Circular Regarding Cases of Forgery and Embezzlement in Banks No. 13775/4/2/10 dated 2014/11/18

In the name of Allah, the Most Gracious, the Most Merciful

[Logo of the Central Bank of Jordan]

Number: 13775/4/2/10
Date: 25/1/1436 AH
Corresponding to: 18/11/2014 AD

Circular to Banks Operating in the Kingdom

Greetings,

Several banks have recently informed us of cases of embezzlement, forgery, and fraud committed by some of their employees by exploiting weaknesses in internal control and supervision systems and/or their application.

We wish to inform you that the mere existence of written instructions and work procedures is not sufficient to protect the bank from such incidents unless accompanied by adequate awareness for all employees concerned with applying the written instructions and work procedures, and alerting them to their responsibility for non-compliance with application. This is to protect the employees themselves on one hand, and to avoid the risks resulting from non-compliance with application towards the bank on the other hand, in addition to the necessity of providing the bank with tools and controls to verify compliance with the application of instructions and work procedures.

Emphasizing in this context the necessity of full compliance with the provisions and instructions of the Internal Control and Supervision Systems regulations No. (2007/35) dated 2007/6/10.

Please accept our highest respect,

The Governor
Dr. Ziad Fariz

P.O. Box: 37, Amman 11118 - Jordan • Phone: 4630301 • Fax: 4638888/4638624 • Website: www.cbj.gov.jo • Email: info@cbj.gov.jo