IslamicFinance.de

Lawyers have warned that failure to prevent economic crime could lead to more senior individuals being prosecuted for misconduct. The UK government's proposed legislation could lead to deferred prosecution agreements with the Serious Fraud Office. The involved companies would potentially give evidence against individuals implicated in misconduct. According to Judith Seddon, partner at Clifford Chance, the corporate criminal liability will provide for an additional serious consequence of failing to satisfy existing requirements for anti-money laundering and financial crime prevention.

Indonesia's capital market regulator is preparing a five-year roadmap for Islamic finance in an effort to expand the industry. The plan will help to boost the number of Islamic capital market products and expand the industry's investor base, Otoritas Jasa Keuangan (OJK), the financial services authority, said in a statement. The OJK said it was seeking market input for the roadmap and would set up discussion groups with stakeholders including the central bank, the finance ministry, the stock exchange and the country's national sharia board. It also said it was refining rules for the issuance of Islamic securities, which it expected to be completed this year. These would include details on the settlement of Islamic financial transactions, disclosure requirements for sukuk (Islamic bonds), and guidelines for sukuk trustees.

New rules to rein in credit card debt in Turkey will force the country's banks to set aside more funds to cover non-performing loans, cutting 2 billion lira ($1.03 billion) off their annual profits. The rules obliging credit card holders to repay more of their debts each month were announced weeks after Prime Minister Tayyip Erdogan urged Turks not to use credit cards, accusing banks of locking people into poverty with excessive fees. The measures announced on Friday by Turkey's banking watchdog, the BDDK, will make it harder for consumers to pile up more credit card debt than they can afford. The government also wants to boost personal savings and reduce household spending on imported consumer goods that have bloated Turkey's current account deficit. The effect in the medium-term is that many consumers with existing debts will struggle to make the higher repayments.