The Governor of the Central Bank of Jordan, the regulatory and supervisory authority for the licensed banks in Jordan, on Wednesday expressed his concern at the news that a lawsuit is being filed against the Arab Bank in New York in connection with some transactions alleged to have been associated with financing of "terrorist" activities.
The Arab Bank, headquartered in Amman, Jordan, operates in several countries in Europe, North America, the Far East and the Middle East. The Arab Bank is the highest rated bank in Jordan in all aspects of its operations, management and compliance.
The Governor noted that the Arab Bank is rated by established international institutions such as Moody's as well as the regulatory authorities in the host countries in which it operates. "The regulatory authorities for banks in both the United States and the United Kingdom confirm the Arab Bank's strict compliance with existing regulations on anti-money laundering and combating of terrorism financing," the Governor statement said.
The Central Bank of Jordan regularly examines the Arab Bank on a consolidated basis and is satisfied with all aspects of its operations, it added.
The statement further stressed that "Jordan is party to all multilateral agreements on anti money laundering and combating the financing of terrorism and has taken the lead in many instances to enhance the cooperation with other regulatory agencies."
A recent review by the International Monetary Fund on Jordan's efforts in this area revealed a high level of compliance with international standards. The Central Bank of Jordan has cooperated with the relevant agencies in the United States over the past months to investigate the transactions and accounts that were suspect by those U.S. agencies. The Arab Bank has cooperated fully during that process and provided all requested information.
Furthermore, the Finance Unit established in the Palestinian Authority in cooperation with the U.S. Treasury in the West Bank monitors closely any transaction exceeding $10,000.
"The Central Bank of Jordan sympathizes with all those who lost relatives and loved ones in terrorist activities. Jordan's position on fighting terrorism is well known since the early 1950s. However, we do not believe that targeting an institutions will a long tradition of integrity and compliance with regulations will help the case of those who seek compensation for their tragic loss. Furthermore, the Central Bank of Jordan stands ready to take appropriate action against those who undermine the integrity of our banking system." (menareport.com)
© 2004 Mena Report (www.menareport.com)
