fraud & forgery

8/10/2019 Fraud & Forgery

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1

BBL New Joiners Training

Fraud & Forgery in Banks

Presented by

Retail Risks


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Basic Elements and

Thumb Rule of Banking

Accurate KYC of Customers

Strictly Avoiding Account Introduction without Knowing Customer

Ensuring Call Back Confirmation from Customer When Necessary

Ensuring Proper Cross Checking

Ensuring Processes and Guidelines Never violated

Reconciliation, Reconciliation and Reconciliation

Always Vigilant

Never Share ID-Password


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Experience Sharing

ATM Skimming A Recent Fraud Pattern

Facing law enforcementagencies

Online/IB fraud
http://localhost/var/www/apps/conversion/tmp/scratch_1/ATM%20Skimming.doc


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Cheque Fraud


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Cheque Fraud

After Bangladesh Bank implemented Automated

Clearing House, the Number of Cheque fraud

incidents have drastically increased.

According to a news report; Bangladeshi Banking

Industry already experienced Cheque fraud of

around BDT 200 Crore.

In BRAC Bank, we also faced Cheque related

frauds and in the process had to bear losses on

many occasions.


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Cheque Fraud

Under the current Cheque clearing process, the presenting bank is responsible

for any fraud Cheque clearing.

If Cheque fraud attempts are not identified, Bank encounters direct financial loss

and often the amount may be immense.

This is one of the Cheques

that has been altered and

submitted to our branch

for depositing.

Cheque Fraud


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We have received such

notification from one of our

branches where aBBL PO has been modified

and placed in a commercial

bank for clearing.

Cheque Fraud

Fake PO

Cheque Fraud


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Without any exception, our branches also often receive altered

Cheque. Though we have a central Cheque clearing unit to process

clearing Cheque, altered Cheque even with large amount goes for

clearing unnoticed by the branches.

Apreliminary checking of Cheque should be done sincerely atbranch level.

Point of Checking

Wrong beneficiary name,

Overwriting was not authenticated properly,

Cheque number altered,

Presence of features of a Cheque, etc.

Last awareness circulated regarding Cheque fraud

Cheque FraudCheque Fraud
http://localhost/var/www/apps/conversion/tmp/scratch_1/Cheque%20Fraud%20-%20Need%20Highest%20Degree%20of%20Alertness%20While%20Dealing%20Cheque.doc


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- BBL has already encountered many Cheque fraud cases.

- During investigation, most of the suspected accounts were found

opened using fake address andintroduced without knowing.


Faulty KYC may resultFraud


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Prevention

Point of Focus:

Customer KYC should be done meticulously. Exact introducer, too.

In case of depositing large amount through clearing purpose should be asked. Cheques in Drop Box should be examined with extra care.

Cheques from Security company/Brokerage house also should be examined

carefully.

Vigilant while receiving other banks PO/DD.

Suspicious instrument should be checked under UV lamp (if available)



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Nevertheless, banks prescribed processes has to be

followed meticulously to prevent Cheque fraud:

- Call back must be done whenever required as per processor at any suspension.

- Very Cautiousness while performing Cheque requisition

and delivery.



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Vital tool for

Postmortem of Any Fraud Incident

Is CCTV recording


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KYC : Know Your Colleague

- - Ensuring recording is always active, never know when and where in branch incident

happens.

- - CCTV cameras should be placed at important points with right angle.

Click to play/stop Click to play/stop


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Pls. Do Not Leave Desk

>>Without Locking Drawer

The desk drawers in cash area & service area

at branch are provided to secure the cash incounter and seals of BSSOs. On several

occasions it is been observed that during

operation CCSOs, BSSOs left their desk

without locking the drawers. As a resultcounter money gets exposed to the risk of

misplacing.


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The End

fraud & forgery

Documents