Since the beginning of this year, banks have been fined more than 1.1 billion yuan, and there is a long way to go to promote credit compliance

Since the beginning of this year, the financial regulatory authorities have further continued to strengthen and deepen their supervision. According to the administrative penalty information disclosed on the website of the State Administration of Financial Regulation, as of October 12, since the beginning of this year, there have been 1,559 fines involving relevant institutions in the banking industry, with a fine of 1.184 billion yuan. Among them, the loan business is the "hardest hit area" of violations.

Industry insiders believe that in the context of the current financial supervision, the banking industry needs to further strengthen its internal control and risk management, strictly abide by regulatory regulations, and improve the level of compliance operation. At the same time, it is necessary for regulatory authorities, financial institutions, technical service providers and other parties to work together to promote the compliance of credit business.

Loan business is easy to step on the "red line"

According to the statistics of Enterprise Early Warning, as of October 12, since the beginning of this year, 2,763 fines have been disclosed by the State Administration of Organs, the Supervision Bureau, and the Supervision Bureau, and the punished parties include banks, insurance, financial leasing companies and other institutions, with a total fine of about 1.456 billion yuan. Among them, 1,559 bank-related institutions were fined, with a fine of 1.184 billion yuan.

Judging from the administrative penalty information disclosed on the website of the State Administration of Financial Regulation, as of October 12, since October, 108 fines have been disclosed, including individuals and institutions, with a total penalty amount of more than 16 million yuan.

For example, on October 12, the website of the State Administration of Financial Supervision disclosed that the Luancheng Rural Credit Cooperative in Shijiazhuang City was fined 1.4 million yuan for imperfect seal risk prevention and control mechanisms and inadequate post-loan management.

In another example, Suichuan Hongdu Village Bank was fined 1 million yuan for illegal inflow of personal operating loan funds into the real estate sector, inadequate management of employee behavior, and illegal handling of new loans to repay old loans and extensions.

The reporter combed and found that the loan business is the "hardest hit area" of bank violations. From the perspective of violations of laws and regulations, problems such as inadequate post-loan management, lax "three checks" on loans, misappropriation of working capital loans, and illegal inflow of credit funds into the real estate market and stock market are more prominent.

Up to now, since the beginning of this year, the financial regulatory authorities have issued more than 3,000 fines to institutions and individuals for illegal loan business, with a total penalty amount of more than 700 million yuan, and a number of bank employees involved have been banned from working in the banking industry for life. From the perspective of the punished institutions, the scope covers large state-owned banks, joint-stock banks, urban and rural commercial banks, village and township banks, rural credit cooperatives, foreign-funded banks, etc. The individuals punished include senior executives such as the chairman, president, and vice president, as well as grassroots practitioners such as credit managers and account managers.

Dong Ximiao, chief researcher of Zhaolian, told reporters: "The punishment of relevant violations by the regulatory authorities will help banks establish a prudent business philosophy, conduct business in accordance with laws and regulations, and more effectively prevent and control credit risks." ”

It is strictly forbidden for credit funds to flow into restricted areas in violation of regulations

The misappropriation of credit funds for other purposes has always been expressly prohibited by the regulatory authorities, and many banks have made clear notices of such acts. As of October 14, according to the reporter's incomplete statistics, more than 30 banks have issued a statement that it is strictly forbidden for credit funds to flow into the real estate market, stock market and other fields in violation of regulations, and shall not be used for stocks, futures, financial derivatives investment, and other purposes prohibited by relevant national laws, regulations and rules.

A personal loan manager of Ping An Bank in Beijing told reporters: "When applying for a loan, everyone will choose the purpose, and the purpose of the loan should be consistent with the actual use, and can only be used for the purpose of funds identified when applying for a loan, and cannot violate the fund use agreement and relevant laws." In the event of any violation of the use of funds, the bank has the right to take measures to stop the issuance of loans, declare the loans to expire early or other measures for breach of contract in accordance with the contract. ”

However, judging from the fines issued by the regulatory authorities, the phenomenon of illegal inflow of credit funds into the property market, stock market and other restrictive areas is still repeatedly prohibited.

In this regard, Dong Ximiao told reporters: "For banks, the monitoring of the use and flow of loan funds has always been a big problem. In addition, credit business is the most basic business of banks, with a large number of businesses, frequent processing, and long processes, so it is easier to touch on compliance issues. ”

Many people in the industry believe that the serious violations in the credit business are mainly related to the lax internal control of banks, the unreasonable incentive mechanism, and the sharp increase in market competition pressure. Du Yang, a researcher at the Bank of China Research Institute, said that some banks have loopholes in internal audit and compliance management, and lack an effective monitoring mechanism, resulting in a lax loan approval process and prone to violations. Some banks use performance indicators as the main evaluation criteria, leading employees to ignore compliance in pursuit of performance and use improper means to promote loan business. In addition, due to the homogenization of bank credit business and increasing market competition, some banks may be lax in risk control in order to gain more market share, resulting in an increase in non-compliance.

Zhou Maohua, a macro researcher at the financial market department of Everbright Bank, told reporters that loan business is the core business of the banking industry, and some institutions pay too much attention to short-term interests and scale expansion in order to cope with fierce market competition. The internal assessment and incentive mechanism of a few banks is not reasonable enough, and the awareness of some salesmen to conduct business in accordance with laws and regulations and risk control needs to be improved.

Multi-party efforts to promote credit compliance

In the context of the current "long teeth and thorns" of financial supervision, many people in the industry believe that strong supervision and strict supervision will be further continued and deepened, and the banking industry needs to further strengthen internal control and risk management, strictly abide by regulatory regulations, and improve the level of compliance operation.

Zeng Gang, director of the Shanghai Finance and Development Laboratory, suggested that all parties should work together to promote the compliance of credit business. Specifically, at the regulatory level, laws and regulations should be improved, communication and guidance should be strengthened, and regulatory methods should be innovated; At the bank level, attention should be paid to establishing a compliance culture, improving the risk control system, designing and optimizing business processes, and conducting regular compliance training to improve employees' risk awareness. At the level of technical service providers, we should continue to develop a more intelligent and secure credit management system to identify risks more efficiently and help institutions improve their internal control capabilities. At the borrower level, they should improve their awareness of integrity and their own financial management capabilities.

In addition, Du Yang believes that banks should strengthen internal controls. For example, establish and improve internal control and compliance management systems to ensure that all operations have clear specifications and processes; Conduct regular compliance and risk management training for employees to improve their understanding and implementation of laws, regulations and internal systems; Establish an incentive and accountability mechanism, incorporate compliance into the performance appraisal system, reward employees with excellent compliance performance, and strictly pursue accountability for violations.

Looking forward to the next step, Su Xiaorui, a senior researcher at Suxi Zhiyan, predicts that the regulatory authorities will use technological means and cross-departmental linkage and cooperation to discover the risk of non-compliance of banking institutions as early and efficient, and banking institutions also need to strengthen their own management and integrate compliance into the pre, middle and back processes of the business. "Banks need to carefully sort out past fine cases for themselves and their peers, continue to weave a dense compliance protection net, and strengthen the daily training of personnel." Su Xiaorui said.