The development of a framework to determine how banks and customers should share losses in the event of a scam is taking longer than expected due to the complexity of the issue, the Monetary Authority of Singapore (MAS) said on Monday (July 18).

MAS had initially said in February that it was working with the banking industry to develop the draft framework with an aim to publish it for public consultation in three months.

But in its update on Monday the central bank said the draft framework will be published "in the coming months".

"The process of developing the framework is, however, taking longer than expected in view of the complexity of the issues and the importance of ensuring that the loss sharing and accountability approach incentivises all key parties in the ecosystem to be vigilant against scams," MAS said.

The development of this framework came in the aftermath of a phishing scam in December last year that hit 790 OCBC bank customers, who lost a total of S$13.7 million to the scammers.

OCBC later completed arrangements to reimburse all the victims with "goodwill payments" in January.

Source:
courtesy of TODAY

by BRYAN NG

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