Thursday, 14 November 2019,   16 Rabiulawal 1441H

 

BSN CLARIFIES BR1M ENCASHMENT

 

BSN CLARIFIES BR1M ENCASHMENT - Bank Simpanan Nasional (BSN) has been involved in the payment of “Bantuan Rakyat 1 Malaysia (BR1M) since 2012. This is our commitment to assist the Government’s objective in channeling the aids to lighten the burden of low income earners in facing the rising cost of living.

Further to the Auditor General’s Report for 2014 that some BR1M’s recipients were paid more than once, BSN wish to highlight that this occurs due to the absence of links between banks which will enable updating of payment records to a common database on a real time basis. Inevitably, this had resulted in multiple payments by banks as reported in some dailies, this is ‘more so’ in the case of BSN going by the numbers as revealed in the AG’s report.

Unfortunately, this could give rise to the impression that there were more recipients being paid more than once by BSN and this as a matter of fact is wrong. Datuk Yunos Abd Ghani Deputy Chief Executive BSN (Retail Banking) clarifies that the recipients were only paid once by BSN whilst the other payments that are made by another banks resulting in multiple payments to those recipients.

Contrary to the statement that, ‘banks would carry the listings of recipients to make payments’, since 2013 BSN has implemented an online and real time system to manage BR1M payments. Verification of recipients’ identity was done through biometric and Mycard authentication. With all these processes in place it is totally impossible for BSN to concede double claims.

Yunos added, “Payments were only made after clearance had been obtained online and payment records updated within seconds. For the records, there was not even a single recipient in BSN database that was paid twice by BSN for the year 2012 to 2014.”

The updating of the common database on a weekly basis has unavoidably created a window of opportunity for unscrupulous recipients to encash BR1M vouchers at two or more banks.  Banks were not involved in the distribution of vouchers and as far as BSN is concerned, all payments had been made against genuine serialised vouchers with security features in place.

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Press Release