Bank Islam Integrated Annual Report 2020

INTEGRITY REINFORCEMENT INITIATIVES ɰ ɥƃɨɽ Ɂǹ ɽȃlj 9ƃȶȟԇɰ ƺɁȶɽȈȶʍɁʍɰ ƺɁȴȴȈɽȴljȶɽ ɽɁ ɰɽɨljȶǼɽȃljȶ ƺɁɨɨʍɥɽȈɁȶ ɥɨljʤljȶɽȈɁȶӗ ʤȈǼɁɨɁʍɰ ljǹǹɁɨɽɰ ʥljɨlj ljʯljƺʍɽljǁ Ȉȶ ѵѳѵѳ as highlighted below: BLOW THE WHISTLE, KEEP PERPETRATORS AWAY ěȃlj ŚȃȈɰɽȢljƹȢɁʥȈȶǼ ĀɁȢȈƺʰ Ȉɰ ɥʍɽ Ȉȶ ɥȢƃƺlj ɽɁ ɥɨɁʤȈǁlj ƃȶ ƃʤljȶʍlj ǹɁɨ ƃȢȢ ljȴɥȢɁʰljljɰ Ɂǹ ɽȃlj 9ƃȶȟ ƃȶǁ ȴljȴƹljɨɰ Ɂǹ ɽȃlj ɥʍƹȢȈƺ to disclose any unethical or improper conduct within Bank Islam and to provide protection for employees and members Ɂǹ ɽȃlj ɥʍƹȢȈƺ ʥȃɁ ɨljɥɁɨɽ ɰʍƺȃ ƃȢȢljǼƃɽȈɁȶɰӝ ĄljƺɁǼȶȈɰȈȶǼ ɽȃlj ǹʍȶǁƃȴljȶɽƃȢ ȈȴɥɁɨɽƃȶƺlj Ɂǹ ɥɨɁʤȈǁȈȶǼ ƃ ɰƃǹlj ljȶʤȈɨɁȶȴljȶɽ ǹɁɨ whistleblowing and to instil confidence in the Bank’s whistleblowing regime, the Bank launched a whistleblowing campaign with the theme of “Blow the Whistle, Keep Perpetrators Away” . This was aimed to encourage speaking up and by reiterating the Bank’s unwavering commitment to afford protection for whistleblowers in accordance with the Whistleblowing ĀɁȢȈƺʰ ƃȶǁ ŚȃȈɰɽȢljƹȢɁʥljɨ ĀɨɁɽljƺɽȈɁȶ ƺɽ ѵѳѴѳӝ ěȃȈɰ ƺƃȴɥƃȈǼȶ ʥƃɰ ǁʍȢʰ Ȣƃʍȶƺȃljǁ ǁʍɨȈȶǼ ɽȃlj 9ƃȶȟԇɰ řȈɨɽʍƃȢ ŽȶɽljǼɨȈɽʰ Aƃʰ Ɂȶ Ѽ Aljƺljȴƹljɨ ѵѳѵѳ ƃȶǁ ɨljƺljȈʤljǁ ƃɰɽɁʍȶǁȈȶǼ ɰʍɥɥɁɨɽ ǹɨɁȴ ɽȃlj 9Ɂƃɨǁ Ɂǹ AȈɨljƺɽɁɨɰ ƃɰ ʥljȢȢ ƃɰ ɽȃlj ÃƃȶƃǼljȴljȶɽ :ɁȴȴȈɽɽljljӝ Email: whistle@bankislam.com.my Hotline: ѴӸѻѳѳӸѵѵӸѳѳѼѴ Write In or Meet In ĀljɨɰɁȶ ʥȈɽȃ :Ž{Ý ƃɽ ¸ljʤljȢ Ѷѳӗ Menara Bank Islam Online submission through https://cif. bankislam.com.my/WB/ WHISTLEBLOWING REPORTING CHANNELS For more information, visit our website at www.bankislam.com ƃȶǁ ƺȢȈƺȟ :ɁɨɥɁɨƃɽlj {Ɂʤljɨȶƃȶƺlj Ծ ŽȶɽljǼɨȈɽʰ ծ {Ɂʤljɨȶƃȶƺlj Ծ ŚȃȈɰɽȢljƹȢɁʥȈȶǼ ĀɁȢȈƺʰӝ CORRUPTION RISK MANAGEMENT (CRM) :ĄÃ Ȉɰ ƃ ɨȈɰȟӸƹƃɰljǁ ȴƃȶƃǼljȴljȶɽ ɽɁɁȢ ɽȃƃɽ ȃljȢɥɰ ȈǁljȶɽȈǹʰ ɥɁɽljȶɽȈƃȢ ƺɁɨɨʍɥɽȈɁȶ ɨȈɰȟɰ Ȉȶ ƃȶ ɁɨǼƃȶȈɰƃɽȈɁȶӗ ƃɰɰljɰɰ ɽȃɁɰlj ȈǁljȶɽȈǹȈljǁ risks in terms of their likelihood and impact on the organisational performance, reputation and other parameters as well as analyse corruption causes and schemes in which ultimately help in bringing about detection and prevention control measures ɽɁ ȴȈɽȈǼƃɽlj Ɂɨ ljɨƃǁȈƺƃɽlj ɽȃɁɰlj ɨȈɰȟɰӝ Žɽ ljȴƹljǁɰ ƺɁɨɨʍɥɽȈɁȶ ɥɨljʤljȶɽȈɁȶ ʥȈɽȃȈȶ ƃ ʥljȢȢӸljɰɽƃƹȢȈɰȃljǁ ǼɁʤljɨȶƃȶƺlj ǹɨƃȴljʥɁɨȟӝ :ĄÃ is crucial as it forms part of adequate procedures which is a statutory defence against possible corporate liability prosecution ʍȶǁljɨ ČljƺɽȈɁȶ ѴѺ Ɂǹ à :: ƺɽ ѵѳѳѼӝ Žȶ ɰʍȴȴƃɽȈɁȶӗ ɽȃɨɁʍǼȃ ɽȃlj :ĄÃ ljʯljɨƺȈɰljӗ Ȉɽ ʥƃɰ ɨljɥɁɨɽljǁ ɽȃƃɽ ɽȃlj 9ƃȶȟ ȃƃɰ ˃ljɨɁ critical risk identified and overall, our residual corruption risks are rated as satisfactory without any major concerns. This goes to show that the Bank has in placed all the necessary policies, procedures and effective controls in preventing and detecting ɽȃlj ȈǁljȶɽȈǹȈljǁ ƺɁɨɨʍɥɽȈɁȶ ɨȈɰȟӝ ÃɁʤȈȶǼ ǹɁɨʥƃɨǁӗ {Žĩ ʥȈȢȢ ljȴƹƃɨȟ Ɂȶ ƃȶȶʍƃȢ :ĄÃ ĄljʤȈljʥ ɽɁ ƃɽɽljɰɽ ɽȃlj ƺɁȶɽɨɁȢɰ Ȉȶ ɥȢƃƺljӗ ɽɁ mitigate corruption risks and to monitor risk action plans identified. The Bank maintains vigilant at all material times and attentive in the efforts to mitigate its exposure to corruption risk. STATEMENT ON RISK MANAGEMENT AND INTERNAL CONTROL FRAMEWORK 168 Accountabi l i t y Leader ship Financ ial Statement s