Regulatory Alerts2003-01-01
Circular No. 20: Compliance with the Phrase 'Payable to the First Beneficiary'
The Palestine Monetary Authority issued Circular No. 20 on February 1, 2003, mandating that all banks operating in Palestine must strictly preserve the "Payable to the First Beneficiary" phrase on checks issued by the Ministry of Finance, government ministries, official institutions, or any other entity. Banks are explicitly prohibited from crossing out or altering this phrase, as doing so violates established check circulation rules and principles. Any bank that disregards this requirement will assume full liability for disbursing funds to unauthorized parties instead of the designated first beneficiary.
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