Annual Report 2012 - National Savings Bank

62ROOTED IN OUR HERITAGEGOVERNANCE REPORTThe Board of Directors for the periodfrom 26th April 2012 to 16th August2012 was not in place except Mr.D.L.P.R. Abeyratne (Director), whowas appointed as Acting Chairman.Therefore there was no board meetingheld during the above period.Compliance at NSBNSB has an effective process toensure compliance with applicablelaws and regulations pertaining to thebanking industry, including BankingAct Direction No. 12 of 2007 onCorporate Governance for LicensedSpecialised Banks. The Board ofDirectors approved the CompliancePolicy of the Bank in 2010 where thesalient features were aligned with theBasel Principles on compliance functionand also identied the need of havingan independent Internal ComplianceFunction. In 2012 the Bank reviewedthe Compliance Policy and introducednew areas and updated existing areasaccording to the CBSL guidelines anddirections which was approved by theIRMC and submitted to the Board ofDirectors for its approval (approved on10th January 2013).The Head of Risk and Compliancereports to the Integrated RiskManagement Committee and to theBoard of Directors. Reports are alsosubmitted to the Audit Committeeconrming compliance with the Bank’sCompliance requirements.The Bank has obtained ExternalAuditors’ Report on Internal Controlover Financial Reporting and a reporton the Bank’s compliance with theCorporate Governance Directionsissued by the CBSL for the year 2012.This further strengthened the Bank’sCorporate Governance approach.NATIONAL SAVINGS BANK . ANNUAL REPORT 2012