On 14 July 2020, the Financial and Capital Markets Commission adopted a decision to assess Signet Bank for a penalty due to identified AML/CTPF (anti-money laundering/counter-terrorist and proliferation financing) deficiencies.
The Financial and Capital Markets Commission’s decision to enforce a fine is certainly not pleasant news for the Bank, but we know that even minor flaws may lead to penalty sanctions in today’s tightly regulated financial system. Signet Bank is continually working on its system of internal controls for AML/CTPF, striving to ensure full compliance with industry standards and best practices, the mounting demands of legislations, and the expectations of our regulator, while minimising risk to business. We wish to underscore that this decision by the FCMC concerns procedural flaws in our internal control system, and does not establish any actual cases of sanctions violation of laundering of proceeds from criminal acts,” comments CEO of Signet Bank Roberts Idelsons.
The Financial and Capital Markets Commission audit that identified these flaws in our internal control system was conducted in late 2018. The Bank has considered every bit of advice offered by the regulator, and has taken action to improve its internal control system for AML/CTPF in line with its risk profile, ensuring more effective compliance with all applicable regulations. Signet Bank routinely invests in developing its IT, processes and human resources to guarantee that risk management and control mechanisms remain consistent with the Bank’ s business model.
About Signet Bank
The bank was founded in 1992 as Latvijas Biznesa banka. Since 2013, it has focused its strategy of servicing high net worth individuals and their companies, with an emphasis on high-quality capital maintenance and structured investment projects. Signet Bank’s majority shareholders are a group of Latvian and international investors, chief among them being SIA Hansalink, SIA Fin.lv and Signet Acquisition III.