Regulatory Alerts2022-01-01
Circular No. 07/2022: Caution Regarding a Criminal Modus Operandi
The Palestine Monetary Authority issued Circular No. 07/2022 to warn money changers about the "inheritance scam," a fraud scheme where criminals impersonate legal or banking officials to solicit personal documents and fees from victims under the false promise of sharing a wealthy relative's estate. The circular mandates that money changers immediately educate clients on these risks, publicly disseminate warnings across their offices and social media channels, and strictly enforce the preventive controls established in Circulars No. 157/2020 and No. 203/2020. By implementing these measures, institutions can mitigate exposure to money laundering predicate offenses and protect Palestinian citizens from financial exploitation and data theft.
Palestine Monetary Authority PALESTINE MONETARY AUTHORITY
Circular No. (07/2022) To All Money Changers Operating in Palestine Date: Thursday, May 05, 2022
Subject: Caution Regarding a Criminal Modus Operandi
The Palestine Monetary Authority urges money changers to exercise caution and adopt preventive measures and controls sufficient to avoid a criminal scheme known as the "inheritance scam," which aims to defraud Palestinian citizens and steal their personal data and funds. This scheme involves citizens receiving messages via social media and email from individuals impersonating legal advisory offices or employees of banks residing outside the State of Palestine, urging them to send personal documents and legal fees and court costs to specific beneficiaries in several countries, including (South Africa, Thailand, and the Philippines), under the guise of assisting in arranging the legal documents required to prove their relationship and kinship with one of the deceased wealthy individuals who share the victim's surname, in exchange for sharing the inheritance with the scammer.
In order to combat fraud and deception crimes that fall under the predicate offenses of money laundering, the Palestine Monetary Authority emphasizes the necessity of adopting the relevant controls and procedures, including:
- Educate clients about the criminal modus operandi and its risks, and warn them against falling victim to fraud and deception crimes, and work to disseminate this information across company premises and through their official social media channels.
- Implement the preventive measures and procedures stipulated under Circulars No. (157/2020) and No. (203/2020).
Supervision Department Palestine Monetary Authority
Copy: To the Esteemed Financial Monitoring Unit