ANTI-MONEY LAUNDERING, ANTI TERRORISM AND PROCEEDS OF UNLAWFUL ACTIVITIES ACT 2001 - MY THOUGHT FOR THE DAY

The Malaysian Anti-Money Laundering, Anti-Terrorism and Proceeds of Unlawful Activities Act 2001 is clear in terms of enforcement, reporting institutions and entities, detecting of red flags, sanctions, seizures, etc.

However, there is a possibility of overlapping of duties between several agencies, leaving the general public unclear about "who can do what." This includes Bank Negara Malaysia, Security Commission, Company Commission of Malaysia, Malaysian Anti-Corruption Agency, Royal Military Police, and Special Forces. It's important to sort out these duties to ensure transparency and clarity in the system.

Other potential shortcomings include different reporting periods, accessing databases, listing and global sharing of information. I hope to see improvements in the near future.

PART 3 - ANTI-BRIBERY MANAGEMENT SYSTEM - by Nik Zafri

1. Context of the Organization

Most of the contents are almost similar to any other quality, safety and environmental certification standards. With exceptional the use of "Anti Bribery Management System (ABMS)" in lieu of QMS, OHSMS and EMS.

It's important to identify and customize ABMS to the overall business nature of the organization be it internal or external. Not everything may apply to the organization practicing ABMS but to link most of the elements to the core processes would be an added advantage. 

Most important, all activities and relevant documented information to also take into account applicable statutory, regulatory, contractual and professional obligations and duties. 

2. Stakeholders

In this sense, not limited to the following, stakeholders could be :

a) Board of Directors (BOD) or equivalent - in this sense, directors that possess a certain portion of shares and with executive authorities to execute their duties and responsibilities to ensure that resources are provided to ensure the success of ABMS. They must also have a fair knowledge of the relevant regulations and ABMS.

b) Management Representative (MR) - although most of the latest revision of the standards may have ommitted "MR", it's still required to have one either a member of the BOD or a member of the organization who possess sufficient experience, qualifications and competency to become the "watchdog" of the system. 

c) Non-Executive Directors or equivalent - this would apply to advisors; despite limited to making recommendations; they should also be fully aware of applicable regulations and ABMS

d) Representatives from Service Providers - namely Consultants, Contractors and Suppliers/Vendors - they are also involved in ABMS and is bound to ethics and requirements of the ABMS procurement contract and procedures, 

e) Investors - for public and public listed companies, the prospectus, annual reports or magazines (online and offline) or press conferences should highlight the initiatives taken by the organization and how investors can play their roles in ABMS,

e) Representatives from the general public or people from the surrounding areas of operation. It's also a good practice to involve relevant NGOs as well.

f) Authorities - involving Anti-Corruption Commission, Corporate Governance, Company Laws, Security Commission, Anti-Money Laundering, Central Bank and the finances and banks as well. Communications should be well-established with these entities.

It is important to note that "whistleblowers" MUST be protected at all times.

3. Scope

"Scope" is relevant to the nature of business of the organization taking into account internal and external issues and risk assessment. Documented information to determine and clarify the scope should be included in the ABMS Manual of the Organization.

4. Anti-Bribery Management System (ABMS)

Again, the keywords :

i)  Establish

ii) Document

iii) Implement

iv) Maintain

v)  Review

vi) Improve

are included in ABMS to manage documented information (document, data and records) just like any other certification standards.

Most important - whether it's a Policy, or Manual or Plan, or Procedures (Administrative and Operation) or Work Instruction or Method Statement or Inspection and Test Plan (even checklists) - a clear and thorough process flow (typical 4 columns - no., process, person in charge (PIC) and relevant documented information - should be included and related to the documented information. These documented information should take into account ABMS standard, relevant regulations and where applicable contractual requirements.

The documented information should also contain measures designed to identify and evaluate the risk of, and to prevent, detect and respond to, bribery.

Despite to eliminate risk of bribery is almost impossible, it is advisable to have a target set for every cut-off period of implementation.

5. Risk Assessment 

a) Identify the bribery risks - proactively if necessary (based on past experience) or as per recommendation from external party,

b) New and unexpected risks could be identified as the implementation goes - analyze (data analysis), assess and prioritize (e.g. the typical Red, Yellow, Green coloured bands - with justifications)

c) Identify proactive mitigation or new mitigation for unexpected risks found during assessment,

d) Be reviewed (usually in the Management Review Meeting)

e) Be susceptible to change in the country laws/legislations or the standard or any other guidelines from the relevant parties.

Should there be a repetitive trends, then it is important to look back at the risks been identified during the commencement of the system (ABMS)

RASUAH "CARA BARU" - Oleh Nik Zafri

Image Source : greece.greekreporter.com

Rasuah tetap rasuah walau bagaimana pun ianya ditafsir. Terdapat banyak trend baru untuk menutup rasuah. 

Semua organisasi, entiti perniagaan dll adalah tertakluk kepada Akta Suruhanjaya Pencegahan Rasuah Malaysia 2009 (Akta SPRM 2009) dan mereka perlu berhati-hati dalam mewujudkan prosedur yang perlu meliputi apakah beza di antara apa yang ditafsir sebagai "tidak beretika" dan apa yang ditafsir sebagai "bersalahan dari segi undang-undang".

Apatah lagi syarikat-syarikat dan firma-firma yang benar-benar ikhlas untuk menjadikan amalan urustadbir korporat sebagai panduan mereka.

Kita sudah banyak mendengar mengenai Tanggungjawab Sosial Korporat atau CSR di mana sejumlah derma yang besar jumlahnya diberikan kepada persatuan atau pertubuhan bukan kerajaan yang berasaskan kebajikan.

Percaya atau tidak, terdapat ahli pertubuhan/persatuan atau kelab sebegini mempunyai perhubungan secara terus dengan orang-orang berpengaruh dalam sesebuah agensi kerajaan mahupun swasta.

Bukan satu kebetulan, setelah mana-mana entiti atau organisasi menyumbangkan derma yang banyak menerusi NGO berasaskan kebajikan, penderma ini akan mendapat habuan projek dsb. hasil daripada 'bantuan' yang diberikan oleh ahli NGO berkenaan.

Rasa saya, sudah sampai masanya, ROS, SSM, Jabatan Audit Negara, SPRM dll melakukan penyiasatan 'forensik' yang terperinci ke atas NGO-NGO yang begitu banyak di negara ini. Sesetengah yang saya temui, tidak segan-silu menyatakan pada saya bahawa tujuan penubuhan NGO ni adalah untuk mendapatkan wang, habuan malah geran pula.

Penyiasatan patut ditumpukan kepada :

a) Kenali siapakah mereka yang menjadi ahli dalam NGO berkenaan atau melantik ahli keluarga yang berkaitan dengan mereka yang mempunyai jawatan dan pengaruh dalam tender dsb.,

b) Penilaian "due diligence" untuk memastikan adakah NGO yang ingin ditubuhkan benar-benar entiti filantrofik (penilaian ini juga perlu diperluaskan kepada entiti pelaburan atau koperasi atau konsortium atau syarikat "berhad" atau syarikat "perdagangan")

c) Sebarang permohonan derma atau pemberian derma yang terlalu besar jumlahnya serta berkaitan pula dengan tender atau kontrak secara generik perlu disiasat

d) Memastikan bahawa terdapat dasar yang jelas sebagai panduan ke atas CSR atau derma yang bertemakan "kebajikan" bagi memastikan :

i) ianya sampai kepada golongan sasaran atau ahli yang memerlukan,

ii) terdapat ketelusan dalam laporan yang dikemukakan termasuk persetujuan dan disclosure sebelum dan selepas wang derma diterima

Paling penting di sini ialah Pegawai-Pegawai yang dilantik menjaga perbendaharaan dan kewangan perlukan tauliah yang secukupnya. Begitu juga dengan para penilai NGO berkenaan.