c1039.pdf - BSP

Banexo SeNrneL Ne PrutptNAs

OFFICE OF THE GOVERNOR

crRcutAR N0.L019Series of 2Ot9

Subject: Amendments to the N and P Regulations of the Manual of Regulations forNon - Bank Financial Institutions

The Monetary Board, in its Resolution No. 514 dated 28 March 20L9, approvedthe following amendments to the N and P Regulations of the Manual of Regulations forNon-Bank Financial Institutions, particularly on the requirements for registration ofPawnshops and Money Service Businesses.

Section 1. Section 4511N shall be amended to read, as follows:

"Section 4511N Money Service Business Operations. The following rules andregulations shall govern the operations and reporting obligations of non-bank entitiesengaged in remittance, money changing, and/or foreign exchange dealing, pursuant toSection 3 of Republic Act (R.A.) No. 7653, as amended, [The New Central Bank Act],Section 3, in relation to Section tL, of R.A. No. 9160, as amended, [The Anti-MoneyLaundering Act (AMLA) of 20011, Section 3(c) of R.A. No. 1.0L68 (The TerrorismFinancing Prevention and Suppression Act of 2OL2l and their implementing rules andregufations, and Section 80 of R.A. No. 7653, as amended (The New Central Bank Act)."

Section 2. Subsection 4511N.1to Subsection 4511N.3 shall be amended to read,as follows:

"Subsection 4511N.1 Definition ol terms.

a. Remittance and Transfer Companies Bfq - xxx. This includes the following:

(1) Remittonce Agent (RA) - xxx.

(a)

(b)

Remittonce Direct Agent (RDA)-xxx

Remittonce Network Provider (RNP) -provides a network of Remittanceremittance services to RTC.

refers to any entity thatSub-Agents to perform

(c) Such other similar entities as may be determined by the MonetaryBoard.

For the purpose of this Section, entities functioning as an RA as hereindefined shall be registered as such, notwithstanding whether they arealso acting as Remittance Sub-Agent (RSA).

xxx

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b. Remittance Sub-Agent (RSA) - xxx. This includes xxx.

An RSA shall no longer be required to register with the Bangko Sentral.However, the RTC shall comply with the notification requirements asprovided in Subsection 451 1N.3(b).

xxx

h. Branch - refers to any company-owned office or place of business other thanthe Head Office of an RTC/MC/FXD.

i. RSA office - for purposes of this Section, it shall be considered as an extensionoffice of an RTC. lt includes the head office and branches of an RSA.

i. Offices - refer collectively to the head office, branches and RSA offices wheremoney changing/foreign exchange dealing and/or remittance transactionsshall be conducted.

Subsection 4511N.2 Requirements for registrotion. RTCs/MCs/FXDs xxx. All xxx.

a. Registration of RTCs/MCs/FXDs. For registration purposes, RTCs/MCs/FXDsshall be classified into six (G) categories with the following criteria:

xxx

RTCs/MCs/FXDs shall submit the Application for Registration and NotarizedDeed of Undertakin g (Appendix N-g-b-I) to the appropriate supervisingdepartment of the Bangko Sentral.

RTCs/MCs/FXDs shall adhere to the registration procedures contained inAppendix N-8-a.

b. Issuonce of Bangko Sentrol Certificote of Registrotion (COR) and Metal plote.RTCs/MCs/FXDs xxx. Within xxx.

xxx.

In considering xxx. In determining xxx.

A metal plate bearing the unique registration number of the RTC/MC/FXDshall be issued to each RTC/MC/FXD head office. The Bangko Sentral reservesthe right to collect reasonable amount to cover the cost ofproduction/issuance of the metal plate.

c. Accreditation of RSAs. Duly registered RTCs may accredit their own RSAs:Provided, That: (i) the engagement of RSA's remittance services is directlyrelated to the accomplishment of RTC's business plan/strategy; and(ii) appropriate.risk management policies and procedures pertaining to theaforementioned engagement are in place.

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The RSA shall be considered as part of the network of its accrediting RTC.RSAs are also subject to effective continuing oversight of their RTCs. RTC shallconduct appropriate due diligence in the accreditation of its RSAs and shallbe responsible for the RSAs' compliance with all applicable anti-moneylaundering (AML)/combating the financing of terrorism (CFT) rules andregulations.

Relative to the engagement of RSA, the policies and procedures, at aminimum, shall contain the following:

(1) Selection criteria and process in the accreditation of an RSA. Theselection criteria shall take into account, among others, the necessarypermits/authorization to perform the remittance business, and thefitness and propriety of the proprietor, partners, directors, or principalofficers of an RSA. ln determining whether a person is fit and proper,regard shall be given to the following: integrity/probity, marketreputation, competence, and financial capacity;

(2) Regular operational review on RSA's compliance with applicable laws,rules and regulations, especially on compliance with AML/CFT andconsumer protection requirements and performance in carrying outremittance activities; and

(3) Delisting of an RSA or termination of a remittance contract.

A relationship or remittance arrangement with an RSA shall be supported bya notarized remittance agreement. The contract shall clearly identify theroles and duties of each party including, among others, the responsibilities tocomply with relevant Bangko Sentral rules and regulations particularly onAML/CFT and consumer protection requirements. lt should also stipulatetherein that the RSA shall allow the Bangko Sentral to have access on theremittance system, records and other relevant information.

The RTC shall ensure that its RSA offices shall maintain a signage postedconspicuously in their premises, indicating that the RSA is an accreditedagent ofthe RtC.

d. Mondotory troining requirement. The proprietorsl, partners, directors,president or officer of equivalent rank and function, over-all head of themoney service business operation and the head of the compliance unit shallattend a seminar on AML/CFT laws, rules and regulations, before start ofoperations, conducted by the Bangko Sentral, Anti-Money LaunderingCouncil (AMLC), or any reputable training provider2.

Subsection 4511N.3 Notification requirements. RTCs/MCs/FXDs shall inform theappropriate supervising department of the Bangko Sentralof the following events:

a. Commencement of operations. RTC/MC/FXD shall notify within five (5) businessdays from the start of operations of its head office.

1 Refer to owner of single proprietorship MSBs2 Refers to an entity which has an adequate track record of successfully conducting training programs

preferably on financial institution-oriented courses, including AML/CFT training. For this purpose, theRTC/MC/FXD shall be responsible in ascertaining whether the training provider is reputable as hereindefined.

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b. New offices. RTC shall submit a list of all its new branches and accredited RSAson a monthly basis within five (5) business days from end of the referencemonth.

c. New/Terminoted tie-up partner/s. RTC shall submit a list of all its new andterminated local/foreign remittance tie-up partners during the month withinfive (5) business days from the end of the reference month.

The relationship or remittance arrangement with the tie-up partner/s shall besupported by remittance agreement/s which shall be notarized or consularizedif originated/signed abroad. RTC shall ascertain that its tie-up partner isauthorized to engage in remittance business by the appropriate supervising/licensing authority and is compliant with the AML/CFT laws of the countrywhere it operates. All remittance agreements shall be made readily availableduring examination or upon request of the Bangko sentral without delay.

Xxx"

Section 3. Subsections 4511N.5(a) and 4512N.8(a) shall be amended to read, asfollows:

"Subsection 451 lN.6 Re ports.

a. Required reports. Xxx:

(1) Semestral report of operating, and closed/delisted RTC/M C/FXD officeswhich shall be submitted within ten (10) business days from the end ofthe reference semester;

xxx

(4) Quarterly reports on the total value of foreign and domestic remittancetransactions which shall be submitted within ten (10) business days fromthe end ofthe reference quarter.

RTCs/MCs/FXDs shall adhere to the guidelines issued by the BangkoSentral on the manner of submission of reports in forms as may be determinedand required by the Deputy Governor, of the appropriate sector of the, BangkoSentral.

Su bsection 4512N.8 N otifi coti o n a n d re p o rti n g req u i re me nts.

a. Required reports. A Virtual Currency (VC) exchange xxx.

In addition, a VC exchange shall maintain records and submit the followingreports to the appropriate supervising department of the Bangko sentral:

Nature of Report Frequencv Due Datexxx xxx xxx3. List of operating offices

and websitesSemestral Ten (10) business days from

the end of the referencesemester

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A VC exchange shall adhere to the guidelines issued by the Bangko Sentral onthe manner of submission of reports in forms as may be determined andrequired by the Deputy Governor, of the appropriate sector of the Bangko

Sentral."

Section 4. Subsections 4511N.7 and 4512N.7 shall be amended to read, as

follows:

"subsection 4511N.7 lnternal control. RTCs/MCs/FXDs shall maintain an internalcontrol system commensurate to the nature, size and complexity of their respectivebusinesses.

Subsection 4512N.7 lnternol control. All VC exchanges shall maintain an internalcontrol system commensurate to the nature, size and complexity of their respectivebusinesses. "

Section 5. Appendix N-8-a (Registration Procedures for RTC/FXD/MC) andAppendix N-8-b-1 (Deed of Undertaking) shall be amended, as contained in Annex "A" ofthis Circular.

Section 6. Subsection 4103P.1 shall be amended to read, as follows:

"Subsection 4103P.1 Classilication of pawnshop operator license. The xxx:

Type DescriptionuAn Pawnshoo business with not more than ten (10) offices.

UB'Pawnshop business with more than tenPawnshop business with moneyexchanee dealine

a.

b.

(10)offices; orchanging/foreign

uc'Pawnshop business with corollary remittance activityrequiring Bangko Sentral registration, with or without moneychaneingfforeign exchange dealing.

UD' Virtual xxx.

The Bangko Sentral xxx.

All pawnshop businesses are allowed to act as Remittance Sub-Agents as definedin Subsection 4511N. 1."

Section 7. Subsection 41.03P.2 shall be amended to read, as follows:

"Subsection 4103P.2 (2016 - 4101P.5) Mondotory troining requirement Theproprietors3, partners, directors , president or officer of equivalent rank and function,and over-all head of the pawnshop operation and the head of the compliance unit shallattend, before the start of operations, a seminar on AML/combating the financing ofterrorism (CFT) laws, rules and regulations, conducted by the Bangko Sentral, AMLC, orany reputable training providera."

3 Refer to owner of single proprietorship pawnshopsa Refers to an entity which has an adequate track record of successfully conducting training programs

preferably on financial institution-oriented courses, including AML/CFT training. For this purpose, thePawnshop shall be responsible in ascertaining whether the training provider is reputable as hereindefined.

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section 8. Subsections 4142P.2 shall be amended to read as follows:

"Subsection 4142P.2 Qenerol qualifications. Any person can be a proprietor,partner, or director, president or officer of equivalent rank and function, and over-allhead of the pawnshop operation and the head of the compliance unit of pawnshopsprovided he/she:

a. Must have complied with the AML/CFT training as prescribed under Subsec.4LO3P.2; and

b. Must not be included in the Bangko SentralWatchlist Files.

An NBI clearance shall also be required for any newly accepted/elected/appointed partner, director, president or officer of equivalent rank and function, andover-all head of the pawnshop operation and the head of the compliance unit ofpawnshop."

section 9. subsections 4143p.5 shall be added, to read as foilows:

"Subsection 4143P.5 lssuonce of Metal Plote. A metal plate bearing the uniqueregistration number of the pawnshop head office shall be issued to the pawnshopoperator. The Bangko Sentral reserves the right to collect a reasonable amount to coverthe cost of the production/issuance of the metal plate."

section 10. subsection 4152P.1 shall be amended to read, as follows:

"Subsection 4L52P.L (2016-4126P.11 Notificotion. A pawnshop operator isalfowed to establish and operate more than one (1) pawnshop office: Provided, however,That it shall be the responsibility of the pawnshop operator to notify the appropriatesupervising department of the Bangko Sentral regarding new pawnshop office/soperated during the month within five (5) working days from end of the referencemonth.

Such notification shall include the exact address of the pawnshop office and thestarting date of its actual operations and must be signed by the proprietor/managingpartner/president or an officer of equivalent rank and function.,,

Section 11. Subsections 4691P.1to Subsections 4691P.3 shall be deleted.

Section 12. Appendix P-1 (List of Documentary Requirements to Accompany anApplication for Authority to Operate a Pawnshop Business) shall be amended, ascontained in Annex "8" of this Circular.

Section 13. Appendix N-1 (List of Reports Required from Non-Bank Financiallnstitutions) and Appendix P-13 (List of Reports Required from Pawnshops) shall beamended, as contained in Annex "C" of this Circular.

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Section 14. Effeaivity. This Circular shall take effect fifteen (15) calendar daysfollowing its publication in the Official Gazette or in a newspaper of general circulation inthe Philippines.

FOR THE MONETARY BOARD:

/a

/'' l r,'.^. 14)1.DIWA

3 Mav 2oL9

PageT of7

Annex "A"

Appendix N-8-a

Registration Procedures for RTC/MC/FXD(Appendix to Subsection 4SLIN.2)

Registration constitutes a two-stage process. Stage 1 is a preliminary screening processfor Bangko Sentral to determine if applicant is eligible for registration. In Stage 2, the eligibleapplicant is invited to submit supporting documents to complete the registration process.

A. First Stage

The new applicant shall submit the following for evaluation:1. Application Letter;2. Business Plan including target markets; and3. List of owners/controlling shareholders, directors, and principal officers, as

applicable.

B. Second Stage

lf the applicant is deemed eligible in Stage 1, the applicant shall be invited to submit anotarized Application for Registration to Operate a Money Service Business, accompanied bythe following documents:

1. Notarized Deed of Undertaking(Appendix N-g-b-11;

2. Compliance with fitness and propriety requirements by the proprietor, partners,directors, president or officer of equivalent rank and function, and over-all head of themoney service business operation and the head of the compliance unit, as the casemaybe. For this purpose, applicants shall be required to submit the following:

a. Personal Data and Authorization Form (Appendix N_S_b_2);

b. NBI clearance, or its equivalent, if issued in foreign jurisdiction; and

c. Proof of attendance to the mandatory training on anti-money laundering/combatingthe financing of terrorism;

3. Business license/permit for the current periodr; and

4. Proof of provisional registration with the Anti-Money Laundering Council Secretariat.

1 The entity name, business address and activity(ies) indicated therein should be consistent with the businessregistration with the DTI/SEC/CDA, as applicable. The details in said business permit shall be used as basis in theissuance of Certificate of Registration.

-?fii

Annex "ff

1.

2.

Appendix N-8-b-1

REPUBLTC OF THE PHTLTPPTNES)

clTY )s.s.

DEED OF UNDERTAKING

l/We (the Proprietor/Partners/Members of the Board of Directors) and keyexecutive officers of (Name of Institution). a legal entity duly authorized to operate underthe laws of the Philippines, with principal place of businessat by these presents, do hereby obligate ourselves,individually and collectively, to undertake and ensure:

Strict compliance with all the requirements, rules and regulations of the BangkoSentral regarding the registration and operations of money service business, as wellas the provisions of Republic Act (R.A.) No. 9160 [The Anti-Money Laundering Act(AMLA) of 20011, as amended, R.A. No. 10158 (The Terrorism Financing Preventionand Suppression Act of 2OL2l and their implementing rules and regulations;

Responsibility for any violation of the provisionsof R.A. No. 9160 (The AMLA of 2001), as amended, R.A. No. 10168 (The TerrorismFinancing Prevention and Suppression Act of 2OL2l, and their implementing rulesand regulations, and for possible sanctions prescribed under Section 36 of R.A. No.7653, as amended, (The New Central Bank Act) and other applicable laws, rules andregulations;

Financial capacity to organize and operate a money service business and fullcompliance with the minimum capitalization prescribed under Subsection 451lN.2of the Manual of Regulations for Non-Bank Financial Institutions (MORNBFI);

Compliance with the requirements on customer due diligence, covered andsuspicious transaction reporting, and record keeping and retention;

Development, adoption and dissemination to all employees concerned of a MoneyLaundering and Terrorist Financing Prevention Program (MTPP);

Exclusive use of bank account/s in the name of the registered entity in its officialbusiness transactions and to provide a certified list of all bank account/s supportedby confirmation from depository bank/s which shall be subject to Bangko Sentralinspection/ examination for anti-money laundering (AML)/combating the financingof terrorism (CFT) purposes;

Notification of the appropriate supervising department of the Bangko Sentralwithin the prescribed deadline of the following events: (a)commencement ofoperations; (b) change of registered/business name; (c) new office/s;(d) new/terminated tie-up partner/s; (e)transfer of location of office/s;(f) additional money service business; (g)closure of office/s; and (h) closure ofbusiness;

3.

4.

5.

6.

7.

L2,

13.

8.

9.

10.

LT.

15.

16.

L7.

18.

19.

20.

Prior approval from the appropriate supervising department of the Bangko Sentralfor any change in ownership or control;

Strict compliance with the requirements of maintenance of records and submissionof required reports;

Maintenance of an internal control system commensurate to the nature, size andcomplexity of the business;

Adoption of minimum standards of consumer protection in the areas of disclosureand transparency, protection of client information, fair treatment, effectiverecourse and financial education pursuant to the MoRNBFI - N Regulations;

Compliance with the applicable provisions of the Information Technology RiskManagement Framework of the MORNBFI - N Regulations;

Payment to the Bangko Sentral of the following fees: (a) registration fee; (b) annualservice fee; (c) metal plate; and (d) processing fee for the replacement of BangkoSentral Certificate of Registration;

Strict compliance with the transactional requirements on the large value pay-outsand the sale of foreign currencies, and obtaining prior approval from theappropriate supervising department of the Bangko Sentral before transactinghigher limits on the sale of foreign currencies;

Strict compliance with possible monetary sanctions/ penalties and other sanctionsas imposed by the Bangko Sentral;

submission of the complete list of our foreign orlocal counterparties, including their contact details (i.e., business address, contactperson and its numbers) (this provision is applicable to Remittance ond TronsferCompany IRTC]only);

Contracting with counterparty(ies) that is/are licensed/authorized/ registered toengage in remittance business and is/are subject to the AML/CFT laws of thecountry where it operates (this provision is applicable to RTC only);

Responsibility for the Remittance Sub-Agent's compliance with all applicableAML/CFT laws, rules and regulations(this provision is applicable to RTC onV)j

Timely renewal of the business permits of all of its offices, which indicate the line ofbusiness, from the city or municipality having territorial jurisdiction over the placeof establishment and operation of the respective offices; and

Attendance of the proprietor, partners, directors, president or officer of equivalentrank and function and head of the money service business operation and thecompliance unit to a seminar on AML/CFT laws, rules and regulations, before startof operations, conducted by the Bangko Sentral, AML Council Secretariat, or anyreputable training provider.

For this purpose, [Name of lnstitutionl shall be responsible in ascertalning whetherthe external training provider has an adequate track record of successfullyconducting training programs preferably on financial institution-oriented coursesincluding, but not limited to, AML/CFT training.

L4.

signature over Printed Name of the Proprietor/All DesignationPartners/All Members of the Board of Directors)

and Key Executive Officers

flnsert odditionol rows, as opplicoble]

suBscRlBED AND swoRN to before me this_day of 2o_-, affiantsexhibiting to me their government-issued identification cards, as follows:

Name Gov't. lD No. Valid Until

[lnsert additional rows, os applicoblel

Notary Public

Appendix N-8-b-2

COMPANY NAME

BUSINESS ADDRESS

PERSONAT DATA and AUTHORIZATION FORM

POSITION

l, lNamel, after being sworn in accordance with law, do hereby:

a' Certify that the information contained in this document and its supporting schedule of my ownknowledge is true and correct.

b. Authorize the following, pursuant to the provisions of subsection 4511N.2 of the Manual ofRegulations for Non-Bank Financial Institutions (MORNBFt):

1. lName of lnstitutionl to conduct a background investigation on myself as lpositionl inlName of Institutionl which include, among others, inquiring from the watchlist Files of theBangko Sentral ng pilipinas; and

2' The Bangko Sentral ng Pilipinas to disclose its findings pertinent to theaforementioned inquiry on the said Watchlist Files and other sources to [Name of Institution].

with the above authorization, I hereby waive my right to the confidentiality of the information thatwill be obtained as a result of the said inquiry, provided that disclosure of said information will be limitedfor the purpose of ascertaining my qualification or non-qualification for the said position.

Signature over Printed Name

SIGNED IN THE PRESENCE OF:

(Witness) (Witness)

SUBSCRIBED AND SWORNhis/her issued at

to before me thison

_ day of_20 , affiant exhibiting to me

lD picture taken withinthe last 6 months3.5 cm. x 4.5 cm.(passport size)

Computer generatedor photocopy of

picture is notacceptable

Notary Public

Appendix N-8-b-2

6. DATE ELECTED / RE-ELECTED / APPOINTED / POSITION CHANGED :

PERSONAT INFORMATION:

1. NAME:

2. TIN :

4. OTHER NAMES USED, IF ANY :

5. MANAGEMENT LEVEL :

T.RESIDENCE ADDRESS :

8.TELEPHONE NO. :

lO.BUSINESS ADDRESS :

11. TEL. NO. :

I.3.CIVIL STATUS :

14. SEX :

16. DATE OF BIRTH :

BIOGRAPHICAL DATA

3. UPDATED AS OF :

! Director

9. E-MAIL ADD :

12. E-MAILADD :

! Married [Divorced/Separated

! female l5.ClTlZENSHlP :

n officer

! widow! single

fl vtate

17.PLACE OF BIRTH :

FAMItY RELATIONS (tegitimate or Common-Law):

SURNAME

18. NAME OF SPOUSE

NAME OF COMMON-LAWSPOUSE

MIDDLE SUFFIX (e.9. Jr.)

SUFFIX (e.g. tr.)

GIVEN

19.

SURNAME GIVEN MIDDLE

(Pleose indicote 'N/A" lor fields that are not applicable)

NAME UPDATED AS OF

TRATNTNG/S:

20. Seminars/Training on Money Service Business, AML/CFT and other related fields

NATURE/TITLE

WORK EXPERIENCE/S:

21. Present Position - Other Private Institution (lncluding Corporate Directorships)

NAME OF OFFICE POSTTtON DATE ASSUMEDINDICATE IF OWNER/

PARTNER/ STOCKHOLDER

(continue in separate sheet if necessary)

(continue in seporate sheet if necessary)

22. Present Position/s -Government (lncluding Directorships in Government Corporate Institutions)

DATE ASSUMED

INDICATE IF ELECTIVE OR

APPOINTIVE ANDPART/FULL-TIMENAME OF OFFICE POStTION

(continue in separate sheet if necessory)

23. Past Position/s - Other Private Institutions (lncluding Corporate Directorships)

NAME OF OFFICE POSTTtON

DURATTON (YEAR)

FROM TO


24. Past Positions - Government (lncluding Directorships to Government Financial Institution)


DURATTON (YEAR)

FROM TO

(continue in separate sheet if necessary)

(Please indicote'N/A" lor lields that ore not appticabte)

Annex "B"

Appendix P-l

^,,,f;lJ"?:Hn'il,1,',:ff l::[Tffi:ffiTI;;"",,(Appendix to Section 4t0gp)

The notarized Application for an Authority to Operate a new pawnshop business shallbe accompanied by the following documents:

L. Notarized Deed of Undertakin g (Appendix p-I-a);

2. Compliance with fitness and propriety requirements by the proprietor, partners,directors, president or officer of equivalent rank and function, and over-all head ofthe pawnshop operation and the head of the compliance unit, as the case maybe. Forthis purpose, applicants shall be required to submit the following:

a. Personal Data and Authorization Form (Appendix p-l-b);

b. NBI clearance, or its equivalent, if issued in foreign jurisdictions; and

c. Proof of attendance to the mandatory training on anti-money laundering/combating the financing of terrorism;

Business license/permit for the current periodl; and

Proof of provisional registration with the Anti-Money Laundering Council Secretariat.

1 The entity name, business address and activity(ies) indicated therein should be consistent with the businessregistration with the DTI/SEC, as applicable. The details in said business permit shall be used as basis in theissuance of Certificate of Authority.

3.

4.

Appendix P-t-a

REPUBLTC OF THE PHILtPP|NES )

crTY )s.s.

DEED OF UNDERTAKING

l/We (the Proprietor/Partners/Members of the Board of Directors) and key executiveofficers of (Name of lnstitution), a legal entity duly authorized to operate under the laws of thePhilippines, with principal place of business at by these presentsdo hereby obligate ourselves, individually and collectively, to undertake and ensure:

1. Strict compliance with all the requirements, rules and regulations of the Bangko Sentralregarding the licensing and operations of pawnshop business as provided underPresidential Decree (P.D.) No. 114, Manual of Regulations for Non-Bank FinancialInstitutions (MORNBFI) - Pawnshop (P) Regulations and other applicable laws, rules andregulations;

2. Full compliance with the minimum capitalization and borrowing limits as prescribedunder Section 4lItP and 4281P of the MORNBFT;

3. Adequate compliance with the provisions of Republic Act (R.A.) No. 9160, as amended[The Anti-Money Laundering (AML) Act of 2OOU, R.A. 10168 (The Terrorism FinancingPrevention and Suppression Act of 2OL2l and their implementing rules and regulationsparticularly in conducting customer due diligence procedures, covered and suspicioustransaction reporting, and record keeping and retention;

4' Exclusive use of bank account/s in the name of the licensed entity/pawnshop in itsofficial business transactions and to provide a certified list of all bank account/ssupported by confirmation from depository bank/s which shall be subject to BangkoSentral examination for AML/combating the financing of terrorism {CFT) purposes;

5. Compliance with the disclosure requirement on the entity/pawnshop beneficial owner/s;

6. Full responsibility over its offices'/branches' compliance with all the requirements, rulesand regulations of the Bangko Sentral on matters relating to license, registration andnotification requirements;

7. Submission of all documentary requirements and securing approval from the appropriatesupervising department the Bangko Sentral before effecting the following: (a) transfer ofownership; (b) change of registered business name; and (c)surrender of pawnshopoperator license due to closure of business;

8. Notification to the appropriate supervising department of the Bangko Sentral within theprescribed deadline of the following events: (a)commencement of pawnshopoperations; (b) newly-established pawnshop office; (c)transfer/ relocation of business;and (d)voluntary closure of pawnshop office;

Appendix P-1-a

9. Strict compliance with the requirements of maintenance of records and submission ofrequired reports;

Maintenance of an internal control system commensurate to the nature, size andcomplexity of the business, and development of sound risk management policies andpractices to ensure that risks associated with the operations of a pawnshop business areidentified, assessed, monitored, mitigated and controlled;

Adoption of minimum standards of consumer protection in the areas of disclosure andtransparency, protection of client information, fair treatment, effective recourse andfinancial education pursuant to Section 44OLP, Section 44O2P and Subsection 4195p.4 ofthe MORNBFI, as may be applicable;

Hiring, andlor engaging the services of external auditors/auditing firm, who will assist inthe preparation, and/or rendering an opinion on the fairness of the pawnshop's financialstatements, and that the external auditors/audit firm contracted are included in theBangko Sentral List of Selected External Auditors for Supervised and/or RegulatedInstitutions, as may be applicable based on the type of pawnshop license granted;

Attendance of the proprietor, partners, directors, president or officer of equivalent rankand function and head of the pawnshop operation and the compliance unit to a seminaron AML/CFT laws, rules and regulations, before start of operations, conducted by theBangko sentral, AML council secretariat or any reputable training provider.

For this purpose, lName of Institutionl. shall be responsible in ascertaining whether theexternal training provider has an adequate track record of successfully conductingtraining programs preferably on financial institution-oriented courses including, but notlimited to, AM L/CFT trai ning;

Timely renewal of the business permits of all of its offices, which indicate the line ofbusiness, from the city or municipality having territorial jurisdiction over the place ofestablishment and operation of the respective offices; and

Responsibility over violations of any of the aforementioned laws, rules and regulations,subject to the applicable sanctions prescribed under Sections 36 and 37 of R.A. No. 7653,as amended, in relation to Section 17 of p.D. No. 114.

LI,

L2.

13.

L4.

15.

Signature over Printed Name of the proprietor/AllPartners/All Members of the Board of Directors)

and Key Executive Officers

Designation

[lnsert additionol rows, os applicablel

Appendix P-1-a

suBscRlBED AND swoRN to before me this_day of 2o_, affiantsexhibiting to me their government-issued identification cards, as followr

Name Gov,t. lD No. Valid Until

Insert odditional rows, os opplicoblel

Notary Public

Appendix P-l-b

COMPANY NAME

BUSINESS ADDRESS

PERSONAT DATA and AUTHORTZATTON FORM

POStTtON

l, lNamel, after being sworn in accordance with law, do hereby:

a. Certify that the information contained in this document and its supporting schedule of my ownknowledge is true and correct.

b. Authorize the following, pursuant to the provisions of Subsection 4103p of the Manual ofRegulations for Non-Bank Financial Institutions (MORNBFt):

L. lName of Institutionl to conduct a background investigation on myself as [oositionl inlName of Institutionl which include, among others, inquiring from the Watchlist Files of theBangko Sentral ng pilipinas; and

2. The Bangko Sentral ng Pilipinas to disclose its findings pertinent to theaforementioned inquiry on the said Watchlist Files and other sources to IName of Institutionl.

With the above authorization, I hereby waive my right to the confidentiality of the information thatwill be obtained as a result of the said inquiry, provided that disclosure of said information will be limitedfor the purpose of ascertaining my qualification or non-qualification for the said position.

Signature over Printed Name

SIGNED IN THE PRESENCE OF:

(Witness) (Witness)

SUBSCRIBED AND SWORN to before me this_ day of_ZO_ affiant exhibiting to mehis/her issued at on

lD picture taken withinthe last 6 months3.5 cm. x 4.5 cm.(passport size)

Computer generatedor photocopy of

picture is notacceptable

Notary Public

Appendix P-1-b

6. DATE ELECTED / RE-ELECTED / APPOINTED / POSITION CHANGED :

PERSONAT INFORMATION:

1. NAME:

2. TIN :

4. OTHER NAMES USED, IF ANY :

5. MANAGEMENT LEVEL :

T.RESIDENCE ADDRESS :

S.TELEPHONE NO. :

lO.BUSINESS ADDRESS :

11. TEL. NO. :

I.3.CIVIL STATUS :

14. SEX :

16. DATE OF BIRTH :

BIOGRAPHICAT DATA

3. UPDATED AS OF :

! Director

9. E-MAIL ADD :

12. E-MAIL ADD :

! Married loivorced/Separated

! Female lS.ClTlZENSHtp :

flofficer

I wioowflsingte

! tvtate

17.PLACE OF BIRTH :

FAMILY RELATIONS (tegitimate or Common-Law):

18. NAME OF SPOUSE

NAME OF COMMON-LAWSPOUSE

SURNAME GIVEN MIDDLE SUFFIX (e.9. Jr.)

SURNAME MIDDLE SUFFIX (e.9. Jr.)GIVEN19.

(Please indicate 'N/A" for fields that ore not applicabte)

NAME UPDATED AS OF

TRA|NING/S:

20. Seminars/Training on Money Service Business, AML/CFT and other related fields

NATURE/TITLE

WORK EXPERIENCE/S:

21. Present Position - Other Private Institution (lncluding Corporate Directorships)

NAME OF OFFICE POSTTtON DATE ASSUMEDTND|CATE tF OWNER/

PARTNER/ STOCKHOLDER

CONDUCTED BY

(continue in seporate sheet if necessory)


22. Present Position/s -Government (lncluding Directorships in Government Corporate Institutions)

INDICATE IF ELECTIVE OR

APPOINTIVE ANDPART/FULL-TIMENAME OF OFFICE POStTTON DATE ASSUMED


DURATTON (YEAR)

FROM TO


23. Past Position/s - Other Private Institutions (lncluding Corporate Directorships)

NAME OF OFFICE POStTtONDURATION (YEAR)

FROM TO

(continue in seporote sheet if necessary)24' Past Positions - Government (lncluding Directorships to Government Financial Institution)

(continue in separote sheet if necessary)

(Please indicate 'N/A" for fietds that are not applicobte)

LIST OF REPORTS REQUIRED FROM NON.BANK FINANCIAL INSTITUTIONS

lAppendix to Sec. 4762N)

Report Title Frequenor Submission Deadline

Annex "C"

Appendix N-1

SubmissionProcedure

Appropriatesupervising

department of theBangko Sentral

-do-

Categorv

xxx

A-2

A-2

xxx

FormNo.

MORRef.

4511N

4511N

List of operating, andclosed/delisted RTC/MC/FXD offices

Reports on the total value offoreign and domestic remittancetransactions

Semestral

-do-

10 business days after end of referencesemester

10 business days after end of referencequarter

Annex "C"

Appendix P-13

IIST OF REPORTS REQUIRED FROM PAWNSHOPS

lAppendix to Subsedion 479tp.2)

Report Title Frequencv Submission DeadlineCateeory

xxx

A-2

Form No.

Unnumbered

MORRef.

4T9LP 10 business days afterend of reference semester

SubmissionProcedure

Appropriatesupervising

department of theBangko Sentral

List of operatingand closedPawnshop officest

Semestral

l The appropriate supervising department of the Bangko Sentral shall issue the submission guidelines and prescribed reporting template for this report.

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