Regulatory Alerts2015-05-27 | JB-2015-3439Resolution No. JB-2015-3439 of the Banking Board of Ecuador
The Banking Board of Ecuador issued Resolution No. JB-2015-3439 to reject a review appeal filed by Banco Pichincha C.A. and confirm the administrative order requiring the bank to refund USD 624.53 to customer Cristian Guido Hidalgo Pizanán for unauthorized credit card transactions. The Board determined that the bank failed to enforce mandatory security procedures, such as verifying customer identification and signatures, at affiliated merchants, thereby violating regulatory norms for safe sales. This decision affirms the Superintendency's authority to mandate corrective measures and restitution when financial institutions fail to implement adequate internal controls to protect consumers.
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