Central Bank of Libya Periodic Letter No. 54/2015

Central Bank of Libya
P.O. Box 1103 | Telegram Address: Masaribya - Tripoli, Libya

Periodic Letter No. (2015/54)
Date: 15 Jumada al-Awwal 1436 AH / Corresponding to: 03/05/2015 AD

Reference: I.M.N / 792 / T.1 / J.1

To: General Managers of Commercial Banks
Heads of Interim Administrative Committees of Commercial Banks
Governor, Libyan Foreign Bank
Managing Director, Exchange and Financial Services Company

Subject: Reporting on Fraud, Embezzlement, and Incidents Affecting Banks

Greetings,
Based on the provisions of Law No. (1) of 2005 concerning Banks and its amendments, and within the preventive and supervisory role over commercial banks operating in Libya.
And referring to Periodic Letter No. (2001/121) dated 27/11/2001, regarding the requirement for banks to report to the Banking and Currency Control Department incidents of forged checks issued at various bank branches.
And referring to the provisions of Paragraph 9 of Circular No. (2002/12) issued on 20/05/2002, requiring the Banking and Currency Control Department to be provided with lists of persons who issue non-sufficient funds (NSF) checks, or submit forged documents for various reasons, or deceive banks through various means; and to our Periodic Letter No. (2002/87) dated 13/06/2002, regarding providing this Department with information concerning fraud and embezzlement cases promptly, ensuring that the data comprehensively includes names of persons who conducted such operations and any available personal information about them.
And referring to Periodic Letter No. (2003/196) dated 31/08/2003, regarding providing this Department with sufficient data on any embezzlement, fraud, or deception cases affecting bank branches, including the issuance of NSF checks.

www.cbl.gov.ly, swift code: CBLLYLX, Fax: +218 21 444 1488, Phone: +218 21 333 3591

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And confirming Periodic Letter No. (2009/58) dated 14/05/2009, regarding the necessity of full compliance with the aforementioned Periodic Letter No. (2003/196).
And since the Banking and Currency Control Department has noted that some banks have not fully complied with the instructions issued by the Central Bank of Libya regarding reporting on fraud, embezzlement, deception, and cheating, in addition to some banks failing to provide this Department with sufficient information including the background of facts and actions taken regarding them on a continuous basis.
Therefore, while reiterating the necessity of compliance with the instructions issued by the Central Bank of Libya, and specifically those mentioned above, you are requested to report to the Banking and Currency Control Department any fraud, embezzlement, deception, cheating, NSF check issuance, as well as robbery and looting incidents affecting your banks, to be reported promptly as they occur. A copy of Periodic Letter No. (2003/196) issued on this matter is attached.

Peace, mercy of God, and blessings be upon you,
Abdul Magid Muhammad Al-Mathouri
Director of the Banking and Currency Control Department (Acting)

Copies to: Mr. / The Governor
Mr. / The Deputy Governor
Mr. / Head of Media Follow-up and Compliance Monitoring Section
To: Head of Inspection Reports Follow-up Section

2015 [Contact Information]
Central Bank of Libya
P.O. Box 1103, Tripoli - The Great Socialist People's Libyan Arab Jamahiriya
Telegram Address: Masaribya - Tripoli

Periodic Letter No. I.M.N (2003/196)
Date: 03 Rajab / Corresponding to: 31 Hannibal 1371 AH
Reference No.: N / 865 J.3

To: Secretaries of the People's Committees for Commercial Banks
Mr. / Director of Banking Operations Department - Central Bank of Libya
To: Managers of Central Bank of Libya Branches (Benghazi - Sirte - Sabha)
Mr. / Chairman of the Board of Directors and Managing Director - Trade and Development Bank
Mr. / Executive Director, Egyptian National Institution (for Education)
Mr. / Chairman of the Board of Directors and Managing Director - Al-Etijah Arab Bank
Mr. / Chairman of the Board of Directors - Al-Aman Commercial and Investment Bank

Greetings,
Referring to our Periodic Letter No. (2001/121) dated 27 Al-Harath, regarding the necessity of reporting to this Department incidents of forged checks issued at various bank branches.
And referring to our Periodic Letter No. (2002/14) dated 28 Ayyar, regarding providing this Department with information on any embezzlement, fraud, or deception cases affecting banks.
And referring to what is stated in Paragraph 9 of this Department's Circular issued on 20 Al-Ma' under No. (2002/12), requiring the Banking and Currency Control Department to be provided with lists of persons who issue NSF checks, or submit forged documents for various reasons, or deceive banks through various means.
And referring to our Periodic Letter No. (2002/87) dated 13 Asif, regarding providing this Department with the required information on fraud and embezzlement cases promptly, ensuring that the data comprehensively includes names of persons who conducted such operations and any available information about them.
Therefore, this Department requests comprehensive data on all fraud, embezzlement, and deception cases affecting your bank branches, including the issuance of NSF checks, from 01/01/2000 Gregorian to date, ensuring that the required data includes the following:

First: Case-related Data.

1. Name of the branch where the incident occurred.
2. Clear description of the incident.
3. Date of discovery and method of discovery.
4. Documents used in committing the incident.
5. Value of the amount affected by the deception or embezzlement.
6. Value of the amount recovered from the embezzled funds.

Second: Perpetrator-related Data.

1. Name of the perpetrator.
2. Workplace, if any.
3. Position held, in case the concerned person is a bank employee.
4. National ID or passport number.
5. Nationality.

Third: Actions.

1. Actions taken by the bank with competent authorities.
2. Actions taken by the bank regarding the perpetrator.
3. Date of reporting the incident to the Central Bank of Libya.
4. Final status/outcome of the actions.

Given the importance of this matter, we hope for full compliance with the above, and that your data reaches us within one week from the date of receiving this letter, and that future reports follow this format.

Peace, mercy of God, and blessings be upon you,
Dr. Muhammad Abdul Jalil Abu Snineh
Director of the Banking and Currency Control Department

Copies to: Mr. / The Governor
Mr. / The Deputy Governor
Mr. / Deputy Head of the Supervision Section (Public People's Committee for Food and Supervision Authority)
Mr. / Head of the Legal Office (Central Bank of Libya)
Inspection Reports Follow-up Section