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  • Compliance Officer

    • LR-1A.1.10

      All banks must appoint a senior member of staff with responsibility for the management of compliance risk as their Compliance Officer/Manager.

      October 2010

    • LR-1A.1.11

      The compliance function must be independent (i.e. it must not be placed in a position where its other duties or responsibilities may cause a conflict of interest with its compliance risk management responsibilities). Therefore the compliance function must be separate from the internal audit function. The compliance officer or manager may however, perform other limited related compliance roles (e.g. the MLRO or legal advisor), subject to the CBB's prior approval.

      October 2010

    • LR-1A.1.12

      The compliance function must have adequate resources to carry out its functions effectively.

      Amended: January 2016
      October 2010

    • LR-1A.1.13

      The bank must also outline how the compliance function fits into the bank's senior management reporting structure, and must give details of relevant reporting lines within the bank.

      Amended: January 2016
      October 2010

    • LR-1A.1.14

      In the case of locally incorporated banks, the compliance officer/manager must have access to the Board of Directors in addition to the senior management.

      October 2010

    • LR-1A.1.14A

      The Head of Internal Shari'a Audit function is responsible for examining and evaluating the extent of the licensee's compliance with the following:

      (a) Shari'a principles;
      (b) The SSB's Fatawa, guidelines, pronouncements and instructions/recommendations;
      (c) Shari'a related regulations, resolutions and directives issued by the CBB;
      (d) Shari'a standards issued by AAOIFI; and
      (e) Shari'a related policies and procedures of the Bahraini Islamic bank licensee.
      Added: October 2018

    • LR-1A.1.15

      Heads of other functions, where risk acquisition or control is involved, are responsible for tracking specific functional performance goals in addition to identifying, managing, and reporting critical organisational issues upstream. Certain functions require dealing directly with clients while others do not. Both categories of functions, however, require specific qualifications and experience to meet the objectives as well as compliance requirements of the Islamic bank licensee.

      Amended: October 2013
      October 2010

    • LR-1A.1.16

      Where a firm is in doubt as to whether a function should be considered a controlled function it must discuss the case with the CBB.

      October 2010