Dr Adesola Adeduntan has stressed the need for professional to adopt robust and effective measures to combat money laundering, terrorism and proliferation financing, fraud and other illicit activities.

He said this is imperative in an era marked by progressive technological advancement and an increasingly interconnected global economy.

Speaking in Lagos at the Meeting of the Association of Chief Compliance Officers of Banks in Nigeria (ACCOBIN), Dr. Adeduntan also urged regulatory practitioners in the banking industry to create a culture of compliance, adding that there is need ensure that Customer Due Diligence (CDD) was embedded in all aspects of businesses.

Dr. Adeduntan who was represented by the Executive Director, Retail Banking, Mr. Oluseyi Oyefeso, also urged compliance officers to help the banking business and protect the bank and customers from financial crime and other risks.

Themed, “Institutionalising Customer Due Diligence/Know Your Customer (KYC) in the Financial Services Sector”, the FirstBank boss said he is pleased to welcome all to the auspicious gathering of eminent professionals and regulatory practitioners in the banking industry in Nigeria.

He said, “FirstBank is delighted to be associated with every discourse on regulatory compliance and due diligence as these have remained a vital part of our corporate ethos, contributing largely to the credence of our Bank and ensuring our continued relevance as a foremost financial institution in the almost 130 years of our existence.

“The thematic focus for today’s meeting, “Institutionalising Customer Due Diligence/Know Your Customer (KYC) in the Financial Services Sector” is highly decisive in ensuring a healthy landscape for financial services providers in Nigeria, and I commend the executives of ACCOBIN and other stakeholders for their thoughtfulness in putting this together.

“When the campaign for Compliance and Anti-Money Laundering/Countering Financing of Terrorism (AML/CFT) started years back, many people saw it as an alien concept. But over the years, we have all come to see that it is a must-win war for the sustainability of our businesses and indeed, continuous survival of humans.

“Little wonder ‘Countering Proliferation Financing (PF)’ has now been added to the global onslaught against financial crimes. It is in the pursuit of this common agenda to stultify financial crimes that the crucial concept of Customer Due Diligence (CDD) also known as Know Your Customer (KYC) comes into play.

“I congratulate the organisers of this event and applaud their proactivity in driving this all-important discourse pivotal to aligning our clime and particularly the industry’s landscape to global standards,” he said.

Speaking further, he said, “At FirstBank, we are committed to actively enhancing our Customer Due Diligence (CDD) practices because we recognise the critical role that CDD plays in maintaining the security of our operations and building trust with our clients.

He said that is why the FirstBank has continued to harness the power of technology to implement comprehensive CDD measures and it is steadfastly working towards ensuring a seamless and secure environment for clients and other stakeholders.

He said, “some of the steps we have taken include the relentless strides in digital automations such as: Development of a robust framework for Ultimate Beneficial Owner (UBO) identification to mitigate the risk of money laundering, fraud, and other illegal activities; Utilisation of digital tools such as automated screening systems to streamline and enhance the due diligence process which efficiently screen customer information against watchlists, sanctions lists, and adverse media databases; Monitoring of customer activities through the implementation of a robust monitoring system to continuously assess customer behavior and identify any suspicious transactions.

“I therefore implore every one of us present here today, as prominent agents of change, to use our voice and influence to drive the institutionalisation of Customer Due Diligence practices in banks as a vital step towards maintaining the integrity of our financial systems and the economic soundness of the country by extension.

“By adopting a structured and systematic approach to conducting Customer Due Diligence, banks become adequately equipped to effectively combat money laundering, terrorism and other associated activities.

“The benefits are manifold, with a major one being increased confidence and trust in the banking industry, ultimately leading to higher profitability. I enjoin us to continue to consolidate our collaborative efforts and innovative solutions for greater operational efficiencies, heightened security, and enhanced customer experiences.