Issuance/Amendment of Guarantees

Recovery Procedure: Issuance/Amendment of Guarantees

Plan Development Template: Recovery Procedure Page 1 Copyright @ GMH Pte Ltd

Plan Development Template: Recovery Procedure Page 2 Copyright @ GMH Pte Ltd

• WHAT
  • TF03 Issuance/Amendment of Guarantees

Pre-Crisis

• HOW
  • Input register immediately in EXCEL upon receipt of new transactions.
  • Ensure register is in BCP directory.
  • Close BAG contracts in Trade Finance System.

Recovery & Resumption

Within T+4 hours

• HOW
  • Ask IT to change routing of print-queue
  • Identify outstanding transactions to be completed
  • Liaise with Corporate Banking to reconfirm any outstanding transactions to be done

Back >> Sample Recovery Procedures

Within T+4 to T+24 hours

• HOW
  • Retrieve details of all work-in-progress by printing report or extracting data from BAG
  • In case account manager insist on immediate issuance with proper approval from management:
    • Ask clients to fax us their copies of LC/guarantees and/or amendments at the alternate office.
    • Process in BAG/ Word/ SWIFT.
    • Refer Account Manager and/or Credit Risk Monitoring and Control for approval if there are any irregularities.
    • Send the amendment by authenticated SWIFT to our branch or correspondent bank and ask them to relay the contents to the designated bank if it is by telex.

After T+24 hours

• HOW
  • Check details of all work-in-progress, decide and inform the related clients of any delay and/or rejection
  • Entertain no new application
• Advise new clients by Corporate Banking/Front Office to route their transactions to another bank.
  • Unless for very important client of whom we are their sole banker, we shall only issue amendments or countersign shipping guarantees for LCs and/or guarantees which we have already issued.
  • The procedures are same as T+4 to T+24 hours above.