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  • BR-1 BR-1 Prudential Reporting

    • BR-1.1 BR-1.1 Monthly Prudential Reporting

      • Monthly Prudential Return

        • BR-1.1.1

          All licensees must prepare and submit to the CBB, through the Money Changers System (as required by the CBB), a Monthly Prudential Return (MC-MPR).

          Amended: October 2018
          October 2010

        • BR-1.1.2

          The Monthly Prudential Return must be submitted to the CBB within 20 calendar days of each month end.

          October 2010

      • Other Monthly Reports

        • BR-1.1.3

          All licensees must submit a report to the CBB at the end of each month, listing the name(s) and transaction details of customers whose transactions either singly or aggregately are equivalent to, or greater than, 5% of the total turnover of the licensee, during a month.

          October 2010

    • BR-1.2 BR-1.2 Quarterly Prudential Reporting

      • BR-1.2.1

        All licensees must prepare and submit to the CBB, through the Money Changers System (as required by the CBB), a Quarterly Prudential Return (MC-QPR).

        Amended: October 2018
        October 2010

      • BR-1.2.2

        The Quarterly Prudential Return must be submitted to the CBB within 30 calendar days of each quarter end (as defined in Rule BR-1.2.4).

        Amended: January 2022
        Added: October 2010

      • Valuation of Assets and Liabilities

        • BR-1.2.3

          Amounts included within the Quarterly Prudential Return must be determined in accordance with the recognition and measurement principles specified by International Financial Reporting Standards.

          October 2010

        • BR-1.2.4

          For the purpose of reporting requirements under this Section, the quarter end of a licensee must be a 3-month period ending on 31 March, 30 June, 30 September or 31 December.

          October 2010

    • BR-1.3 BR-1.3 Annual Prudential Reporting

      • BR-1.3.1

        All licensees must prepare and submit to the CBB, through the Money Changers System (as required by the CBB), an Annual Prudential Return (MC-APR).

        Amended: October 2018
        October 2010

      • BR-1.3.2

        The Annual Prudential Return must be submitted to the CBB within 3 months of the end of the financial year (as defined in Rule BR-1.3.4).

        October 2010

      • BR-1.3.2A

        In accordance with Paragraph GR-7.1.4, licensees must submit the Insurance Coverage Return (Form ICR) on an annual basis, within 3 months of the end of the financial year.

        Added: October 2014

      • Valuation of Assets and Liabilities

        • BR-1.3.3

          Amounts included within the Annual Prudential Return must be determined in accordance with the recognition and measurement principles specified by International Financial Reporting Standards.

        • BR-1.3.4

          The financial year of a licensee must be a 12-month period ending on 31 December, except where the licensee has obtained the written consent from the CBB for either the period or the period end to be other than 12 months and 31 December respectively. In any event, the financial year can never be less than a 6-month period or greater than an 18-month period.

    • BR-1.4 BR-1.4 Public Disclosure

      • BR-1.4.1

        Submitted Forms Monthly, Quarterly and Annual Prudential Reports are not public documents and will not be disclosed to third parties by the CBB without the licensee's consent. However, the CBB may from time to time publish aggregate information derived from such Forms, relating to licensees or the Bahrain money changing sector as a whole.

        October 2010

      • BR-1.4.2

        Whilst submitted Forms are not public documents, licensees are not prevented from providing complete copies to third parties.

        October 2010

    • BR-1.5 BR-1.5 Other Reporting Requirements

      • Audited Financial Statements

        • BR-1.5.1

          As specified in Article 62 of the CBB Law, a licensee must submit to the CBB its final audited financial statements within 3 months of the licensee's financial year-end.

          October 2010

        • BR-1.5.1A

          In accordance with Paragraphs EN-B.4.5 and EN-5.2.2, licensees must disclose in their annual audited financial statements the amount of any financial penalties paid to the CBB, together with a factual description of the reason(s) given by the CBB for the penalty. Licensees which fail to comply with this requirement will be required to make the disclosure in the annual audited financial statements of the subsequent year and will be subject to an enforcement action for non-disclosure.

          Added: October 2019

        • BR-1.5.2

          Audited accounts of a licensee should be prepared in accordance with the International Financial Accounting Standards (IFRS) and with the requirements outlined in Appendix 1 at the end of this Module.

          October 2010

        • BR-1.5.3

          The Management Letter prepared by the external auditor must be submitted together with the final audited financial statements.

          October 2010

      • Charity Accounts

        • BR-1.5.4

          As per Rule FC-1.6.3 licensees must report at the end of every month, all payments and transfers of BD3,000 (or equivalent in foreign currencies) and above performed on behalf of charities registered in Bahrain. The report must be submitted to the CBB's Compliance Directorate, giving details of the amount transferred, name of charity, number and beneficiary name account and bank details.

          October 2010

      • Suspicious Transaction Reports (STR)

        • BR-1.5.5

          As per Rule FC-5.2.4, licensees must report all suspicious transactions or attempted transactions to the Financial Intelligence Unit at the Ministry of Interior and to the Compliance Directorate at the CBB.

          October 2010

        • BR-1.5.6

          As per Rule FC-1.8.2 licensees must make a suspicious transaction report to the Compliance Directorate at the CBB and the Financial Intelligence Unit at the Ministry of Interior, if they are approached by a shell bank or an institution they suspect of being a shell bank.

          October 2010

        • BR-1.5.7

          As per Rule FC-2.2.5, in the case of one-off transactions where there is no ongoing account relationship, the licensee must file an STR.

          October 2010

        • BR-1.5.8

          As per Rule FC-5.2.3, if licensees suspect that a person has been engaged in money laundering or terrorism financing, or the activity concerned is regarded as suspicious, the licensee must report the fact promptly to the Financial Intelligence Unit at the Ministry of Interior and copy the Compliance Directorate at the CBB. The reports must be made using the STR Form and related instructions, included in Part B of Volume 5.

          October 2010

        • BR-1.5.9

          As per Section FC-8.1, when dealing with entities or persons domiciled in countries or territories which are identified by the FATF as being non-cooperative or notified to licensees from time to time by the CBB, whenever the licensee has suspicions about the transaction, these must be reported to the Financial Intelligence Unit at the Ministry of Interior and the Compliance Directorate at the CBB.

          October 2010

        • BR-1.5.10

          As per Rule FC-8.3.3, licensees must report to the Financial Intelligence Unit at the Ministry of Interior and the Compliance Directorate at the CBB, using the procedures contained in Section FC-5.2, details of any accounts or other dealings with persons and entities designated by the CBB as potentially linked to terrorist activity.

          October 2010

      • Reports Prepared by the MLRO

        • BR-1.5.11

          As per Rule FC-4.3.1(a) and (b), licensees must arrange for their MLRO to produce a report containing the number of internal reports made in accordance with Section FC-5.1, a breakdown of all the results of those internal reports and their outcomes for each segment of the licensee's business, and an analysis of whether controls or training need to be enhanced and a report, indicating the number of external reports made in accordance with Section FC-5.2 and, where a licensee has made an internal report but not made an external report, noting why no external report was made. These reports are to be submitted to the CBB by the 30th of April of the following year.

          October 2010

      • Report Prepared by the External Auditor

        • BR-1.5.12

          As per Rule FC-4.3.1(d), licensees must arrange for their external auditor to produce a report as to the quality of the licensee's anti-money laundering procedures, systems and controls, and compliance with the AML Law and Module FC (Financial Crime) to be submitted to the CBB by the 30th of April of the following year.

          October 2010

      • Terrorist Financing

        • BR-1.5.13

          As per Rule FC-8.2.4, licensees must report to the Compliance Directorate at the CBB, details of:

          a) Funds or other financial assets or economic resources have with them which may be the subject of Article 1, paragraphs (c) and (d) of UNSCR 1373; and
          b) All claims, whether actual or contingent, which the licensee has on persons and entities which may be the subject of Article 1, paragraphs (c) and (d) of UNSCR 1373.
          October 2010

      • Counterfeit Currency

        • BR-1.5.14

          In accordance with Rule GR-10.1.3, licensees must submit a report on any counterfeit currency discovered. The report should detail the name of the customer, the date of receipt of the notes(s), the name of the person who brought in the note(s), if different from the customer, and the action (if any) taken by the relevant licensee.

          October 2010

        • BR-1.5.15

          In the case of counterfeit Bahraini Dinar currency, the report should be submitted to the Director of Currency Issue at the CBB, the Director of the Compliance Directorate at the CBB and copied to the Director of the Financial Intelligence Unit at the Ministry of Interior.

          October 2010

        • BR-1.5.16

          In the case of all other foreign counterfeit currency, the report should be submitted to the Director of the Compliance Directorate at the CBB and copied to the Director of the Financial Intelligence Unit at the Ministry of Interior.

          October 2010

        • BR-1.5.17

          Licensees must submit a report, in the form of a confirmation letter, detailing the use of counterfeit currency detection equipment at the premises, as per required under section GR-10.1. The report must be submitted annually and must provide the exact specifications of counterfeit currency detection devices installed at each licensees head office and branches. The report should be submitted to the Currency Issue Directorate at the CBB within one month following the end of every financial year.

          October 2010

      • Insurance Coverage Return

        • BR-1.5.18

          Licensees must submit an Insurance Coverage Return (Form ICR) on an annual basis. Additionally, they must provide, upon request, evidence to the CBB of the coverage in force.

          October 2010

      • Annual License Fee

        • BR-1.5.19

          Licensees must complete and submit Form ALF (Annual License Fee) to the CBB, no later than 30 April each year, together with the payment due under Rule AU-5.2.1.

          October 2010

      • Institutional Information System (IIS)

        • BR-1.5.20

          Licensees are required to complete online non-financial information related to their institution by accessing the CBB's institutional information system (IIS). Licensees must update the required information at least on a quarterly basis or when a significant change occurs in the non-financial information included in the IIS. If no information has changed during the quarter, the licensee must still access the IIS quarterly and confirm the information contained in the IIS. Licensees must ensure that they access the IIS within 20 calendar days from the end of the related quarter and either confirm or update the information contained in the IIS.

          Amended: January 2013
          January 2011

        • BR-1.5.21

          Licensees failing to comply with the requirements of Paragraph BR-1.5.20 or reporting inaccurate information are subject to financial penalties or other enforcement actions as outlined in Module (EN) Enforcement.

          January 2011

    • BR-1.6 BR-1.6 Onsite Inspection Reporting

      • BR-1.6.1

        For the purpose of onsite inspection by the CBB, Licensees must submit requested inspection documents and completed questionnaires to the Inspection Directorate at the CBB three working days ahead of inspection team entry date.

        Added: April 2017

      • BR-1.6.2

        Licensees must review the contents of the draft Inspection Report and submit to the Inspection Directorate at the CBB a written assessment of the observations/issues raised within fifteen working days of receipt of such report. Evidentiary documents supporting management’s comments must also be included in the response package.

        Amended: January 2022
        Added: April 2017

      • BR-1.6.3

        Licensees board are required to review the contents of the Inspection Report and submit within one month, of the report issue date, a final response to such report along with an action plan addressing the issues raised within the stipulated timeline.

        Added: April 2017

      • BR-1.6.4

        Licensees failing to comply with the requirements of Paragraphs BR-1.6.1 and BR-1.6.2 are subject to date sensitive requirements and other enforcement actions as outlined in Module (EN) Enforcement.

        Added: April 2017