Disclosure of Prevention of Corruption Involvement

The following are the actions taken by Thanachart Group in 2016 in relation to fraud and corruption prevention:

1. In relation to the corruption risk assessment, member companies of Thanachart Group have adopted the principles and methodology based on the Risk and Control Self-Assessment (RCSA).
2. The Group made arrangements for all executives and staff members to confirm their agreement on strict compliance with the anti-corruption policies and measures as well as other regulations through the E-learning system.
3. The Group prepared self-appraisal forms for all executives and staff members through the E-learning system. The objective of the self-appraisal which was conducted every six months was to develop, test, and measure the level of knowledge and understanding in relation to their compliance of the policies and measures as well as the related regulations.
4. The Group organized an orientation training on the established policies, measures, and regulations for new staff members at all levels. They were required to sign both acknowledgement and agreement of their strict compliance through the E-learning system. In addition, the Group conducted a training course for existing staff members in “Join hands to drive ahead in unison in a transparency manner and without corruption”, ensuring that they were well aware of knowledgeable about and understood the matters, As part of the training, activities related to “Raising consciousness, living in the present and doing good deeds” were also organized.
5. Thanachart Group communicated with staff members and developed them, ensuring that they had appropriate skills in implementing the policies. These had been repeated on a continuous basis through the Group’s Thanachart Channels including TV, prints, and online media, with focus on the use of easily accessible presentations such as VTR short films by coordinating with the NCCC, the AMLO, and the Anti-Corruption Organization of Thailand in relation to topics such as communication and understanding enhancement about anti-corruption as well as the knowledge about money laundering. In this connection, the Group also organized a program called “Dhamma Sawasdee” and another called “Guru on Corporate Governance”. Importantly, in 2016 Thanachart Group was honored by the Chairman of the Anti-Corruption Organization of Thailand to give an interview on “How to develop good corporate governance in an organization”.
6. The Group developed the anti-corruption E-learning on a continuous basis, ensuring it remained current, consistently updated, and easy to understanding. The related E-learning content was continuously distributed through the intranet system to allow staff members to study and learn by themselves.
7. The Company put in place channels for accepting complaints. These channels included telephones, websites, and others. As well, it established a clear, transparent, and fair process for considering the complaints. In this connection, through its website, the Company disclosed “The Guidelines on Accepting Complaints”.
8. The Company organized the following seminar titled “Thanachart invites participation in anti-corruption campaign” for two separate groups of business counterparts and business agents so that they were not only aware of Thanachart Group’s anti-corruption policies, but also know and understand (i) the benefits to be gained from applying for certification for a member of the CAC program, and (ii) the related process of getting certified as a CAC program member.
   1. The seminar titled “Thanachart invites participation in anti-corruption campaign” was held for Thanachart Bank’s business counterparts in order to reconfirm the Group’s positive corporate image as “an organization without corruption, which adhered to moral values and transparency”. The seminar also provided the participants with the Bank’s experience in participating in the CAC program. In this connection, there were many business counterparts of Thanachart Bank attending the seminar. They highly commended Thanachart Group’s anti-corruption campaign as it reflected that Thanachart was an organization that operated its business in a transparent manner and was committed to good corporate governance.
   2. Thanachart Group was provided with an opportunity to share its experience on “Thanachart invites participation in anti-corruption campaign” and to clarify its anti-corruption policies as well as its CAC program membership. As part of Thanachart Insurance’s program, a training course titled “Executives of car repair shop 4.0” was organized for its business counterparts during 9-11 September 2016.
9. Through e-mails, Thanachart Group communicated with its business counterparts and business agents, informing them of and asking for their cooperation on the Group’s anti-corruption campaign. They were encouraged to refrain from giving presents to executives or employees of the Group, regardless of whether it was a festive period or any other occasion. In this connection, the counterparts and agents were requested to sign an acknowledgement and respond by e-mail. As regards customers, they were requested for their cooperation not only through Thanachart Bank’s print materials such as invoices, receipts, payment slips and tax invoices, but also its website.
10. For external organizations, Thanachart Group gave advice and served as guest lecturer on how to apply for the CAC program membership certification. In this connection, many of these organizations became CAC program’s certified members. There were also other organizations who requested Thanachart Group to give advice and serve as guest lecturer on a continuous basis. These included MBK Public Company Limited, Tipco Foods Public Company Limited, and Patum Rice Mill and Granary Public Company Limited.
11. The Company organized activities on “Raising consciousness, living in the present, and doing good deeds” in relation to anti-corruption for educational institutions at both the university level and the school level throughout the year.
    1. The Faculty of Arts, Chulalongkorn University, together with Thanachart Group organized a training activity called ““Raising consciousness, living in the present, and doing good deeds” on 29 January 2016 for 80 students leaders and teachers of Chitralada School who paid a study visit to the International Tripitaka Hall, the Faculty of Arts, Chulalongkorn University. In this connection, the activity was led and directed by a team from the Compliance Department. The feedback given by the participants of the training in the training evaluation form was overwhelming positive.
    2. Thanachart Group was invited by Nawamintrachinuthit Satriwittaya Phutthamonthon School to organize a training activity on “Raising consciousness, living in the present, and doing good deeds” on 14 September 2016 for 80 students studying at Matthayom Suksa 6 level under the “Getting-prepared-for-outside-world” program. Emphasis was placed on practicing simple concentration exercise and living happily. The students gained a lot of knowledge from and very much enjoyed participating in the activity. Importantly, this helped reconfirm the Group’s positive corporate image as an organization without corruption, which adheres to moral values and transparency.
    3. Thanachart Group was invited by Ideal Grad 2 of the Office of General Education, Chulalongkorn University, to serve as a guest lecturer for a training activity on “Raising consciousness, living in the present, and doing good deeds”. The objective was to encourage students not only to become responsible and socially conscious citizens but also to be honest and ethical individuals. The activity was in line with Thanachart Group’s mission that places strong emphasis on becoming an organization with good corporate governance and on participation in activities which encourage sustainable growth of moral communities and society.
12. Thanachart Group made necessary preparations for the renewal of their memberships of the CAC program, which would expire in 2017. In this connection, it provided the concerned staff members with training courses and a field visit to another organization. The staff members also attended the following activities: (a) the training course organized by the IOD on the renewal of memberships of the CAC program; (b) the training course sharing the latest experience of getting certified as CAC member, which was organized by President Bakery Public Company Limited; and (c) the field visit to Bangchak Petroleum Public Company Limited. The objective was to help the staff members know and understand the laws and guidelines of the regulators and the related state agencies concerned, particularly in the areas of risk assessment and the establishment of appropriate internal control policies aiming at preventing bribery of public officials.

In addition, the two newly established member companies of Thanachart Group, which included MT Services Company Limited and TM Broker Company Limited, already signed up the Declaration of Intent to become signatory companies of the CAC in 2016. They planned to apply for the CAC program membership certification in 2017.