BSP probes involvement of PH banks in alleged fraud

“The Bangko Sentral ng Pilipinas is aware of reports about German payment company Wirecard and is already investigating the matter,” BSP Governor Benjamin Diokno told journalists in Viber message Friday. (Pixabay photo)

MANILA – The Bangko Sentral ng Pilipinas (BSP) is now looking into reports of the alleged involvement of two major domestic banks on the possible fraud by a German payments company, which the two banks, in turn, have vehemently denied.

“The Bangko Sentral ng Pilipinas is aware of reports about German payment company Wirecard and is already investigating the matter,” BSP Governor Benjamin Diokno told journalists in Viber message Friday.

He said the regulator has received a report on this and this is covered under Report on Crimes and Losses (RCL) dated June 9, 2020.

The issue stemmed from Wirecard’s statement that the USD2.1 billion missing from its accounts in 2019 has been put in escrow in two Asian banks.

Sy-led BDO Uninbank Inc. and the Ayala-led Bank of the Philippine Island (BPI), have, however, denied the allegations.

In a statement, BPI said, “Wirecard is not a client.”

“Their external auditor presented to us a document that claimed that they are a client. We have determined that the document is spurious. We continue to investigate this matter,” it said.

BDO also said Wirecard “is not a client of the bank.”

“The document claiming the existent of a Wirecard account with BDO is a falsified document and carries forged signatures of bank officers. The matter has already been reported to the Bangko Sentral ng Pilipinas” it said.

Diokno, quoting a report from BDO, said one of the bank’s marketing officers “fabricated a bank certificate in favor of EY Germany.”

“That Officer has been terminated,” the quoted report said.

EY is Ernst and Young, Wirecard’s in-house auditor.