Compliance Initiatives

The Bank regards compliance with applicable laws and regulations, and societal norms as a fundamental prerequisite to earning the trust of society. Aware of the importance of its public mission and the significance of its societal responsibilities, the Bank has developed the following initiatives to ensure compliance.

In order to allow each employee in charge of real operations to have strong awareness of and knowledge base for pursing compliance, Seven Bank has in place the following system so that the compliance check can appropriately function at each division to ensure the thorough compliance across the Bank.

Seven Bank has established the Compliance Committee as an advisory organization to the Executive Committee which confirms and verifies the status of compliance related to operations in general, and considers measures concerning compliance, so as to further enhance and improve the compliance system. The Compliance Committee has functions to consider responses to compliance-related problems and issues, material compliance violations, etc., and counter-measures therefor. The Committee reports, considers, and evaluates important compliance-related matters which should be treated as management issues.

The Bank establishes a compliance program each fiscal year that sets out the compliance implementation plan for that year. The Board of Directors reviews and evaluates the progress and implementation status of the compliance program for the relevant year and, using such reviews and evaluations, formulates a compliance program for the following fiscal year.

The Group companies also formulate a program according to their own specific characteristics based on the Seven Bank compliance program and take initiatives.

A compliance officer of the Bank conducts a regular self-evaluation of the status of compliance implementation and the compliance level of customer protection management in each department monthly. Issues are identified according to the evaluation results and are addressed for improvement.

The Bank formulates a compliance training plan to promote and stabilize the awareness of the importance of compliance within the Company, and conducts practical trainings.

Seven Bank determined the policy for countermeasures for money laundering and provision of terrorist fund. In addition, through strict confirmation at transactions, etc., the Bank has put emphasis on eliminating relationships with antisocial groups and preventing fraudulent accounts from being opened.
To be more specific, among other steps, the Bank asks applicants opening accounts to sign an affidavit stating they are not associated with antisocial forces. By including provisions that explicitly indicate the exclusion of organized crime groups in the transaction rules and other clauses, the Bank rejects the account application and closes the account upon finding that the customer falls under or is associated with antisocial forces.
In addition, the Bank has established a structure to ensure it can take appropriate actions in an organized manner against wrongful demands and other similar events in accordance with internal rules and regulations.

The Bank has established a Compliance Consultation System to identify and address compliance issues early, and prevent reoccurrences. The system provides contact points for both internal and external consultation and reporting.
As contact points for employees seeking consultations or reporting issues, employees can consult the compliance officer in their divisions. In addition, the Compliance Consultation Desk within the Bank and the Groupwide Help Line (a consultation and reporting contact point for all Seven & i Group companies) outside the Bank have been established. Posters with contact information have been put up and booklets with contact information have been distributed to all employees to ensure their awareness of these contact points. The International Hotline has also been established for employees of foreign subsidiaries as a point of contact for consultations in local languages.
In addition, to promote fair transactions and provide safe and secure services for customers, a Suppliers’ Help Line (a consultation and reporting contact point for all Seven & i Group companies) has been established for suppliers.