INFORMATION PRIVACY DECLARATION
In attention to the guidelines and legal regulations in force in the Republic of Panama related to the privacy and protection of the information and personal data of its clients to whom they have Access and obtained by the banking and financial institutions operating in Panama, MMG BANK CORPOPRATION, hereinafter denominated “MMG”, informs the following to its clients:
OBLIGATION TO OBTAIN INFORMATION FROM ITS CLIENTS.
The Republic of Panama has adopted guidelines and regulations destined to fight money laundering and to prevent financing of terrorism and financing of weapons of mass destruction, through the use of its banking, brokerage and/or financial services.
For such ends, the guidelines and regulations obligate financial institutions (for example: banking institutions and brokerage agencies) to obtain complete and detailed information from its clients and/o potential clients, my means of the process called “Know your Client” or “Due Diligence”.
TYPE OF INFORMATION REQUIRED AND/OR RECOLLECTED
The information required is the following:
For natural persons:
Personal data (this is not the only data): name, date of birth, identification document (personal identification card or Passport); marital status; domicile and document which accredits it; working place; profession or job, tax residence; origin of the funds and/or portfolio; banking, commercial and/or personal references; self-certification.
For clients investing in securities, it is mandatory: Besides persona information: information about experience and/or knowledge in investment matters: financial profile, transactional profile.
For legal persons (this is not the only data):
Data and incorporation documents of the institution; identity of the shareholders, directors, dignitaries, proxies, authorized signatures, fiduciaries, trustor and/or final beneficiaries; their domicile; activities of the institution; sources of income.
Other sources to collect information:
MMG collects and stores clients´ information using MMG´s electronic channels (for example: web page; online banking; use of means of payment). Additionally, information can be collected from private and/or public third parties, external as well as local, such as The Public Registry of Panama, The Panamanian Credit Association, The Electoral Court, Lists from government organizations – UN, Office of Foreign Assets Control (OFAC); Worldcheck.
USE OF INFORMATION
Clients´ information obtained and stored by MMG can be used for the following purposes (these are not the only ones):
Identify and/or develop financial or business products, services and opportunities that may be of interest for all or for a specific group of clients;
Inform clients about new business opportunities, in attention to their particular interests;
Update clients´ information;
Monitor transactions and verify that these adjust to the purpose declared by the client;
Update clients´ financial and/or transactional profiles;
Detect unusual movements or transactions;
Detect possible non-authorized uses of products or services;
Detect possible uses of products and services by non-authorized third parties.
DISCLOSURE OF CLIENT INFORMATION WITH WHOM THE INFORMATION IS SHARED
The updated legal guidelines and regulations impose on financial institutions, the obligation to maintain confidentiality and not to disclose clients´ information regarding their operations, except on specific cases.
Financial institutions can disclose their clients’ information in the following cases:
- When the client has authorized it,
- When the information is requested by a competent authority in agreement with the law.
- When by the Bank´s own initiative, the information must be provided in compliance with the legal guidelines and regulations related to the prevention of money laundering crimes, financing of terrorism, financing of weapons of mass destruction, and with any other crime that is established from time to time by competent authorities,
- When required by rating agencies in order to analyze risk,
- For processing agencies process data for accounting and operative purposes,
- When required by a local or foreign authority under provisions from an agreement, treaty or tax information exchange agreement, or to avoid double tax subscribed by the Republic of Panama; or if it has to be reported due to provisions of the “FOREIGN ACCOUNT TAX COMPLIANCE ACT” –FATCA- of the United States of America, or by provisions from the “Common Reporting Standard” promoted by the Transparency and Exchange of Information for Tax Purposes.
- When it needs to be used in any process or claim between the client and MMG.
- For any reason or motive authorized by the guidelines and regulations that from time to time are adopted by the competent authorities.
TIME FOR KEEPING DATA
According to the legal guidelines in force, the registries and documentation that support mercantile operations performed by the financial institution must be kept until the prescription of every action that can result from such operations. The prescription term go from one to ten years. The prescription term applicable will depend on the type of mercantile operation that is dealt with.