Based on Article Seventy (2e) of the Implementing Regulations of the Cooperative Insurance Companies Control Law issued by Royal Decree No. (M/32) dated 02/06/1424 H, where it stipulated that 10% of the net surplus shall be distributed to the policyholders directly, or in the form of reduction in premiums for the next year. 

I would like to inform you that all companies must distribute the surplus of insurance and reinsurance operations to the insured (individuals / companies) for the years prior the fiscal year 2015, as received from Your Excellency in response to SAMA Circular No. (T.A'.M / 201503/59) dated 06/06/1436H corresponding to 26/03/2015G and notify SAMA in case of distribution. 

The company must also maintain the surplus of insurance and reinsurance operations that are not distributable to the insured (individuals / companies) for the years preceding the fiscal year 2015, until further notice from SAMA.

As you are aware, money laundering activities particularly those related to drugs are a major concern to many governments, law enforcement agencies and banking supervisors. Such activities now constitute a multi-billion dollars business annually, and these vast sums cannot be stored or moved without the cooperation or unwilling participation of international banks. In recent years many international cooperation initiatives have been taken to combat these activities, such as the 1988 UN Convention Against Illicit Traffic in Narcotics Drugs, the 1990 Report of Financial Action Task Force of OECD countries and the 1991 Basel Committee Guidelines for International Banks.

Saudi Central Bank is issuing these Guidelines under Article 16 of the Banking Control Law, with a view to strengthen the ability of Banks to counter illegal transactions and to maintain and enhance the credibility and reputation of the Saudi Banking System. These guidelines provide basic information on the subject, along with information on measures to be taken for prevention, control and detection of money laundering activities. Banks are required to make these an integral part of their own systems and procedures and to fully implement these as soon as possible.

Reference to the telegram of the Ministry of Interior No. 73142 dated 02/11/1432 H regarding the collection of donations by individuals and entities using mobile messaging technology or the Internet or through advertising in various visual and print media without obtaining the approval of the official authorities and directing the competent authorities in the Ministry of Interior to take the necessary measures to inflict precautionary seizure on the accounts announced in mobile messages or various media in order to collect donations and apply what was stated in the order of His Highness the Minister of Interior No. 1/7/3/57993/S dated  24-25/10/142 H. In view of the receipt of numerous letters from banks to SAMA stating that some customers' accounts have received deposits in various ways for the purpose of collecting donations and requesting guidance on them. 

SAMA would like to emphasize that all licensed banks in the Kingdom abide by the above instructions issued to monitor abnormal or suspicious transactions, including fundraising operations through bank accounts without obtaining prior approvals from the relevant official authorities, and the obligation to report these transactions after studying them to the Financial Intelligence Unit at the Ministry of Interior in accordance with Article Nine of the Anti-Money Laundering Law issued by Royal Decree No. M/31 dated 11/05/1433 H, and not to seize these accounts until a directive is received from SAMA.

In reference to the provisions of the Anti-Money Laundering Law isued by Royal Decree No. M/39 dated 25/6/1424 H, and its contents (Article VII/second paragraph), which stipulates that reporting to the Financial Intelligence Unit shall be in accordance with the form approved by the Unit, provided that the report shall include, as a minimum, the following information:

With reference to SAMA circular No. MT/473 dated 10/8/1426 H supplementing SAMA Circular No. MT/159 dated 21/10/1421 H to all licensed banks and money changers regarding the submission of reports of suspected transactions related to money-laundering or terrorist financing to the Financial Intelligence Unit and a copy thereof to SAMA; The instructions of SAMA contained in the regulatory requirements of anti-money laundering units in local banks.

In view of what has been observed by some banks and money exchangers not to comply with the circulars issued with regard to suspicious reports.

Therefore, SAMA would like to emphasize the need for banks and money exchangers to adhere to the following steps:

1. Send the original suspicious report and the attached documents to the Financial Intelligence Unit and send a copy of the suspicious report by fax to the Anti-Money Laundering Division of the Banking Inspection Department at SAMA at the Head Office.
2. Verify that all data is completed and fill in all fields in the form designated for reporting transactions suspected of being related to money laundering, in addition to writing the name of the branch and the region in which the suspect's account is located.
3. Send another copy via mail to SAMA "Anti-Money Laundering Division - Bank Inspection Department" with a copy of the technical report prepared by the bank to be available if requested.

Therefore, we hope that all banks and exchange offices will comply with this and complete the required data in all suspicious reports.

In reference to the strategy of the Financial Sector Development Program to reduce cash transactions and promote electronic payments in order to reach a cashless society, and in continuation of SAMA's efforts to activate electronic services through the implementation of integrated digital payments programs to upgrade the level of electronic services provided.

And in support of public transport projects that have a positive impact on the national level, SAMA confirms that all banks and banks operating in the Kingdom must complete all technical requirements for public transport projects for trains and buses and coordinate with the Saudi Payments Company starting from April 1, 2020 G to ensure technical readiness for electronic payment services, and complete technical permits through the Saudi Payments Permit Center.

Further to the instructions of SAMA issued under Circular No. 69427/149 dated 20/11/1440H, which include the Financial Sector Safety and Security Guidelines CCTV Specifications Summary, and in reference to the implementation plan for existing facilities and sites submitted by financial institutions, where the timelines for compliance with the specified standards vary.

We inform you that it has been decided to grant a grace period to implement the financial sector safety and security guidelines CCTV specifications summary and to upgrade all financial sector cameras to high-quality digital cameras. This will be carried out from the first quarter of 2020G to the fourth quarter of 2022G according to the following tiers:

• A maximum of one year for financial institutions with no more than 1,000 sites.
• A maximum of two years for financial institutions with 1,001 to 2,000 sites.
• A maximum of three years for financial institutions with more than 2,000 sites.

Kindly take note and act accordingly. Additionally, please provide SAMA (Supervision Division for Security and Safety in the Financial Sector) with a comprehensive detailed action plan covering all sites within three weeks. A monthly report detailing the progress percentage, site name, and number of cameras must also be submitted at the end of each month, starting January 2020G.

For inquiries, you may contact us via email at: (BankingSafetySecurity@SAMA.GOV.SA).