Shariah Audit & Shariah
Non-Compliance Reporting
for Islamic Financial Institutions

SIDC CPE - accredited: 10 CPE Points
Date: 19th July 2017 Venue: InterContinental Hotel, Kuala Lumpur


9.15am – 11.15am

Session 1: Shariah Audit, Compliance and Governance Requirements for Shariah Non-Compliance Risk Management and Reporting

  • Examining recent regulatory requirements on Shariah audit, compliance and Shariah non-compliance reporting under the following:
    • Central Bank Act 2009
    • Islamic Financial Services Act 2013
    • AAOIFI
    • IFSB
    • Shariah Governance Framework and recent revisions
  • Implications of each of the above for Shariah audit, risk management and Shariah non-compliance reporting functions within an Islamic financial institution
  • Revisions to the Shariah Governance Framework and disclosure requirements in 2017 from an audit, compliance and non-compliance reporting perspective
  • Recent regulatory revisions to the role of the Shariah officer in an Islamic financial institution
  • Obligations, responsibilities of boards and directors and senior bank management, and penalties for Shariah non-compliance infringement

Associate Professor Dr Rusni Hassan — Deputy Dean IIUM Institute of Banking & Finance and former member, Shariah Advisory Council, Bank Negara Malaysia

11.15am – 11.45am


11.45am – 1.00pm

Session 2: Examining the Roles and Responsibilities of Shariah Audit & Shariah Compliance Units in Islamic Financial Institutions

  • Undertaking and building effective Shariah audit and risk assessment and management practices: people, systems, procedures and documentation
  • Types and common examples of Shariah risks inherent in Islamic financial institutions: product flaws in documentation or structure, Islamic banks’ practices vs. regulatory requirements and other potential flashpoints
  • Analysing product endorsement and approval procedures from a Shariah audit and compliance perspective
  • Audit, disclosure and reporting requirements in Malaysia: Practical issues with Shariah audit and non-compliance reporting within Islamic Banks
  • Hot spot areas or activities which will trigger Shariah non-compliant risk in Islamic banks

Shabnam Mokhtar — Group EVP, SHAPE Knowledge Services

1.00pm – 2.00pm


2.00pm – 3.00pm

Session 2 (continued)

Shabnam Mokhtar — Group EVP, SHAPE Knowledge Services

3.00pm – 3.30pm


3.30pm – 4.45pm

Session 3: Assessing Procedures, Obligations and Responsibilities of Shariah Non-Compliance Reporting

  • Identifying the obligations of Islamic Financial Institutions for Shariah non-compliance reporting
  • Discussing practical issues and procedures for SNC reporting
  • Evaluating information disclosure requirements for SNC
  • Understanding rectification measures open to an Islamic financial institution: options and procedure, non-halal income management and purification
  • Assessing the consequences of failure to report SNC

Ahmad Nazri Ismail — Head, Group Shariah Risk Management, RHB Banking Group


Coffee and Networking