Periodic Report Bank Reports Type of Report

This page is intentionally left blank 205 VI . OTHERS A. Banking Popular Terminology Terminology Description Collateral Collateral given by debtor customers to the bank in relation to loans or inancing facility. Machine with computer system activated using bank’s magnetic card coded or given password. From this machine customers may save money, withdraw cash, transfer fund to other accounts, and other routine transactions. Bank Notes Form, note, and other written evidence that proves a transaction, containing description or payment order. Cheque Written order from a customer to a bank in order to withdraw fund for the amount written on the customer’s behalf or bearer. National Black List A compilation list of Bank’s Individual Black List in Bank Indonesia, DHIB which data derived from the Oice of National Black List Management KPDHN, to be accessed by Banks. Bank Guarantee Leasing contract between leasing object owner including ownership of payment guarantee given to guarantee recipient, in case the guaranteed party does not fulill its obligation. Debit Card Bank’s card that can be used to pay for a transaction andor withdraw a sum of money charged to the card holder’s account using PIN Personal Identiication Number Automated Cash Machine ATM 206 Terminology Description Credit Card Card issued by banks or credit card management companies that give the right to the person who meets certain conditions, whose name is written on the card, to use it as credit payment instrument on purchase of goods or services, or to withdraw cash within the credit limit as set by the banks or credit card management companies. Safe Deposit Box Box rental service to keep valuables things or commercial papers that is speciically made of steel material and placed inside a strong vault, burglarproof and ireproof, to guarantee the safety of the valuables kept and give sense of security to users. Deposit Insurance Agency LPS A legal entity that undertakes insurance activities of customers’ savings. PIN Personal Identiication Number Conidential numbers given to cardholders credit card, ATM card, debit card, etc, which coded numbers can be given by the bank or inancing company, or chosen by the cardholders. Transfer Remittance Service for money transfer from one account’s owner to another or to the same account’s owner, from one city to another or to the same city, in Rupiah or in foreign currency. Disqualiied List A list managed by BI that contains the names of parties that did not pass the it and proper test towards shareholders, controlling shareholders, board of commissioners, board of directors and executive oicers. 207 Terminology Description Customer Due Diligence CDD Activities in the form of identiication, veriication and supervision by Banks to ensure that the transaction is in accordance with the customer’s proile. CDD should be performed when: a. Making business relations with prospective customers; b. Making business relations with WIC; c. Bank doubts the accuracy of information given by customers, endorsees, andor Beneicial Owners, or d. There are unusual inancial transactions related to money laundering andor terrorism funding. Enhanced Due Diligence EDD More depth CDD conducted by Banks when having business relations with customers who are considered having high risks, including Politically Exposed Person towards the possibility of money laundering and terrorism funding. Politically Exposed Person PEP Persons who are trusted with public authorities, among others State Government Ofcials as stated in the provisions of laws and regulations which governs The State Oicials, andor persons recorded as members of a political party which have inluence over the political party’s policies and operations, whether the persons in question are Indonesian citizens or Foreign citizens. Walk In Customer WIC Users of bank services who do not have account with the related Bank, not including parties who receive orders or assignments from Customers to make transactions on behalf of the Customers. 208

1. Money Laundering

Money Laundering is an action in placing, transferring, paying, spending, granting, donating, depositing, taking to overseas, exchanging or other actions on assets that are known or suspected to be the result of criminal actions with the intention to hide, or disguise the origin of the said assets, so as to appear to be legitimate assets.

2. Suspicious Financial Transactions, are:

a. A inancial transaction deviating from the proile, characteristic, or normal transaction pattern of the related service user; b. A inancial transaction by service user that is reasonably suspected conducted with the intention of evading transaction reporting that should be done by the concerned person in accordance with the Act of the Republic of Indonesia No. 8 Year 2010. c. A inancial transaction made or cancelled, using assets suspected to be the result of criminal actions; or d. A inancial transaction requested by the Center of Financial Transaction Analysis and Reporting PPATK to be reported by the rapporteur, because it involves assets suspected to be the result of criminal actions.

3. Result of criminal actions:

Result of criminal actions is assets gained from doing criminal actions: corruption; bribery; narcotics, psychotropic; labor traicking; migrant traicking; in banking sector; in capital market sector; in insurance sector; customs; human traicking; arms illegal trading; kidnapping; terrorism; theft; smuggling; fraud; money counterfeiting; gambling; prostitution; in tax sector; in forestry sector; in environmental sector; in marine and ishery sector; and other criminal actions with imprisonment of 4 years or more, executed within the B. Banks’ Roles in the Prevention and Eradication of Money Laundering TPPU Based on The Act of The Republic of Indonesia No. 8 Year 2010