Habib Bank Limited (HBL) has been directed to pay Rs. 249,525 in compensation to a cook who was scammed online. The order comes directly from President Dr. Arif Alvi himself.
He announced his orders over a petition filed by (HBL) against a decision of the federal ombudsman.
The bank opposed the order at first, but Alvi rejected the contention and ordered HBL to pay Rs 249,525 to Ali Muhammad, who is a cook from Rahim Yar Khan. The man was scammed by fraudsters who had obtained his bank account information by posing as bank officials over the phone. The swindlers got money transferred out of his account online.
The president said that as per directions from the State Bank of Pakistan (SBP), banks should obtain consent from the customer before approving an online funds transfer. The bank failed to provide any documented evidence proving that it complies with the provisions of law, rules, and regulations.
He also said that banks should regularly alert customers about banking scams such as fraudulent online transfers and also improve communication with clients. He added that innocent customers are being scammed out of their hard-earned money, sometimes even directly from banking premises.
Recently, the Pakistan Telecommunication Authority (PTA) has also warned citizens about the rise of fraudulent messages and calls. PTA has advised people not to respond to any such messages and encouraged reporting them. The regulator said that dozens of citizens have sent complaints about scammers posing as “Bol Game Show” through SMS and WhatsApp messages.
PTA strongly warned people against sharing any personal or financial information with such scammers and shared a detailed Press Release on how to report such activity. However, in the case of financial or banking fraud, PTA has advised people to contact the State Bank of Pakistan through cpd.helpdesk@sbp.org.pk