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JPMorgan Chase to pay $75 mn to settle Epstein-linked sex trafficking suit
JPMorgan Chase announced Tuesday that it will pay $75 million to settle a US Virgin Islands' (USVI) lawsuit that accused the bank of facilitating Jeffrey Epstein's sex trafficking ring. The big US bank, which previously reached a $290 million settlement with Epstein's victims, also announced an agreement with former JPMorgan executive Jes Staley for an undisclosed sum. These cases together resolve the bank's remaining litigation over its embarrassing long-running association with the late Epstein. The agreement with the USVI came a few weeks ahead of a scheduled trial in New York that likely would have bruised both sides. While the USVI accused JPMorgan of turning a "blind eye" to Epstein's conduct due to profit concerns, the bank levied essentially the same charge against USVI, saying the government helped Epstein obtain visas that allowed him to bring victims to the island. The settlement, which must be approved by a US court, includes $30 million to support USVI charitable organizations, $25 million to enhance USVI law enforcement to combat human trafficking and $20 million in attorneys' fees. JPMorgan did not admit liability as part of the settlement, but the "firm deeply regrets any association with this man, and would never have continued doing business with him if it believed he was using the bank in any way to commit his heinous crimes," the bank said in a statement. "JPMorgan believes this settlement is in the best interest of all parties," the bank said. The USVI had originally sought $190 million in damages for the bank's role in enabling Epstein's sex crimes, including in the Virgin Islands, where he had a residence. The USVI said JPMorgan "knowingly, negligently, and unlawfully provided and pulled the levers through which recruiters and victims were paid and was indispensable to the operation and concealment of the Epstein trafficking enterprise," according the original complaint. Bank hits back The bank hit back forcefully, saying in a May legal filing that the USVI government was "complicit in the crimes of Jeffrey Epstein." Under a "quid pro quo" relationship with top USVI officials, Epstein "gave them advice, influence, and favors," JPMorgan said in the filing. "In exchange, they shielded and even rewarded him... looking the other way when he walked through USVI airports accompanied by girls and young women." US Virgin Islands Attorney General Ariel Smith said Tuesday the agreement would prevent human trafficking in the future. "This settlement is an historic victory for survivors and for state enforcement, and it should sound the alarm on Wall Street about banks' responsibilities under the law to detect and prevent human trafficking," Smith said. "We are proud to have stood alongside the survivors throughout this litigation, and this settlement reflects our continued commitment to them," Smith said. The USVI press release listed a number of "substantial commitments" by JPMorgan to combat human trafficking, including informing law enforcement of perpetrators and terminating customers' accounts if there is credible evidence of wrongdoing. But a JPMorgan spokesperson said the bank has not changed or fortified its policies due to the accord. "There are no new commitments. Our controls, compliance, risk, and other functions are always improving, and we are continually investing to become even better," said JPMorgan's Trish Wexler. "We have always worked closely with law enforcement to help combat human trafficking, and we will continue to look for ways to invest in advancing this important mission." The post JPMorgan Chase to pay $75 mn to settle Epstein-linked sex trafficking suit appeared first on Daily Tribune......»»
Fools in suits
When a ranking Department of Agriculture official was asked in a recent Congress hearing what steps the agency had taken to break the rice cartel, he replied that he did not believe that a “mafia” existed. Coming from a high DA official, the statement revealed that nothing was being done to stop the syndicate that everyone in the industry knows about since, to the authorities, it does not exist. In the reenacted Anti-Agricultural Smuggling Act of 2016, smuggling, hoarding, profiteering, and forming cartels for agricultural and fishery products are considered economic sabotage and are non-bailable offenses for which a long jail term could be meted out. The strengthened law, however, lacks strong teeth against government officials who are in cahoots or protect the syndicates. Contained in the proposed bill is a provision indicating that any government officer or employee found to be an accomplice in the commission of the crime will “suffer the additional penalties of perpetual disqualification from holding public office, exercising the right to vote, from participating in any public election, and forfeiture of employment monetary and financial benefits.” The bill is pending in both houses of Congress. With the slow grind of justice in the country, a public official looking for a fast buck will not hesitate to risk his job in exchange for a huge payback. The recent series of events showed the markets are being manipulated by the big players in the sugar, vegetable and rice businesses. These syndicates are known to be deeply entrenched due to their connections with government bigwigs who facilitate their domination of the markets either through edicts or the use of public resources. In the most ridiculous situation, the recent spike in onion prices was found to be artificial since farmers were even throwing away their harvests because of low farmgate prices, thus there was no reason for prices to surge. Later, it was exposed in a congressional hearing that a cartel had succeeded in manipulating the onion market to create a condition that would require its importation, from which its members would make a killing. The warehouse and storage facilities are controlled by the mafia which makes it easy to create artificial conditions to which the market reacts by raising retail prices. The ultimate goal is to coax the government to allow importation from suppliers in overseas markets that are also flooded with the commodity, The cartel rakes in profits from both the high markup and the kickbacks from the overseas suppliers desperate to sell their surplus. The woeful victims are the Filipino farmers whom the cartel boxes out of the market. In extreme cases, these farmers just throw away their harvest since they cannot afford to transport their products without the middlemen who are also in the pocket of the cartel. The same goes for the rice industry, where the market was manipulated for a different reason, which was to kill the rice tariffication law that kicked the National Food Authority out of the import business. Rice prices then surged to as high as P56 a kilo, which pushed President Ferdinand Marcos Jr. to impose price ceilings. The NFA used to have a monopoly on importation, but that resulted in acrimonious confrontations at the apex of government. The tariffication law, in turn, opened importation to all grain traders and relegated the NFA to buying rice from local farmers. Under the new anti-smuggling bill which has the endorsement of Mr. Marcos, an Anti-Agricultural Economic Sabotage Council headed by the President or his designated permanent representative will be formed. The proposed body will have the power to investigate and file charges, as well as freeze violators’ funds, properties, bank deposits, placements, trust accounts, assets and records. The creation of the body looks good on paper but in the real world, it might just add another layer of bureaucracy and source of corruption unless the cartel, which DA officials claim does not exist, is dismantled. Chief Presidential Legal Counsel Juan Ponce Enrile has a simple solution for breaking the cartel, which is for the government to confiscate all the rice overstock and let the owners of the warehouses prove that their huge inventory is legitimate. Such a move would prompt the traders to release more rice into the market to avoid confiscation. The imposition of the price cap on rice indicated that the prices are artificial since the markets are now selling at lower than the manipulated prices despite conditions being constant. An expected bumper harvest is also prompting the prices to go back to normal, after the attempt of the cartel to create a price shock to support their effort to return to the old ways. To know the real situation, President Marcos goes out of his way to see what is on the ground. His underlings, particularly at the Department of Agriculture, should do better. The post Fools in suits appeared first on Daily Tribune......»»
P75-M PAGCOR mess: CIDG launches manhunt vs. suspect
The Philippine National Police - Criminal Investigation and Detection Group (PNP-CIDG) has launched a nationwide manhunt for the primary suspect in the P75-million controversy in the Philippine Amusement and Gaming Corporation (PAGCOR) after he and four others were able to elude arrest during a recent raid in their lair in Loac, Pangasinan. The PNP-CIDG director, Major General Romeo Caramat, identified the primary suspect as Jewel Castro. He and certain Ethan Eleazar, Norbert Escalante, Enrico San Miguel, and Rebecca Ferolina managed to escape even before the operatives swooped down a secluded illegal online sabong operation in Loac. Castro and his cohorts in PAGCOR are the subject of a top-to-bottom investigation ordered by PAGCOR Chairman Alejandro Tengco in connection with the missing P75-million cash performance bond exposed by an investor and officer of a corporation, an erstwhile franchisee of the disbanded e-sabong operation. The raid conducted by CIDG coincided with the lodging of a graft complaint with the Office of the Ombudsman by one Joaquin Sy, against a former and two top officials of PAGCOR and three private individuals headed by Jewel Castro. Sy, who is the treasurer and the chairman of the board of Kamura Highlands Gaming and Holdings Inc., in his complaint said that on 4 April 2022, he personally posted cash for the performance bond at PAGCOR's office in Malate, Manila on behalf of their corporation. He provided two manager’s checks payable to PAGCOR and drawn against his personal bank accounts. In return, PAGCOR issued official receipts and other documents proving the posting of a bond by the corporation. Under PAGCOR’s guidelines, only a corporation can apply to be a franchisee of e-sabong operation. Sy, however, said that when then-president Rodrigo Duterte disbanded the e-sabong on May 2022, he requested PAGCOR in writing of the intention of his corporation to withdraw the cash performance bond but to no avail. He added that later on, he was told by PAGCOR's Assistant Vice President for Finance Lolita Gonzales that a P75-million Land Bank check was already issued to one Jewel Castro sometime in July 2022. Meanwhile, in a press statement, the newly-appointed PAGCOR chair said, “We have launched an internal investigation and we are trying to re-create the sequence of events since the department allegedly involved, the E-Sabong Department, has already been disbanded.” Tengco hinted that the release of a check in the name of an individual not to the corporation that posted it, could not be possible without the connivance of personnel within PAGCOR. “We will bring the perpetrators to justice if indeed there was any anomaly,” he stressed. On the other hand, a confidant of Castro in his clandestine e-sabong operation who refused to be identified said that Castro expressed his intention to cooperate with PAGCOR’s ongoing investigation but fears for his safety, considering the persons and the amount of money involved in the anomaly. Castro is considered the key figure to unlock the mystery of the missing P75-million cash performance bond. The post P75-M PAGCOR mess: CIDG launches manhunt vs. suspect appeared first on Daily Tribune......»»
Phl phishing attacks highest in SE Asia, linked to 2% loss in GDP
At least two percent of the global Gross Domestic Product was lost due to increasing cases of online fraud, phishing, and scams, Senator Mark Villar said Monday. Villar, presiding over the hearing by the Senate Committee on Banks, Financial and Institutions and Currencies, lamented that the proliferation of online scams threatened not only the potential of online banking but also the stability of the banking system and the hard-earned money of the Filipino people. “While digitalization and the widespread use of digital finance opened opportunities for the banking sector, it is also apparent that opportunists also devise new methods to take advantage of this emerging financial market,” Villar said. While there’s an increasing number of Filipinos using online payment platforms, Villar noted that crimes related to digital financial transactions are also growing. “A significant number of Filipinos have been targeted by digital fraud attempts and a portion of them eventually fall victim to it,” he said. The Bangko Sentral ng Pilipinas said it has received more complaints regarding online banking transactions compared to those related to using Automated Teller Machines and credit cards, among others. In fact, the Anti-Money Laundering Council reported a rise in suspicious transactions in 2020 comprising acts of phishing, skimming, and transactions related to money mules. The Security Exchange Commission likewise noted a significant rise in complaints related to online fraud committed by online lending platforms. Villar said as these scammers take advantage of their victims, they also rattle their victims' trust in the country’s banking and financial institutions. “Trust, being the currency of the banking system, must be well-earned. Given the proliferation of online fraudsters, it is imperative that we strengthen our efforts to keep scammers at bay,” he added. Among the existing laws aimed at fighting online bank fraud include Republic Act 11765 or Financial Products and Services Consumer Protection Act; the RA 11934 or Subscriber Identity Module (SIM) Registration Act; and RA 10175 or Cybercrime Prevention Act of 2012. Villa said as criminal elements adapt to legislation to perpetuate fraud, hence, “there is a need to legislate new laws to keep them off track” such as the proposed Anti-Financial Account Scamming Act. “This measure will reinforce and earn back the public’s trust in our financial institutions,” he said. The number of phishing attacks in the Philippines during the first half of 2022 already surpassed the number of attacks at over 1.8 million detected compared to 1.34 million attacks during the entire year of 2021. Villar described the spiking cases of online scams as “extremely concerning.” This, as data from Kaspersky Security Network revealed that cases of financial phishing attempts in the Philippines from February to April 2022 were highest in Southeast Asia. Villar emphasized that the Anti-Financial Account Scamming Act or AFASA will evidently deal with cases of online fraud and will provide a regulatory framework that penalizes scammers as well as entails safeguard measures to protect Filipinos and their financial accounts. “Because of the lack of a regulatory framework that penalizes these scammers, there are and there will be more victims in the foreseeable future,” he added. AMLC executive director, Matthew David, said they required banks and payment operators to maintain the 'Know Your Customer document' for their system and store a system that could verify the identity of the clients, including the bank account owners. “They are required to do some verification in order to make sure the true identity of the customers,” David added. The public committee hearing was followed by an Executive Session due to the confidentiality and sensitivity of the issues and information that will be discussed. Villar said the executive session was conducted to ensure that law enforcement measures being undertaken to apprehend and prosecute scammers will not be disrupted. The post Phl phishing attacks highest in SE Asia, linked to 2% loss in GDP appeared first on Daily Tribune......»»
Nat’l ID good for trade deals
Filipinos who want to open bank accounts may use their PhilID and ePhilID, the Philippine Statistics Authority said on Saturday, amid questions on the benefits of registering with the Philippine Identification System or PhilSys of the government. The PSA said 38 million PhilIDs were delivered and 41.6 million were printed and downloaded. PSA Undersecretary Claire Dennis Mapa, National Statistician and Civil Registrar General maintained that PhilSys’ colocation efforts with the Land Bank of the Philippines were recently cited by the Bangko Sentral ng Pilipinas. Financial inclusion tool “As more registered persons receive their PhilID and ePhilID, we encourage them to use it in their transactions with financial institutions to gain access to financial services and products that can open opportunities for them,” Mapa said. “One of the aims of the PhilSys is financial inclusion among Filipinos. The PSA will continue its efforts to realize the aim,” Mapa added. The PSA, in partnership with BSP and the Philippine Postal Corporation, continues to expedite the printing and delivery of PhilIDs to registered persons nationwide. Replacements of PhilIDs affected by the Manila Central Post Office fire last May 2023 were recently turned over to PHLPost for delivery, he said. In addition, PSA personnel are also actively issuing ePhilIDs through plaza-type and house-to-house distribution. The post Nat’l ID good for trade deals appeared first on Daily Tribune......»»
The Advantage of Adopting the Right Digital Tools for your Business
Amid the uncertainty in customer behaviors and trends from the crisis, this much is clear: updating the business for a digital-first world, led by purpose, is now a must for almost every company. To do so, they must determine where new business value exists in the new normal, what digital business models will capture it, and which tools and behaviors will support the adaptability and resilience that these models require. On this section, we talked to the creators behind the award-winning platform made for businesses like yours. The Digital Advantage Companies need an understanding of 3rd Platform technologies to capitalize on improved decision-making and to deliver enhanced, customized experiences to stakeholders. The rapid acceleration of 3rd Platform technology adoption means that corporates need to actively be looking for ways to improve their operational efficiency and customer service, otherwise, they will be in danger of falling too far behind digitally-native competitors to ever catch up. Efficiency Past recessions show that controlling costs by improving operational efficiency—a task for which digital solutions are perfectly suited for—is more effective in sustaining businesses through financial turbulence than traditional cost-cutting measures alone. The biggest efficiency play is automation. Streamlining operations and automating manual processes result in greater speed, less waste and more focus on revenue-generating activities. The economics of automation is simple: the same work is performed faster and with fewer mistakes, while human capital resources can be redeployed to higher-value tasks or to fill critical gaps. Convenience Company bank accounts are available in any device, the only things you need are internet connection and a few taps on the screen. This brings about an increase in customer satisfaction as they are able to constantly keep track of their account balances and manage the information on their personal profile (i.e. add new mailing address, e-mails, telephone numbers, etc.). In addition to this, there is no need to go to the bank to get checks as they can be instantly sent via email. 24/7 Reliability Online banking services are available 24/7 all year round, even on weekends. There is no need to line up and wait for the bank to open in order to conduct certain operations. This is a huge advantage that comes with digital solutions Security With all the recent news about data breaches, you might be wondering about the security of mobile and online banking. Security is top priority for banks when choosing whether or not to offer online banking. All banks use “Pentagon-grade” encryption technology and sophisticated firewalls. Mandatory security upgrades are required by bank regulators, so you can be confident that keeping your information secure is one of your bank’s utmost priorities. As digital transactions increase and productivity grow, companies must take proactive steps to protect their data privacy and security and adopt models that give them governance over their data. Today’s Platform Driven Solutions Self-service account management, bills payment and electronic fund transfers are considered the basic banking functions that each business should have. Account management allows viewing of account balances and transaction history without going to the bank. All these were made easy and accessible, by just logging into UnionBank’s The Portal app. Bills Payment, on the other hand, gives businesses access to a large list of billers. They can pay their water, electricity, telco, and other utilities online. BIR ePayment is also available, allowing users to pay taxes online. If the company is an accounting firm, they can also pay for their client’s taxes on The Portal app. Electronic fund transfers save companies time and reduce their risk exposure. Just upload the batch crediting file on the platform and it automatically disburses it to their recipients. Clients can also set up their recipients in UnionBank Business Banking so they receive email and SMS notifications every time they are credited. All these are made possible without stepping inside a branch. Batch Electronic Funds Transfer is also now made available for UnionBank Transfers and PESONet. This enables the streamlining of bulk account to account transfers to another UnionBank account or to other bank accounts. This has highlighted the ease and convenience of going digital to corporate clients versus processing transactions through the traditional way of banking over-the-counter or paying via cheques. Going beyond the basic functions of a normal digital banking tool, The Portal’s self-enrollment feature allows businesses to conveniently self-enroll their nominated accounts and users through the simple enrollment steps. Once completed, access to The Portal is granted and clients may enjoy the convenience of processing their funds transfer instructions online. In addition, there is an option to initiate the enrollment of the beneficiary accounts individually or in bulk. This can be essential for clients that need a payee maintenance feature to ensure that the initiated transactions are only credited to enrolled account. With the convenient, hassle-free and straight-through processing in The Portal, businesses can easily push fund transfers in the comfort of their own homes or offices. This pandemic serves as a widespread test case for the effectiveness of these digital solutions, many of which will be permanent fixtures and lead to long-term changes for many businesses. Organizations that embrace digital solutions have greater resiliency in the face of adversity and are way ahead of the competition, which will enable them to recover faster and pivot from playing defense to chasing growth. While many believe it is too idealistic to have a good workplace culture and excellent compensation, many jobseekers significantly consider these two factors when applying for a job, according to two studies. The 2021 Employee Experience Survey by Willis Towers Watson reported that 89 percent of respondents believe a positive employee experience is a crucial driver of engagement, while a 2023 survey from the online recruitment platform JobStreet found that 53 percent of Filipino job seekers would like to know the salary range offered while still in the recruitment process. Aside from great benefits and compensation, employees in the IT industry pointed out that a good work culture and environment, as well as training programs, are the top priorities of job seekers. Vanessa Liwanag, business development director at Yondu, acknowledged the company’s role in her growth, “Yondu has helped me develop my leadership, decision-making, and communication skills through its effective leadership training programs. The company also helped me grow personally because of its hybrid setup. This allows me to have a work-life balance. I can still care for my family and health while contributing to the organization.” Leather, who specializes in securing networks from vulnerabilities, noted that training programs are essential as trends continuously evolve. IT professionals need to keep up in order to be efficient. Steph, a software solutions engineer, echoed this, adding that since the industry is highly competitive and fast-paced, getting equipped with the right skills and knowledge is essential. Grace, a malware researcher, said that one advantage in the IT field is that since it’s a broad industry, there is always much to learn and room for improvement. Yondu, an IT solutions company wholly owned by Globe, offers all these benefits and compensation, a good working environment, and training programs to Yondudes, a nickname for its employees. Competitive pay and benefits are OK for Yondu as the company ensures this through regularly benchmarking market data and best practices. There are also tailor-fitted rewards programs according to talent segments. Yondu also ensures its employees remain competitive and well-equipped by industry standards through various training, reskilling, and upskilling programs to hone their skills in the constantly changing tech industry. Despite the fast-paced sector continuously evolving, Yondu still values work-life balance and provides programs to support Yondudes’ well-being further. “What sets Yondu apart from other organizations is its genuine focus on understanding and supporting its employees,” said Javen Babac, lead application support specialist at Yondu. “The company recognizes that employees perform their best when they feel valued and supported, and this philosophy sets Yondu apart by fostering a positive and inclusive work environment. The organization’s commitment to understanding its employees and providing the necessary resources demonstrates its dedication to employee well-being and sets a strong foundation for professional growth and job satisfaction.” The post The Advantage of Adopting the Right Digital Tools for your Business appeared first on Daily Tribune......»»
BSP urges free service fee for small fund transfers
The Bangko Sentral ng Pilipinas plans to issue a payments framework aimed at removing transaction fees for small fund transfers. BSP Governor Eli Remolona Jr. on Thursday said central bank officials have also been talking with e-wallet firms and other digital financial services providers to create the framework which will require financial firms to offer free fund transfers for small amounts. He said only three major banks are offering such service so far amid the lack of formal guidelines and directive from the BSP. Shame major banks “We’re trying to shame other major banks into following the same service. We’re formalizing it through a payments framework, and we’re in touch with GCash, Maya and other digital financial services providers,” Remolona said Thursday during the Global Policy Forum on Financial Inclusion organized by the Alliance for Financial Inclusion at the Philippine International Convention Center in Pasay City. With zero fees for small fund transfers, Remolona said more Filipinos would be encouraged to avail of banking services like deposit accounts, build wealth, and promote equitable financial service. “In general, we want to make sure the poor do not subsidize the rich. If you have a credit card and a big spender, you can get rewards. Guess who pays for the rewards? It’s the poor guys who only use small amounts in their transactions and get charged,” the BSP governor said. As more Filipinos own deposit accounts even with small funds, Remolona added banks and other lenders can strengthen their capital capacities. “We’ve found that when deposits are small, they become sticky and depositors don’t run away at the first sign of trouble. If you can lend to the poor, you have a more diversified portfolio and so it’s safer for banks,” the BSP governor said. Manila Manifesto During the Global Policy Forum on Financial Inclusion attended by over 700 foreign bankers and other stakeholders, Remolona announced the Manila Manifesto. This is a commitment by the Philippines to collaborate with other state-members of the Alliance for Financial Inclusion or AFI on developing global standards for making financial products and services safe, accessible and affordable for all. AFI reported 1.4 billion people worldwide still cannot access financial services due to a range of factors, such as financial illiteracy and lack of Internet connection and digital banking platforms. “In the 15 years since AFI was created, with substantive support from the BSP, our members have brought over 840 million people into the financial system via enlightened national policies and strategies on financial inclusion,” Dr. Alfred Hannig, AFI executive director, said. The post BSP urges free service fee for small fund transfers appeared first on Daily Tribune......»»
UBS’s Credit Suisse takeover, ‘deal of the century’?
Did banking giant UBS make "the deal of the century" when it bought one of the world's biggest banks for a pittance as it teetered on the edge of the abyss? Switzerland's largest bank was in March strong-armed by Swiss authorities into a $3.25-billion takeover of Credit Suisse, to keep its closest domestic rival from going under. At the time, investors gasped at the risks UBS was taking on with the purchase. But by August, the bank said it would not need the billions in support offered by the Swiss government and central bank to offset any surprises that might pop up in its stricken rival's accounts. That must mean that Credit Suisse's situation was "much better than described in March", Thomas Aeschi, a member of parliament with the populist rightwing Swiss People's Party (SVP), wrote on X, formerly Twitter. UBS seemed to prove him right when it unveiled its second-quarter results on August 31. The bank posted a towering net profit of $29.2 billion for the three-month period, thanks to an exceptional gain due to the gulf between the amount paid for Credit Suisse and its book value. 'Godsend' "UBS has pulled off the deal of the century," Switzerland's Socialist Party said, maintaining the "rescue" was more of a "godsend", allowing it to snatch up a bank at a dramatically reduced rate. "If we had chosen another path, (like) a temporary or partial nationalization," said Samuel Bendahan, a Socialist MP and economics professor at the University of Lausanne, the Swiss state "would have taken on the risk, but those $29 billion would have gone to the population". Instead, the takeover has created "a monopolistic situation", he told AFP, warning that while this might strengthen UBS, it puts Switzerland in an extremely risky position if the new mega-bank were to one day face a crisis. Politicians are not the only ones taking issue with the takeover. Gisele Vlietstra, founder of the Swiss Investor Protection Association, told public broadcaster RTS that UBS's towering quarterly profit confirms that the "intrinsic value" of Credit Suisse was "far higher" than the purchase price. She said she hoped that the lawsuits brought by her association and others on behalf of thousands of Credit Suisse shareholders will help determine "the correct value" that they should be compensated. 'Nickel and dime' "UBS paid a nickel and dime" and "got rid of its main competitor" in one fell swoop, Carlo Lombardini, a lawyer and banking law professor at Lausanne University, told AFP. The coming restructuring will clearly carry risks, "but having paid just three billion, it can't go wrong", he said, slamming the option chosen by the Swiss authorities. Like UBS, Credit Suisse was listed among 30 international banks deemed too big to fail because of their importance in the global banking architecture. But the collapse of three US regional lenders in March left the firm looking like the next weakest link in the chain. The Swiss government feared Credit Suisse would have quickly defaulted and triggered a global crisis, shredding Switzerland's reputation for sound banking. But its chosen option for dealing with the issue was certainly a boon to UBS, which will now swell to manage $5 trillion of invested assets. Confidence 'evaporated' UBS chief Sergio Ermotti acknowledged in a recent interview with the SonntagsZeitung weekly that the bank had been "worried" about its competitor since 2016, and had among other things looked into the possibilities of buying it, for fear a foreign lender might snap it up. He acknowledged that Credit Suisse may have survived for a time if the central bank had injected more cash, "but it would not have been enough, since confidence had evaporated". Since the takeover announcement in March, UBS has seen its share price soar 31 percent. But the bank still faces significant challenges, Vontobel analyst Andreas Venditti told AFP. The $29 billion "is a huge one-off gain, but this is just accounting", he said, stressing that "the losses and costs will come later". The analyst, who a few months ago wondered in a note whether UBS had secured "the deal of the decade or a decade of headaches", stressed that "it's going to be a huge task". He said it would only become clear "whether it was worth it" after most of the restructuring is done three years down the line. Parts of the business are continuing to "produce huge losses", he said, warning "many things can still go wrong". Swissquote analyst Ipek Ozkardeskaya agreed, recalling that "UBS was forced" into the merger. Now it is up to the bank to "transform an 'obligation' to its advantage". The post UBS’s Credit Suisse takeover, ‘deal of the century’? appeared first on Daily Tribune......»»
Mga alituntunin sa joint bank accounts, ipinaliwanag ng ‘CIA with BA’
IPINALIWANAG ni Sen. Pia Cayetano, kasama ang kapatid na si Sen. Alan Peter at TV host na si Boy Abunda, ang mga alituntunin sa mga joint bank account. Sa segment na “Payong Kapatid” sa episode nitong September 3, dumulog ang ginang na si Erlinda Gomez sa programa upang humingi ng tulong tungkol sa joint bank The post Mga alituntunin sa joint bank accounts, ipinaliwanag ng ‘CIA with BA’ appeared first on Bandera......»»
How to Avoid Having Your Digital Bank Account Closed
In light of recent posts regarding sudden digital bank account closures doing rounds on the popular social news aggregation site Reddit, having awareness on how to keep your account (and your money) safe has now suddenly become a hot discussion, with multiple people asking how to avoid being the next one to have their accounts […].....»»
BSP: More Filipinos now with basic deposit accounts
The Bangko Sentral ng Pilipinas on Friday said more Filipinos now have bank accounts as the country’s number of basic deposit accounts or BDAs surged by 170 percent to 21.9 million in the first quarter of this year, higher than the 8.1 million in the same period last year. Deposits under BDAs climbed to P27 billion in the first quarter, or 432 percent higher than the P5.1 billion in the same period a year ago. BDAs allow clients to open interest-earning savings accounts with required initial deposit of just P100 or less and have no minimum maintaining balance and dormancy fees. Opening these accounts also only requires basic identification documents. “Introduced by the BSP in 2018, the BDA aims to meet the needs of the unbanked and low-income sector for affordable and easy-to-open bank accounts,” a statement from the BSP said. Conversion of registered accounts The Bank said BDA growth was partly a result of the conversion of registered accounts under the Philippine Identification System or PhilSys into BDAs. This process created 7.5 million BDAs. “An initiative of the Philippine Statistics Authority and the Land Bank of the Philippines, the co-location strategy aims to onboard unbanked PhilSys registrants into the formal financial system after their biometrics capture at registration centers,” BSP explained. Another 4.3 million accounts from five banks that also started offering BDAs were added from January to March this year. Based on the first-quarter data by the BSP, there are already 158 traditional and digital banks offering BDAs. The BSP aims to expand the population of adult Filipinos with bank accounts from 51 percent last year to 70 percent this year. The post BSP: More Filipinos now with basic deposit accounts appeared first on Daily Tribune......»»
Senate bill filed to address increasing money mules, financial scams
Senator Win Gatchalian on Wednesday filed a measure seeking to penalize individuals engaged in money muling, social engineering schemes, and other fraudulent financial scams. Gatchalian said the Senate Bill 2407 or an “Anti-Financial Account Scamming Act” targets to align policies on the administration’s commitment to expand digital transactions, safeguarding the public from scammers and abusive online lenders. “We need to protect the integrity of the country’s financial system and ensure that financial accounts and their owners are protected and are not exploited or lured by cybercriminals or criminal syndicates into the commission of an unlawful or fraudulent activity,” the senator said, highlighting the importance of the significance of cashless transactions and digital payments during the Covid-19 pandemic. Gatchalian lamented the rapid growth and popularity of digital financial services also prompted the rise of financial-related cybercrimes. “Cybercriminals started taking advantage of technologies to transfer illicit or stolen funds across digital financial services, stealing vital information about account holders and taking over their accounts, or enticing account holders with gifts and incentives with the goal of covertly committing financial crimes,” he said. Gatchalian stressed the pressing need to enact a measure that imposes penalties on individuals “who are willingly become conduits for illicit transactions, those who engage in manipulative social engineering tactics and other deceitful schemes” that compromise financial accounts. He added that such encompasses actions such as account takeover, recruiting or enlisting others to commit these acts, and perpetration of these acts on a significant scale comparable to economic sabotage that jeopardizes the security of Filipinos’ financial accounts and the integrity of the country’s financial system. “For the past 3 years, the unsuspecting public lost millions of their hard-earned money to these cybercriminals,” Gatchalian said. As an example, Gatchalian cited the “Mark Nagoyo” scam event wherein more than 700 BDO Unibank customers’ accounts were hacked in late 2021. These unauthorized bank transfers targeted government teachers with Landbank accounts in January last year in which the victims lost between P26,000 to P121,000 from the incident and the massive phishing incident involving GCash users in May this year. “Operations of cybercriminals grew on a large scale, taking advantage of the unemployed, those who are looking for easy money, those who are unaware, and those who are willing to help others, and thriving in jurisdictions with very weak enforcements and penalties like the Philippines,” he noted. In fact, Kaspersky Security Network’s 2022 Report showed that the Philippines ranked 2nd among countries most attacked by web threats in 2022 and the most preferred attack method which includes social engineering schemes. The post Senate bill filed to address increasing money mules, financial scams appeared first on Daily Tribune......»»
GCash keeps fee’s subsidy
Financial super application GCash will continue to subsidize the convenience fee for cash-ins to provide a financial cushion to users amid the rising cost of goods. At a recent media briefing of the Globe Group, GCash president and CEO Martha Sazon said that while users are still charged a fee for cash-ins, it is still “much lower” than the P25 that other financial institutions usually charge for cash transfers because of the subsidy. “The P5 convenience fee is only 1/5 of what is normally charged by other financial institutions. As GCash continues to scale, we still subsidize most of the charges as well as heavily invest in upgrading our infrastructure and reinforcing security services,” Sazon said. “This also ensures that our operations will remain seamless for all customers,” Sazon said. “Even with this fee, we will continue to subsidize part of the operating cost for cash-ins as we remain committed to keeping our services accessible to many Filipinos,” she added. More cash-in options Later this year, GCash is set to charge a cash-in or convenience fee of P5 for every cash-in via linked BPI and UnionBank accounts. Cash-ins via linked bank accounts are one way to add funds to a GCash account. Over-the-counter cash-in is also available through cash-in machines, partner convenience stores, pawnshops, supermarkets, department stores, drug stores, gas stations, sari-sari stores and retail stores, among others. Meanwhile, GCash has waived fees for QRPH transactions for merchants until the end of the year, giving micro-entrepreneurs extra earnings while using convenient cashless transactions. Other payment platforms charge up to 2 percent for QR-based or card payments. GCash also continues to offer micro-merchants access to a wallet with a limit of up to P500,000 monthly. GCash also waives the 1.5 percent transaction fee for up to P100,000 in gross sales. The post GCash keeps fee’s subsidy appeared first on Daily Tribune......»»
Loan process simplified for DepEd teachers
City Savings Bank, the thrift arm subsidiary of the Aboitiz-led Union Bank of the Philippines, continues to make headway with its groundbreaking Loan Ranger Mobile App, which caters to the banking needs of Department of Education teachers. The mobile app provides public school teachers a fast, convenient and secure way to check their savings and loan account balances, as well as apply for a reloan anytime, anywhere. Over 170,000 DepEd teachers and employees have enrolled in Loan Ranger Mobile. True to its tagline “Simple is Good,” CitySavings has simplified the loan process for DepEd teachers. With Loan Ranger Mobile, teacher-clients can view their account balance in real time. If they qualify for a reloan, they can simply apply using the app, without having to visit a CitySavings branch. They can also check the status update of their loan application. Angelica Loretizo of Aurora Elementary School in Quezon Province said using the app now saves her long hours of travel to and from the branch. “The CitySavings Loan Ranger Mobile is very easy to use. I no longer have to worry about spending time commuting. It’s very convenient for teachers like me with just a few clicks to make our transaction. I hope all banks will have this kind of customer service,” Loretizo said. One of the key features of Loan Ranger Mobile is its simplicity and user-friendly interface. The app is designed to ensure a seamless navigation experience, making it accessible to all DepEd teachers, regardless of their level of technological expertise. The intuitive layout and easy-to-understand instructions enable users to easily perform banking transactions, eliminating the need for time-consuming visits to bank branches. It is also easy to register with Loan Ranger Mobile, which is available to download on Google Play Store, Huawei AppGallery and Apple App Store. Teachers can sign up with their existing CitySavings account or card number and validate their registration with a one-time password. They can then add their other savings and loan accounts with CitySavings to check their balances and pay bills. Soon, they can receive and transfer funds, and earn and redeem rewards. Recognized by International Finance Awards as the Most Innovative Savings Bank in the Philippines, CitySavings is committed to delivering exceptional, technology-driven banking experiences to its customers. This innovative solution further cements CitySavings’ vision to be the leading mass market bank in the country and the bank’s contribution to the Aboitiz Group’s Great Transformation growth strategy to become the Philippines’ first techglomerate, propelled by technology and a renewed entrepreneurial mindset. The post Loan process simplified for DepEd teachers appeared first on Daily Tribune......»»
Summit underscores cutting-edge cybersecurity strategies
A group of innovators, technologists, cybersecurity experts and regulators from Southeast Asia gathered at the recent FinTech Alliance Philippines Digital Transformation Summit, known as INDX3.0, to discuss the urgent need for fortified cybersecurity strategies in the nation’s rapidly evolving digital landscape. The summit, marked by its theme of “INDX3.0_Creating What’s Next in Digital” and championed by the ideals of Dare-Drive-Defy, featured Traxion CEO Ann Cuisia, a prominent figure in the Fintech and cybersecurity realm, as the distinguished moderator of the panel on “Strategic Considerations for Cybersecurity in the Philippines.” “The digital age has ushered in unparalleled opportunities, but with those opportunities come significant responsibilities. Our collective responsibility is to proactively shield our financial technologies from threats that can cripple businesses and our nation’s stability,” said Cuisia during an interview about the engaging panel discussion. As the chairwoman of the Cyber Security Committee of FinTech Alliance Philippines, Cuisia led the engaging dialogue attended by Joey Regala, Saurabh Lal, Roberto Tayag and Dr. Mary Joy Abueg, Undersecretary Alexander Ramos, Capt. Michelle Sabino and Fred Yap delved into multifaceted challenges faced by individuals and businesses in the era of digitization. With an insightful and proactive approach, she steered the conversation toward actionable solutions that could ensure the security of the country’s financial technologies. Cuisia’s moderation aptly underscored the gravity of the cybersecurity landscape, wherein modern conflicts transcend conventional battlefields and extend into the cyber realm. The panelists collectively emphasized the alarming rise of advanced persistent threats targeting organizations, influencers, and even ordinary individuals, underlining the need for comprehensive cybersecurity measures. Moreover, the summit unveiled the significant role of Artificial Intelligence applications in reshaping the fintech landscape. Cuisia highlighted that AI’s transformative potential comes with a heightened responsibility to ensure the security and integrity of these innovations, urging industry players to prioritize safety during AI development. The summit’s focus extended beyond theoretical discussions as concrete measures were brought to the forefront. Cuisia steered the conversation towards actionable solutions, such as the imperative role of public awareness, collaboration between government agencies and trusted fintech partners, and the swift reporting of cybersecurity breaches by corporations and businesses. In an exclusive insight, Cuisia discussed the concept of a “kill switch” for compromised bank accounts. She revealed that some Southeast Asian countries, such as Singapore, have already mandated this protective mechanism to secure mobile and Internet banking transactions. Cuisia urged a proactive approach, advocating for a similar safeguard in the Philippines, assuring enhanced security for the nation’s banking customers. As the INDX3.0 summit concluded, it became evident that Ann Cuisia’s vision for fortified cybersecurity, coupled with her adept moderation, had catalyzed a platform for strategic planning, collaboration, and knowledge-sharing. With cybersecurity challenges evolving and threats becoming more sophisticated, Cuisia’s call to action reverberates: the onus lies on the collective shoulders of industry leaders, experts, and innovators to safeguard the digital future of the Philippines. The post Summit underscores cutting-edge cybersecurity strategies appeared first on Daily Tribune......»»
Paleng-QR now available in Mandaue
The city government of Mandaue in Cebu has launched the digital payment Paleng-QR as it helps the Bangko Sentral ng Pilipinas expands the population of Filipino adults with bank accounts. “Paleng-QR aims to strengthen the financial resilience of Filipinos and help them maximize economic opportunities through inclusion in the formal financial system,” BSP Governor Eli Remolona Jr. said in a statement released Friday. Payments facilitated Paleng-QR facilitates payments for various purchases of businesses and customers at public markets by scanning QR codes using their e-wallets and banking mobile apps which offer other financial services. “This then leads to access to other welfare-enhancing financial services, such as formal credit in a digital way, and then access to savings, insurance, and of course, investing,” Atty. Charina B. De Vera-Yap, BSP’s financial inclusion and consumer empowerment officer, said. BSP targets to increase bank account holders from 51 percent of Filipino adults to 70 percent and cashless payments up to 50 percent of all retail transactions this year. Enabling Filipinos to thrive in digital era “We aim to enable more Filipinos to thrive in this digital era. The Department of the Interior and Local Government or DILG fully supports the Paleng-QR because we believe in this policy research-backed project, which emphasizes that in order for Filipinos to really adopt cashless transactions, the palengke is the right place to start,” DILG regional director Leocadio Trovela said. According to Fintech Alliance Philippines, the majority or 37 percent of the 285 digital financial firms in the country focused on e-payments last year, while 20 percent offered loans. Filipinos who are capable of owning bank accounts could increase from 65 million to 85 million, or 30 percent higher, by 2030 as digital wallet providers and banks become more popular, data from global market analyst McKinsey & Company revealed. The post Paleng-QR now available in Mandaue appeared first on Daily Tribune......»»
GoTyme logs 1-M depositors
The Gokongwei Group’s banking arm GoTyme Bank logged 1 million customers, a few months before its first-year anniversary on 20 October 2023. In a statement, Nate Clarke, GoTyme Bank president and CEO said the success of GoTyme was due to the digital platform’s consistent focus on human banking — the first in the Philippines with a “phygital” model that seamlessly blends the convenience of digital technology and human-led touchpoints in its operations. He said GoTyme also owes its success to the public confidence inspired by the tie-up between trusted local and international brands — the Gokongwei Group and the Tyme Group — that has allowed it to realize strong deposit growth and considerable traction of its ‘phygital’ banking that offers superior products and services built around its customers’ needs and wishes. Financial inclusion tool GoTyme redefined “preferred banking” as it democratizes access to the bank’s premium offerings regardless of the customers’ amounts in their accounts — a 5-percent interest rate per annum for all savings accounts, and no minimum maintaining balance, or regular deposits of specified amounts as required by other financial institutions. It also delivers on its promise to keep banking simple, secure and sustainable. “From the simplest account-opening procedure — GoTyme maintains kiosks in Gokongwei retail ecosystem, where, assisted by bank ambassadors, customers can open accounts for as modest as P50 using just one valid and accepted identification, upon which they will automatically get their GoTyme Bank Visa debit card — to the most exciting rewards system offered by what is arguably the best debit card today that allows customers and shoppers to earn points anywhere and everywhere, it’s no surprise that GoTyme’s market penetration is simply “getting better and better,” according to Clarke. Clarke said artificial intelligence technology in banking had improved customer experience — using chatbots from account inquiries to money transfers, loan applications, financial advice, account management, and many more, according to a Forbes 2023 article. Based on a Economist Intelligence Unit survey, 77 percent of bankers believe that the ability to unlock the value of AI will spell the difference between the success or failure of banks. The post GoTyme logs 1-M depositors appeared first on Daily Tribune......»»
Tale of two cities (2)
Mayor Eric Olivarez of Parañaque City wants his city to be the first to have an eGovSuper App that would expedite and facilitate the registration of business establishments, enhance transparency, and prevent corruption. The young local chief executive, a doctor of education and registered nurse, is blazing the trail in local fiscal administration by making moves preparatory to the adoption of Commission on Audit’s digital transformation in the review of government financial transactions, being introduced by its Chairman Gamaliel Cordoba. Parañaque City is just settling down from its mood of celebration for many good reasons, after being accorded by the Commission on Audit the unqualified opinion (indicative of the absence of any material misstatements), on the fairness of presentation of its financial statements for the calendar year ending 31 December 2022; after obtaining the unprecedented increase of P10 billion in its asset and equity after 12 months of Dr. Eric’s administration, with the overwhelming optimism of another P10 bIllion increase expected by 31 December 2023. The city is deserving of three awards of recognition: (1) Most Ready to Adopt CoA’s digital accounting and auditing; (2) Best City Accountant, Ms. Marilou Tanael, for her dedication and hard work in cleansing the accounts, eliminating and reconciling discrepancies, thereby clinching the P10-billion increase in asset and equity; and for enabling all the Punong Barangays of the City to prepare and submit promptly their annual audit reports; (3) Best City Auditor, State Auditor V. Robert Limcolioc, for helping the city recover from utter bankruptcy to its present financial resurgence. Auditor Limcolioc has been most outstanding as a representative of the Commission on Audit guiding the management of Parañaque City. The kind words heard from the department heads of the city about the resident auditor was: “He easily sees the problems and he shows us how to solve them.” The overall performance of the Olivarez leadership in managing the accounts and financial operation of the City of Parañaque is in totality a gift to behold, an accomplishment to marvel at, and one marked by humility worthy of emulation. It took 10 years for the Olivarez leadership — from Edwin to the incumbent Eric — to normalize the finances of the city from the agony of paying the huge bank loan, a burden shouldered by the people of Parañaque for many years, the negative entries involving assets and liabilities were daily ugly sights in the books of accounts until cleared with the help of CoA. The activities initiated by Dr. Eric in Parañaque City relating to digitalization are forerunners of digital accounting and auditing approaches that will be forthcoming in the Philippine financial system, pursuant to the recent advocacy of CoA Chief Cordoba. With his experience and expertise in digital technology and communication, Cordoba hopes to usher the Commission on Audit to new heights through the digital transformation of accounting and auditing. The online/no-contact transaction in granting business permits is an activity typical of the eGovSuper App, a mobile application that can provide multiple services, including payment and financial processing, effectively becoming an all-accomplishing self-contained commerce and communication online platform that embraces many aspects of personal and commercial life. In his eagerness to enhance transparency and prevent corruption, Mayor Olivarez coordinated with Undersecretary for e-Government David Almirol of the Department of Information and Communications Technology. The mayor informed the undersecretary of his full support in adopting the e-GovSuper App one-stop platform that will expedite the processing of local government transactions. Meanwhile, it would be wise to keep on repeating, without becoming redundant, especially on a matter that is alien to many Filipino bureaucrats, that the major thrust of CoA Chair Cordoba includes the development of an easy-to-implement and technologically driven government accounting system compliant with international standards to ensure that all revenues and expenditures are recorded accurately and in real-time and enhancing audit guidelines for e-reports to cover contracts entered into via social media platforms. The post Tale of two cities (2) appeared first on Daily Tribune......»»
DoF: Rural banks should adopt tech
Rural banks must speed up the integration of digital services in their systems to allow more Filipinos to obtain various financial services, Finance Secretary Benjamin Diokno said. “The digital divide has continued to widen, leaving vulnerable sectors of the society on the margins of economic progress,” Diokno said in a statement shared Monday by the Rural Bankers Association of the Philippines. RBAP has at least 400 members and is celebrating their rural banking consciousness week until Saturday with the theme “Rural Banks: Ensuring that No Juan is Left Behind in the Age of Digitalization.” He stressed the digital gap in banking among Filipinos is evident despite the rise of digital technologies in banking, including mobile apps and the cloud system which is an online data-sharing tool and computer programs manager. A 2022 survey by the Bangko Sentral ng Pilipinas showed 55 banks could adopt digital technologies efficiently. “With accelerated adoption of digital technologies in recent years, access to financial services and critical information has never been more readily available to the general public. DoF supports RBAP’s initiative to integrate financial technologies in their services to expand access to formal credit,” the finance chief said. Opportunity to expand services Citing the performance of ASA Philippines, a microfinance lender to rural entrepreneurs, the Asian Development Bank said rural banks could expand their loan portfolios by over 50 percent using cloud technology. To help modernize the systems of rural banks, global market analyst McKinsey & Company said foreign expertise and resources can be tapped to reach over 71 million Internet users in the Philippines and the projected growth in Filipinos with bank accounts from 50.3 million to 85 million by 2030. “The underserved rural sector is well suited to digital-first or hybrid offerings, and recent changes to onboarding requirements and agent-banking rules are designed to enable digital service providers to maximize the impact of the country’s limited rural banking infrastructure,” McKinsey analysts said. The post DoF: Rural banks should adopt tech appeared first on Daily Tribune......»»
Lebanon freezes former central bank chief’s bank accounts
Lebanon ordered the freezing of the bank accounts of its embattled former central bank governor on Monday, days after the United States, the United Kingdom, and Canada slapped him with sanctions. Former governor Riad Salameh, 73, who left his post of 30 years at the end of last month without a successor, is widely viewed as a key culprit in the country's dramatic economic crash. The central bank's special investigation committee has ordered the lifting of banking secrecy as well as the freezing of accounts "that are directly or indirectly" linked to Salameh, it said in a statement. The same decision measures were applied to Salameh's son Nady, his brother Raja, his former assistant Marianne Hoayek and his former partner Anna Kosakova. On 10 August, the US Canada and Britain announced sanctions against Salameh, his brother Raja, and Hoayek, while Washington and London also included his former partner Kosakova in their lists. In addition, the US sanctioned his son Nady Salameh. Salameh is wanted in France and Germany, and Interpol has issued a Red Notice for his arrest, but Lebanon does not extradite its nationals. Lebanon's deeply divided political class has failed to agree on a permanent replacement for Salameh, creating another power vacuum in a country that also has no president and is ruled by a caretaker government. The central bank's first vice-governor, Wassim Manssouri, has temporarily picked up the reins. A preliminary forensic audit of Lebanon's central bank by professional services firm Alvarez & Marsal (A&M) has painted a damning picture of the institution under Salameh. The post Lebanon freezes former central bank chief’s bank accounts appeared first on Daily Tribune......»»