Assess the reality of compliance practices and Conduct in banks active in the Algerian business environment

Abstract

This study aims at assessing compliance practices and behaviours at active banks in the Algerian business, following increased attention to the risks of breaking the rules and regulations, as a result of banks’ criminal acts that are practiced illegally (Laundering of tax evasion, money laundering and terrorism financing), or legal but immoral (tax optimisation, and screen companies); in a highly structured institutions within a business model of internationallisation. According to many interviews with compliance department’s employees in active banks in Algeria and the internal controller of Algeria’s bank, we have found that compliance practices in active banks in the Algerian business environment follow the same stream as in the international banking business model, which does not provide protection for national interests. Thus, because of the increasing gap between the regulations and practices in the Algerian business environment; especially in terms of internal compliance and, even, to act for procedures’ commitments has not been achieved or compiled.