BSP tightens rules for screening of financial institutions’ officials

APPLICANTS for any role and candidates for directors or trustees in Bangko Sentral ng Pilipinas (BSP)-supervised financial institutions must now submit additional personal information to allow the regulator to ensure they are qualified to hold their prospective positions.

In a circular signed by BSP Governor Eli M. Remolona, Jr. on June 11, the central bank amended the Authorization Form for Querying (AFQ) the BSP’s records for screening applicants.

Under the revised rules, all applicants must provide their taxpayer identification number, birth date, sex, last known address, and complete maiden name for married females in their respective AFQ.

“This additional information serves as an added layer of verification by the Bangko Sentral against its existing records to ascertain the individual’s qualification or non-qualification to hold any position in Bangko Sentral Supervised Financial Institutions (BSFIs),” the central bank said.

The amendments also added a liability clause in the AFQ, which, if signed, prevents the BSP or the BSFI from being held liable for any issues that may arise during the background check.

The AFQ grants the central bank and BSFIs the authority to conduct a background screening on applicants against the BSP’s records, including its “Watchlist Files.”

By signing the AFQ, applicants waive the confidentiality of their personal information and subject themselves to a full inquiry in relation to their application or appointment.

Prior to the amendments, individuals required to submit an AFQ were only mandated to provide their name, position sought, and the name of the concerned financial institution.

The BSP first introduced the AFQ in 2021 as one of the requirements candidates who passed the initial stages of pre-employment process in BSFIs had to accomplish.

The screening process involved banks’ assessment of applicants’ character references, criminal records, psychological evaluation, past employment, credentials, and professional qualifications, among others. — Katherine K. Chan