Shell Bank Sample Clauses
The Shell Bank clause defines and addresses the status of financial institutions that exist only on paper and have no physical presence in any jurisdiction. In practice, this clause typically prohibits parties from engaging in transactions with or through shell banks, or requires them to confirm that they are not shell banks themselves. By including this provision, the clause helps prevent money laundering and other illicit financial activities by ensuring that all banking partners are subject to proper regulatory oversight and due diligence.
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Shell Bank. It is a bank that has no physical presence in any country. “Physical Presence” means a place of business (i) that corresponds to the Bank; (ii) located in a fixed address (as opposed to an electronic address only) in a country in which the bank is authorized to carry our business; (iii) in that location, the bank must have one (1) or more full – time employees and keep operational records of its banking operations; and (iv) that it is subject to the inspection of the authority that grants the license in the jurisdiction in which the bank is registered.
Shell Bank. It is a bank that has no physical presence in any country. “Physical Presence” means a place of business (i) that corresponds to the Bank; (ii) located in a fixed address (as opposed to an electronic address only) in a country in which the bank is authorized to carry our business; (iii) in that location, the bank must have one (1) or more full – time employees and keep operational records of its banking operations; DC- Crude Oil Transportation Agreement - 009 - 2013 101 and (iv) that it is subject to the inspection of the authority that grants the license in the jurisdiction in which the bank is registered.