Regulatory Alerts2022-01-01
Instructions No. 8 of 2022 Regarding Inquiry on the Automated Bounced Cheques System
The Palestine Monetary Authority issued Instructions No. 8 of 2022 to regulate how licensed money changing companies conduct inquiries on the Automated Bounced Cheques System. The directive permits these companies to verify cheque owners without prior written authorization, mandates the retention of cheque copies and inquiry dates, and strictly prohibits the disclosure of system data to third parties. Non-compliance triggers penalties under Article 54 of the 2010 Banks Decision-Law, with the regulations taking immediate effect upon issuance.
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Palestine Monetary Authority PALESTINE MONETARY AUTHORITY
Instructions No. (8) of 2022 Regarding Inquiry on the Automated Bounced Cheques System
Pursuant to the provisions of Decision-Law No. (9) of 2010 concerning Banks and its amendments, particularly Article (32) thereof, and pursuant to the provisions of Decision No. (41) of 2016 concerning the licensing and regulation of the money changing profession, and pursuant to what was approved by the Board of Directors of the Palestine Monetary Authority in its meeting No. (248) dated 2022/04/27, and in accordance with the powers delegated to us, and to achieve the public interest, we have issued the following Instructions:
Article (1) Objective and Scope of Application
- The provisions of these Instructions aim to regulate inquiry operations on the Automated Bounced Cheques System.
- The provisions of these Instructions apply to all money changing companies licensed by the Palestine Monetary Authority.
Article (2) Inquiry on the Automated Bounced Cheques System
- A money changing company is permitted to inquire about the owner of a cheque intended for purchase on the Automated Bounced Cheques System without obtaining a written authorization for inquiry and disclosure, in accordance with the provisions of Instructions No. (3) of 2021 concerning money changing companies purchasing future-dated cheques.
- Retain a copy of the original cheque whose owner was inquired about, along with the date of inquiry on the Automated Bounced Cheques System.
- A money changing company is prohibited from disclosing information obtained from the Automated Bounced Cheques System to any person or other entity.
1 www.pma.ps Ramallah & 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
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Palestine Monetary Authority PALESTINE MONETARY AUTHORITY
Article (3) Penalties
Any person who violates the provisions of these Instructions shall be subject to the fine stipulated in Article (54) of Decision-Law No. (9) of 2010 concerning Banks and its amendments.
Article (4) Repeal
All provisions conflicting with these Instructions are hereby repealed.
Article (5) Implementation and Enforcement
All competent authorities shall, each within their respective jurisdiction, implement the provisions of these Instructions, and they shall apply from the date of their issuance.
Issued in the city of Ramallah on 2022/05/09.
Dr. Firas Malham Governor [Signature]
2 www.pma.ps Ramallah & 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