1. Verification of business partners and employees –
a preventive measure in the fight against corruption
Vytautas Danta
Head of Compliance DNB Lithuania

2. Country risk and business profile vs. corruption risk
Content
Country risk and business profile vs. corruption risk
Verification of private individuals and legal entities as a preventive measure

3. We are a part of the biggest Norwegian financial services group, offering assistance to individual and business clients in 19 countries around the world.
We offer investment and personal banking, asset management, and leasing services.
We intermediate in real estate and insurance market.
We are amongst TOP 3 commercial banks in Lithuania.
We have 1100 people working for us.
From 2015 we are supervised by the European Central bank.

4. 2016 corruption perceptions index doesn’t indicate fundamental risk in Lithuania, however...
1 Denmark
3 Finland
6 Norway
10 Germany
22 Estonia
29 Poland
38 Lithuania
Latvia
79 Belarus
131 Russia
173 Syria
176 Somalia

5. Lithuanian goods and services export/import balance

6. Persons which are related with non transparent, sanctioned or criminal activity as well as corruption should not have relations with entity
Adequate internal regulation,
systems and competencies must be in place – HR or special unit/person
Private individual – partner/customer or employee
Questions:
Reputation?
Background?
Personal/family relations?
Business relations?
Property?
Financial stability?
Know your employee and his/her personal interests
Alerts or doubts must be reported
to relevant units (HR or special unit/person)

7. Adequate internal regulation,
Legal persons which are related with non transparent, sanctioned or criminal activity as well as corruption should not have business relation relations with entity
Adequate internal regulation,
systems and competencies must be in place – Business, Procurement or special unit/person
Legal entity – partner/customer
Questions:
Reputation?
Type of activity?
Local or international business?
In which countries or regions?
Transaction directions?
Beneficial owners?
Main business partners?
Know your employee and his/her personal interests
Alerts or doubts must be reported
to relevant units (Business, Procurement or special unit/person)

8. Employee and business partner control – onboarding and ongoing relations
I Step – Gathering of
information about the person
and his activity
Information collection
Information from application, declaration, etc.
HR,
Business
Identity check through: sanction list, PEP list, internal black list, etc.
Environment evaluation: country, sector, position, connections, etc.
Evaluation of
information
Compliance/
Security
II Step – Person
check
Suspicious
Not suspicious
III Step – Additional
check
Compliance/
Security
Enchanced
Due Diligence
IV Step –
Recommendation
Negative
opinion
Positive
opinion
Compliance/
Security
V Step – Decision
making
HR,
Business
Decision
regarding relations

9. questions?