MANILA, Philippines—It’s no longer enough for banks to perform thorough background checks on their customers and ascertain the provenance of their money under the prevailing know-your-customer, or KYC, scheme.
Under the newly approved rules of the Bangko Sentral ng Pilipinas (BSP), supervised financial institutions will now have to carefully vet their own employees, too, under the so-called know-your-employee framework, or KYE.
The move was given the green light by the regulator’s policy making Monetary Board in a bid to prevent would-be rogue bank employees from committing fraud against bank clients, which does not happen often locally but involves hundreds of millions of pesos …
Keep on reading: BSP orders tighter vetting of bank employees to prevent emergence of rogues