KUWAIT CITY, Jan 10: Local banks have identified a mechanism that includes seven measures to prevent counterfeiters and fraudsters from obtaining bank loans with a warning message posted about them on the Credit Information Network, reports Al-Qabas daily.
The banks said during a recent meeting which was held at the request of the Central Bank of Kuwait, the details of which have been acquired by the daily indicated that in the event of detecting fraud documents presented for funding while initiating a submission to the Public Prosecution, will do the following:
■ Add a message by the bank in the warnings section on the front page of the credit information report ‘forged documents’ whether the person is a bank customer or applying for a loan in another bank.
■ After the communication has been forwarded to the court, the warning box is updated by adding the automatic number of the case.
■ In the case of final judgment, the warning box will be updated with the addition of a message stating that a forgery has been issued.
■ In the event of fraud, with a debt owed to the bank when a complaint is filed with the Public Prosecution, the following shall be carried out: ■ Add a message by the bank in the warnings section on the front page of the Credit Information Network saying ‘Counterfeit Documents’
■ Change the debt situation to ‘fraud’
■ After the communication has been forwarded to the court, the warning box is updated by adding the automatic number of the case and in the case of a final judgment, the warning box will be updated with the addition of a message stating that a forgery has been issued. The banks suggested the debt situation be treated like the cases of customers against whom they have been subjected to legal proceedings for a period of 3 years, while the warning message will remain based on the credit information network report.
Sources said, in this context, a way will be discovered to communicate with government agencies that are not covered by the integrated system of civil service information, whether governmental or private sector. The Central Bank of Kuwait has directed banks to the need to develop a mechanism to prevent fraud by providing forged papers to obtain credit financing for borrowing from banks again.
The central bank has also asked the banks to study and develop the required executive procedures on how to include the credit data available by SaiNet network from customers who have already submitted forged documents at any of the banking and financial units in order to obtain credit financing.