Regulatory Alerts2015-04-01 | JB-2015-3327Resolution No. JB-2015-3327 of the Banking Board
The Banking Board of Ecuador issued Resolution No. JB-2015-3327 to reject a review appeal filed by Banco Pichincha C.A. against an administrative order requiring the bank to refund unauthorized ATM withdrawals to a customer. The Board confirmed that the bank failed to implement adequate security measures, such as video surveillance, to prevent fraud, thereby upholding the obligation to restore the disputed funds. This decision reinforces the principle that financial institutions are responsible for the security of their services and must compensate clients for losses resulting from inadequate protective systems.
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