Regulatory Alerts2015-05-20 | JB-2015-3431Banking Board Resolution JB-2015-3431
The Banking Board of Ecuador rejected the appeal filed by Produbanco and confirmed the administrative act requiring the bank to refund US$ 10,395.50 to customer Charlotte Susen Knopf García. The Board determined that the bank failed to implement adequate security measures, specifically regarding IP address monitoring and transaction pattern analysis, which allowed unauthorized transfers from an unregistered IP address. Consequently, the bank was held liable for the fraudulent transactions due to its failure to detect unusual activity and issue required security alerts.
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