Report cases of fake notes: Banks

PHOTO | JENNIFER MUIRURI Fake one thousand shillings notes. Banks want customers to report to the Central Bank or alert them when they receive fake currency over the counter or at ATMs.  NATION MEDIA GROUP

In Summary

• The Consumer Federation of Kenya asked banks to acknowledge the problem and do something about it
• Banks argue the procedure of loading cash in ATMs follows a very strict routine to ensure notes customers get are authentic

By AGGREY MUTAMBO
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Banks are now asking those who have received fake currency either through ATMs or over the counters to report the cases to the Central Bank’s Fraud Investigating Unit, or their respective banks as soon as possible.

Kenya Bankers Association chief executive Habil Olaka on Tuesday told the Nation that cases of fake notes getting into circulation from banks were “remote”, but said banks were willing to ensure such incidents do not recur. (READ: Banks downpaly fears of fake currency at ATMs)

“I would like to emphasise that a bank-related fraud, no matter how small, is investigated as a criminal offence by Central Bank of Kenya’s Bank Fraud Investigations Department. Each case does matter despite its magnitude,” Mr Olaka said in a statement.

“Bearing in mind the control measures exercised by most banks during cash handling, we urge members of the public alleging to have been issued with fake notes to report and present the suspicious notes to their respective banks or CBK’s Banking Fraud Investigation Department.”

TELLERS ACCUSED OF INVOLVEMENT

The association, which represents commercial banks in the country was responding to a story published in the Nation on Monday in which a number of Kenyans claimed they had withdrawn money from automated teller machines only to turn out fake. (READ: Shock of bank ATMs giving out fake notes)

On Tuesday, more Kenyans continued to share their experience with fake currency notes as some accused banking staff of conning banks.

“This is how it’s done, the tellers accept fake money, they balance their accounts at the end of their shift, the money is put into the ATM, he gets his share and life goes on. Because you can’t deposit fake money through an ATM. Don’t look further, banks should screen their staff,” claimed Stephen Hanya, in a comment to the online story.

The Consumer Federation of Kenya asked banks to acknowledge the problem and do something about it.

“If customers have had this experience, it is up to the banks to acknowledge there is a problem and take responsibility by preventing similar incidents in future,” Cofek secretary-general Stephen Mutoro told the Nation.

But banks argue the procedure of loading cash in ATMs follows a very strict routine to ensure notes customers get are authentic. According to Mr Olaka, each bank has installed devices that ensure the notes and coins are genuine.