Banker on trial for embezzling Dh26m from client's account

A bank branch manager allegedly embezzled Dh26 million from the account of a customer after he forged forms to change his mobile number and his PO Box number at the bank, the Court of First Instance heard.

The 31-year-old Emirati allegedly abused his powers at the bank to forge money transfer forms and cheques on several occasions over a span of four years, in the name of the Emirati account holder and fake his signatures on the documents.

He allegedly had an Emirati man (who is an administrative officer, 29) open two accounts at another bank to which he transferred the huge sums he embezzled. Both are facing forgery, embezzlement, fraud and money laundering charges.

The complaint was registered at Al Rashidiyah police station.

The holder of the account, an Emirati retiree, 54, said the first accused was managing his accounts at the bank. "I did not fill in or sign any money transfer forms from my account to any other account. I did not issue any cheques. I did not tell that manager to do any such transaction on my behalf".

A senior legal consultant at the bank said the branch manager embezzled in total Dh26 million from the complainant's account from November 2010 to July 2014.

"He changed the complainant's mobile number and his PO Box in the branch's files. He also kept him in the dark on essential information like statements of account and SMS alerts.

He then issued cheque books in the complainant's name. He made four money transfer transactions from his account to the account of his accomplice totaling Dh1.9 million," the consultant said.

"He handed his accomplice a cheque worth Dh3.8 million and then transferred Dh11 million from the same account to another account.

The branch manager faked the account holder's signature and wrote the complainant's mobile number on 46 cheques, worth a total of Dh8.5 million, he falsely claimed were issued by the customer."

During investigation, it became clear that the new mobile number which was used by the manager belonged to an Emirati trader and was used by his wife. "I don't know any of the defendants or the victim. I don't have any idea how my wife's number was used in the victim's file at the bank," the 60-year-old trader said.

The new PO Box number belonged to a pest control company. "We don't have any accounts with that bank. However, envelopes from the branch were constantly sent to us. I never opened them because they were not sent to me or my company," a 46-year-old Indian businessman told the police, adding the name on the envelopes was the victim's.

Source: Khaleej Times