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OM-8.2.21

Senior management is responsible for establishing and maintaining robust challenge mechanisms and effective issue-resolution processes. These must include systems to report, track and, when necessary, escalate issues to ensure resolution. Banks must be able to demonstrate that the three lines of defence (as highlighted in Paragraph OM-8.1.3) approach is operating satisfactorily and to explain how the board and senior management ensure that this approach is implemented and operating in an appropriate and acceptable manner.

Added: October 2012