Article 3: Definitions
Effective from Feb 12 2020 - Feb 11 2020
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| The following words and phrases, wherever mentioned in this framework, will have the meanings assigned to them unless the context requires otherwise: | |
| SAMA: The Saudi Central Bank. | |
| Bank: Any local bank that is licensed to carry out banking business in Saudi Arabia in accordance with the provisions of the Banking Control Law and that conducts Islamic banking. | |
| Board: The board of directors of the bank. | |
| Management: The bank executive management and senior executives that manage the bank business as well as propose and implement strategic decisions. | |
| Committee: A Shariah committee responsible for supervising compliance with Shariah principles and rules and their application in the bank. | |
| Committee Members: A group of specialists whose knowledge and experience are not limited only to the Shariah and related matters, but also include the jurisprudence of contemporary financial transactions used to form Shariah decisions given to the bank. These Shariah decisions are usually not directed to the public or entities engaging in other activities. | |
| Independent Committee Member: A person who is completely independent in position and decisions and who meets the requirements for independence as stipulated in Paragraph 3 of Article 7 of this framework. | |
| Shariah Compliant: Compliance with Shariah decisions issued by the bank’s Shariah committee. | |
| Islamic Window : That part of a conventional bank (which may be a branch or a dedicated unit of that bank) that provides Shariah compliant finance and investment services both for assets and liabilities products. | |
| Investment Account Holders: Bank customers who have Shariah-compliant investment accounts which may be restricted or unrestricted according to their Shariah and accounting status. | |
| Bank Subsidiaries: Any legal entity controlled by the bank by owning more than half of its capital or voting rights or by forming its board of directors, including special-purpose entities. | |
| Relatives: | |
| - | Fathers and mothers, grandfathers and grandmothers. |
| - | Offspring and their children. |
| - | Full and half siblings. |
| - | Spouses. |
| Stakeholders: Any person who has an interest in the bank, such as shareholders, employees, investors, creditors, customers, suppliers and supervisors. | |