Regulatory Alerts2022-01-01
Circular No. 07/2022: Caution Regarding a Criminal Scheme
The Palestine Monetary Authority issued Circular No. 07/2022 to alert money changers to the "inheritance scam," a criminal scheme where fraudsters impersonate foreign lawyers or bank employees to steal personal data and funds under the guise of processing wealthy deceased estates. The circular mandates that money changers proactively educate their clients about this specific fraud risk and disseminate warnings across their physical branches and official social media platforms. Additionally, it requires institutions to strictly enforce the preventive controls and procedures already established under Circulars No. 157/2020 and No. 203/2020 to mitigate money laundering predicate offenses.
Palestine Monetary Authority PALESTINE MONETARY AUTHORITY
Circular No. (07/2022) To All Money Changers Operating in Palestine Date: Thursday, May 05, 2022
Subject: Caution and Vigilance Regarding a Criminal Scheme
The Palestine Monetary Authority urges money changers to exercise caution and vigilance, and to implement 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 consulting law firms or employees of banks located outside the State of Palestine, urging them to send personal documents and pay legal fees and court costs to specific beneficiaries in several countries, including (South Africa, Thailand, and the Philippines). The stated purpose is to assist in arranging the legal documents required to prove their relationship and kinship to a deceased wealthy individual who shares 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 for money laundering, the Palestine Monetary Authority emphasizes the necessity of implementing the relevant controls and procedures, including:
- Educate clients about the criminal scheme and its risks, and warn them against falling victim to fraud and deception crimes, while disseminating this information across company premises and 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
www.pma.ps Ramallah and Al-Bireh Governorate - Palestine | P.O. Box 452 Tel: +970 2 2415251 | Fax: +970 2 2415310 | info@pma.ps Gaza - Palestine | P.O. Box 4026 Tel: +970 8 2825713 | Fax: +970 8 2844487