MP questions banks’ refusal to open accounts for groups

 

Teresa Kok says some bank managers told her they are afraid that these associations would use the bank accounts to carry out money laundering.

PETALING JAYA: The government should look into claims that some banks have been delaying or refusing to let associations open new accounts, Seputeh MP Teresa Kok said today.

The DAP vice-president said she received numerous complaints about the matter, which she said appeared to have spiked as banks had become too careful after the 1MDB scandal.

Kok said the delays and refusal by banks were due to extended background checks and could be delayed for an indefinite period if these registered associations had individuals who were “politically exposed” in their committees.

“The bank officers I met couldn’t give me a reasonable reason for the delays.

“One of the bank managers said they were afraid that these associations would use the bank accounts to carry out money laundering (activities) and could later face Bank Negara action, similar to the 1MDB case,” she said in a statement.

Kok said the banks should not pre-judge those opening accounts and take over the role of the police or anti-graft agency by delaying an association from opening an account.

“The delay in the opening of accounts would lead to associations using members’ private accounts to carry out their financial transactions, including collecting fees for their association.

“This would only lead to more issues as their financial transactions would be opaque,” she said.

Kok called for finance minister Tengku Zafrul Aziz to take this issue seriously and resolve the problems faced by associations. - FMT