Fraud probe at Kina Bank

BANK of Papua New Guinea (BPNG) governor Elizabeth Genia says BPNG is working closely with Kina Bank on a recent fraud which caused the loss of between K12 million and K15 million.
Genia said what Kina Bank was now investigating the fraud which “is a serious matter and Kina Bank has kept the BPNG informed throughout”.
BPNG will assist in any way we can,” she said.
Genia said fraud in any bank was no small matter.
“Care must be taken by the banks, by customers, by all of us – in preventing fraud and any action that could lead to fraudulent activity occurring,” she said.
Kina Securities Limited (KSL) managing director and chief executive officer Greg Pawson said the fraudulent transactions were linked to a funds transfer process that has now been corrected from KSL’s end.
“The number of accounts linked to the fraudulent activity is very low, and the investigation is primarily focused on the actions of one customer,” he said.
“We’re treating this fraudulent activity very seriously, and we’ve worked through the process to correct the underlying issues while we also focus on recovering losses.
“I want to make it clear that our business takes fraudulent activities very seriously, and we have worked swiftly to ensure this event is prevented from happening in the future, while strengthening our security measures.”