Internal controls

(1) The board of directors of a licensee shall establish and maintain adequate internal controls, safety and security measures and documented operational standards for all functions of the bank. (2) A licensee that fails to comply with the requirements of sub-section (1) is liable to pay, on being called upon in writing to do so by the Central Bank, a sum not exceeding one hundred thousand dollars. (3) Where the board of directors of a licensee fails to comply with sub-section (1), the Central Bank shall require the board of 106 directors to take such action, within a specified period, to effect compliance therewith. (4) Each member of the board of directors of a licensee that fails to take the necessary action in accordance with sub-section (3) commits an offence and shall be liable on summary conviction to a fine not exceeding twenty-five thousand dollars. Risk