In the banking sector, compliance refers to adhering to the applicable laws, rules, regulations, procedures, standards set by relevant Self-Regulatory Organizations (SROs), and codes of conduct related to various banking operations. Banking compliance can mainly be classified into three types—Internal Compliance, Regulatory Compliance – Reserve Bank of India (RBI), Legal ComplianceInternal compliance means adhering to the policies approved by the Board of Directors, based on which the bank’s internal governance framework is established. Therefore, internal compliance applies to all employees within the bank. On the other hand, regulatory and legal compliance apply to the entire organization of the bank. This means that the responsibility to adhere to existing regulatory guidelines and to comply with the laws of the country rests with the institution.....(To continue, open the magazine)