KUALA LUMPUR: Bank Negara Malaysia has strengthened transparency in handling appeals for closed bank accounts by requiring financial institutions to issue written notices to affected account holders.
Deputy Finance Minister Lim Hui Ying stated that the notice must include the reason for account closure without disclosing sensitive investigation information that could tip off suspects.
This notice must also explain the account holder’s right to lodge an appeal including available appeal channels, allocated time periods and the appeal application process.
She was responding to Teresa Kok Suh Sim’s question about government efforts to streamline coordination between banks, BNM and enforcement agencies regarding AMLA account closures.
Through this approach, Lim said BNM can balance preventing money laundering activities with protecting account holders from arbitrary account closures.
BNM is working with financial institutions to issue an industry reference protocol by July 1, 2024, ensuring uniform guidance for reporting, handling and appealing suspected mule accounts.
This protocol integrates processes between the Royal Malaysian Police and financial institutions to ensure effective implementation.
Financial institutions must review current case status as primary consideration before implementing follow-up actions like whitewashing, delisting or account restoration.
Lim added that BNM constantly monitors the financial industry’s practices in resolving consumer complaints to ensure fair treatment.
Meanwhile, Lim assured that all AMLA cases would be handled transparently and fairly including those involving foreign entities.
She stated that the integrity of Malaysia’s financial system remains the government’s priority with every enforcement action based on existing laws.
She provided this assurance in response to Wan Ahmad Fayhsal Wan Ahmad Kamal’s question about a foreign company accused of immigration violations and charged under AMLA for a Port Dickson project. – Bernama
