The negative economic effects of money laundering and terrorist financing on economic development are difficult to quantify
Yemen, as one of the Middle East and North Africa Region (MENAFATF) members, adheres to Anti-Money Laundering (AML) and Combating Terrorist Financing (CFT) recommendations.
Tadhamon International Islamic Bank (TIIB) duly incorporated and existing under License No. 313 dated 16/07/1996 under the supervision of the Central Bank of Yemen (CBY) which acts in accordance with regulations issued by the Law of Central bank of Yemen No. (21) of 1991 and the presidential Decree No. (36) of 1991.
Our Bank has established internal procedures and policies to detect, combat Money Laundering (ML) and Finance of Terrorism (FT) in accordance with the Yemeni Law no. (1) of 2010 on Anti-Money Laundering (AML) and Combating Financing of Terrorism (CFT) which entered to force on Jan.1st2010 in Yemen. This law, which came into effect following FATF Recommendations, has been amended by the Law no (17) of 2013 and the statutory duties resulting therefrom have been clarified by the corresponding guidelines issued by the Financial Information Unit (FIU) and Central Bank of Yemen.
Yemeni Banks are required by law to check regularly and document the identity of their customers. We have a written policy in place to meet the requirements imposed, which includes establishing and, ongoing basis, conducting customer due diligence (CDD) and maintaining records in accordance with applicable regulations.
TIIB carries out an on-going Anti-Money Laundering Training and Awareness Programme for appropriate personnel and we conduct an independent audit of the Programme. We have also implemented clear procedures to identify and report suspicious transactions and to confirm the legitimacy of the source and destination of larger transactions before processing them.
It is not part of our business to offer banking services to any bank incorporated in a jurisdiction in which it has no physical presence and which is unaffiliated with a regulated financial group (shell bank). We have a policy to ensure that we do not conduct transactions with or on behalf of shell banks through any of our accounts or products.
We do neither maintain relationships with banks that use payable-through-accounts nor do we keep such accounts in our own books. TIIB has a policy covering relationships with Politically Exposed Persons (PEPs), their family and close associates. Our Anti-Money Laundering Policy and Procedures are applicable to our domestic branches and to our subsidiaries abroad. Our Compliance Department is responsible for the observance of Anti-Money Laundering Requirements.
The mitigation of money laundering risks plays an important role in assisting the Central Bank of Yemen in achieving its objectives of preserving market confidence and promoting and maintaining the efficiency, transparency and integrity of the Yemenis financial sector. Also, it aims to deter criminals from using the products, services and network of Tadhamon International Islamic Bank for laundering the proceeds of their crimes.
In this respect, Tadhamon International Islamic Bank (TIIB) has created an independent Compliance Function having a formal status within the bank to give it the appropriate standing, authority and independence. The mission of the Compliance Function is to ensure that the Bank is complying with laws, regulations, rules, internal policies and procedures, and the code of conduct applicable to its banking activities. This typically includes specific areas such as the prevention of money laundering and terrorist financing.
TIIB is committed to fighting money laundering and combating terrorism financing by adopting and maintaining policies, procedures, systems and controls.
Also, we strongly believe that stringent “Know Your Customer” (KYC) measures have particular relevance to safety and due diligence in that they help to protect the Bank’s image by reducing the likelihood of becoming a vehicle for, or a victim of, financial crime and, as a result, suffer reputation damage.
It is responsible for ascertaining that concerned officers are complying with the procedure guide on the implementation of legal and regulatory requirements for fighting money laundering, review periodically the effectiveness of the procedures on fighting money laundering, propose amendments, and report the results of their compliance efforts.
Compliance Officers who reside in the branches have a reporting line to the branch manager but also have a reporting line through to the Compliance Department with regard to their compliance responsibilities. The Branch Compliance Officers are responsible for implementation of AML requirements in the branch, by verifying the completeness and accuracy of information in the context of customers’ identification, by monitoring transactions on accounts particularly cash transactions, transfers, and any other account-related operations, and by investigating and reporting any suspicious case to the Compliance Department.
TIIB is not only satisfied with customers' identification at the outset of the relationship, but this exercise extends over the lifetime of the relationship to ensure that its customers' identification records remain completely updated with all relevant identification elements and information throughout the business relationship. In this respect, TIIB examines and checks on a regular basis the validity and adequacy of the customer identification data and information it maintains.
In addition to minimizing the risk of a bank’s services being used for illicit activities, collecting and maintaining sufficient information on a customer’s identity allows the early detection and recognition of suspicious transactions/activities and protects the bank from possible fraud and the underlying risks on their financial robustness and reputation.
Training has long been recognized as a key element of an effective anti-money laundering (AML) compliance program, therefore, we believe that well-trained and vigilant staffs remain the first line of defense in monitoring transactions and identifying suspicious activities.
Our training program aims at educating staff on the latest developments in anti-money laundering and terrorist financing including the practical methods and trends used by criminals for this purpose.
Anti-Money Laundering & Terrorism Financing workshop – Phase 2
Sana’a ,Yemen- Central Bank Of Yemen - January 22-24, 2011
Bank Staff Training:
Please read these terms and conditions carefully. By accessing this website and any of its pages, you are strictly abided by terms and conditions explained below:
To Be Your Number One Choice for Banking
To provide world class local and international Islamic banking services by TIIB’s unique and professional team through modern and up-to-date programs and technology that meet the demands of the times, while exceeding the expectations of our clients, shareholders, and employees, all in a socially responsible manner.
We exceed our client’s expectations, work to develop and enable our employees, run our operations in a standardized and streamlined manner, and add, through our excellence, value to our society.
We commit to dealing in integrity and transparency with our customers, providing justice and equal opportunities for our employees, accomplishing our goals according to Shariah rulings, and increasing awareness of Islamic finance in the society.
We preserve our clients’ rights, protect and nurture our employees, operate with professionalism, and contribute to sustainably developing our society.
We share mutual respect and success with our clients, create teams that perform harmoniously with professionalism and ensure our continuing success, and provide a model that impacts and creates values in our society.
We encourage and support our employees to use and build on their talents to create an environment of innovation that our clients can benefit from, provide inspired solutions, and contribute to foster growth in our society.
We strive to build a strong partnership and lasting relationship with our clients with the spirit of one family, make communication a tool for complete coordination to ensure the efficient and smooth flow of our operations, and open our doors to interaction and integration with our society.
The bank runs assets that are estimated by 502 billion YR that is approximately 2.006 billion US dollars. Its fixed capital is 20 billion Rials that is approximately 80 million US dollars.
TIIB has experience that spans over 20 years and has more than 700 employees. The bank has continuously worked on developing its services through its specialized staff highly qualified and at the same time maintain the essence of the Islamic values on which it was founded. In other words, the bank plays a key role in bridging the gap between the modern banking requirements and the essential values of Islamic banking legislation.
The bank does its best efforts to be Recognized by all stakeholders as a remarkable Islamic bank. It Consider a leader in its activities to international financial markets, and above all, contribute effectively to supporting the national economy.
TIIB is located in Sana'a the capital of the Republic of Yemen, having total of 24 branches spread over most Yemeni governorates, more than 150 ATM machines, and it has the largest customer base as well as having many companies owned by the bank such is Tadhamon Capital in Bahrain www.tadhamoncapital.com Tadhamon Microfinance www.microtiib.com and Tadhamon Real estate www.trecye.com
AGM - International Banking
AGM - Banking Operation
AGM - Real Estate & Credit Control Affairs
The experience of banks and Islamic financial institutions is a relatively recent experience. This experience came after more than a century of the emergence of banks around the world with its modern sense following the industrial renaissance of the West. However, this proved a progress which greatly attributes to the ideological integrity on which this movement was founded. With the emergence of Islamic banks in the seventh decade of the last century; the twentieth century, the Shari’ah models have come into life coinciding with the emergence. Shari'ah Supervisory Boards have continued to keep pace with the growth and development of the movement of banks and Islamic financial institutions, and have practiced the role of Fatwa and Shari'ah supervision, with varying banking, legal and jurisprudence environments witnessed by this movement.
As a result of the stability and development of this experience, the need for new structures of Shari'ah Supervisory role emerged at the country, regional and/or international level.
No one can deny the contribution of the Shari'ah Supervisory Board to the stages of establishing these banks and institutions or their contribution to the legitimate establishment and development of their activities and operations in this field. The Shari'ah Supervisory Board’s contribution in this field is highly remarkable and crystal clear.
Since the establishment of the Bank, the General Assembly, which represents all shareholders of the Bank, has chosen a Shari'ah Board with prominent experts who have made a significant contribution to:
The Fatwa and Shari'ah Supervisory Board shall hold between 9 and 12 meetings per year. At these meetings, the following subjects shall be discussed at the Board’s agenda:
First: General Recommendations:
يصدرعن الهيئة مجموعة من الفتاوى والقرارات على ما يتم رفعه من منسوبي البنك من استفسارات ، وفيما يلي مجموعة من القرارات كعينات للاستشهاد بها من قبل موظفي وعملاء البنك على حد سواء
Subject / Inquiry
The decision of the Fatwa and Shari'ah Supervisory Board
Opening Murabaha credit with the initial invoice which is in the client's name
If the other documents, including the invoice of sale and the bill of lading in the name of the Bank, it is allowed to proceed the procedures, where the initial invoice is a quotation. But the main invoice is the basis of sale and shall be in the name of the Bank. The credit letter shall be opened in the name of the Bank.
Method of Profit Calculations
The Fatwa and Shari'ah Supervisory Board approved the dividend distribution mechanism. It also recommended that the Bank's management shall notify depositors to pay zakat for themselves, and shall notify all the Bank’s subsidiaries, domestic or international branches, to pay their zakat as financially and administratively independent companies.
Change to a Murabaha bill arrived in the name of client
The department shall assign one of the Bank’s employees to receive the goods as confirmation of the possession issue, with the necessity to complete the original invoice in the name of the Bank.
All the letters of credit arrived in the name of client not the Bank
Transformation of Murabaha credit to self credit, as it is not valid to conduct Murabaha credit if the bill of lading is in the name of the client.. /..
Client’s representative received and unloaded the goods in the client's warehouses without the Bank's representative receiving them from the port.
Since the goods are not handled in the common Shariah way, the Bank may not bear the mistakes of others, and has the right to deduct the value from the client's account in addition to the handling fees as the Bank deems appropriate.
Final invoice mismatches quotations in some executed transactions
It should be relied on the final invoice in all commercial transactions, provided that the sales invoice includes the type and value of the goods. Discrepancy in quotation may not be considered, indeed, what shall be considered is the price that is recorded in the final invoice on which Murabaha is conducted.
Implementation of Murabaha credit for a client on installments
The value shall be deducted from the client's account for the received payment, and it may not be financed by Murabaha. As for the remaining payments that have not arrived so far, they shall be executed in Murabaha according to the given procedures.
The Fatwa and Shari'ah Supervisory Board consists of:
The following are information about the Board’s Chairman and members:
Professor / Mohamed Sinan Saif Al Jalal
Chairman of the Fatwa and Shari'ah Supervisory Board
Place and date of birth: Jabal Habashi, Taiz, Yemen, DOB 1960 AD.
Date of appointment at Sana'a University: 9/11/1989.
Current Academic Degree: Professor.
Specialization: Principles of Jurisprudence (Usul al-Fiqh)
University: Sana'a University / Faculty of Sharia and Law.
Positions and Promotions:
Publications and Researches:
Unpublished Research (Prepared for Publication):
Conferences and Seminars:
Dr. Ghaleb Abdul Kafi Al-Qurashi
Member of Fatwa and Shari'ah Supervisory Board
He was born in 1947 in Shara'b Ar Rawnah District, Taiz Governorate.
He holds a Ph.D. in Shariah Politics, Higher Institute of Law, Imam Muhammad Bin Saud University, 1987AD.
Most prominent positions held:
Most prominent contributions:
Mr. Khalid Mohammed Abdullah Qadi
Shari'ah Compliance Controller and Member at Fatwa and Shari'ah Supervisory Board
He was born in 1969.
One of the founders of Islamic banks in Yemen.
Holds a master's degree in financial markets from the Arab Academy for Banking and Financial Sciences in 2010, and holds a bachelor's degree in Economics with Accounting 1990-1991.
Tadhamon International Islamic Bank got the Excellence Award in Financial Services and Financing International Trade in 2014. Commerzbank, a German bank, gives this every year for innovation in this field.
Tadhamon International Islamic Bank got Domestic Retail Bank of the Year - Yemen 2013.
Tadhamon International Islamic Bank got Excellent Partnership in the Year 2013.
Tadhamon International Islamic Bank got the Excellence Award in Financial Services and Financing International Trade in 2013. Commerzbank, a German bank, gives this every year for innovation in this field.
Commerzbank reiterated that this award was given to Tadhamon International Islamic Bank for its ability to find a balance and build an excellent and beneficial relationship with its partners outside the country, as well as its adherence to international standards in combating money laundering and terrorist financing.
This award comes in light of efforts from Tadhamon Bank and its effort to provide a good image of the situation in Yemen by holding meetings with numerous international financial institutions and giving them a summary of the developments and environment in Yemen in general, specifically the banking sector. The goal of these meetings was to remove the negative image that some banking institutions still have of Yemen.
It should be noted that Tadhamon International Islamic Bank has gotten a number of international awards that confirm its excellence and innovation in the different banking activities.
Commerzbank has awarded Tadhamon International Islamic Bank with the STP Award for its
Excellence in the delivery of payments.
Tadhamon International Islamic Bank Awarded Best domestic technology & operations bank of the year by the Asian Banking and Finance Retail Banking Awards 2012
We are proud to announce that we won the Yemen Domestic Technology & Operation Bank of the Year, and Yemen Domestic Foreign Exchange Bank of the Year Awards by the Asian Banking and Finance Retail Banking Awards 2012
For several years, Asian Banking and Finance Magazine (ABF) has been recognizing the best performances of various banking and finance institutions around Asia. Judges identify banking and financial service activities, technologies, services and people that significantly enhance the banking and finance sector in Asia.