Regulatory Alerts2015-06-10 | JB-2015-3469Banking Board Resolution JB-2015-3469
The Banking Board of Ecuador ratified a regional office order requiring Banco de la Producción S.A. PRODUBANCO to pay a check amount of USD 68,676.00 to Casa Nori Cía. Ltda. following an administrative complaint regarding the wrongful return of the instrument. The Board rejected the bank's review appeal, determining that the institution failed to comply with mandatory legal procedures for the cancellation of check forms, specifically the requirement to have the cancellation request notarized or judicially recognized. This procedural failure constituted a violation of the beneficiary's rights and justified the enforcement of the payment under the financial regulations in force at the time of the incident.
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