Silk Bank directed to refund Rs200,000 to fraud victim

October 16, 2022 (MLN): President Dr Arif Alvi has upheld a decision of the Banking Mohtasib (BM) and directed the Silk Bank Ltd (SBL) to refund the bank account of a fraud victim with Rs200 000 along with the remaining profit till the date the amount is credited in his bank account as SBL had committed maladministration by failing to appoint honest officials at its bank branch and unjustly withheld the profit amount, a press release showed. 

President gave these directions while rejecting a representation of SBL against a decision of BM in a case where a citizen of Multan, Mr Muhammad Shafiq (the complainant), had invested Rs200,000 in Term Deposit Receipt (TDR) with the bank, however, he was only paid profit for six months and when he went to withdraw the remaining profit from his account, he was informed that his TDR was fake and he had been hoodwinked by the ex-Branch Operations Manager. 

President in his decision held that since the complainant had produced original TDR which bore the Bank’s logo, duly stamped and signed by the ex-Branch Operations Manager, the Bank was responsible for any document signed by its employee on purportedly Bank’s stationery and stamp of the Bank. 

“It is a case of wrongdoing and maladministration by the Bank officials. The Bank is, therefore, responsible to make good the loss of the complainant without further delay”, held the President.

It is worth mentioning that the Silk Bank is owned by former finance minister and PTI senior leader Mr. Shaukat Tarin. 

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