KARACHI: The State Bank of Pakistan has introduced new penalty structure to align the existing regime for cash processing functions.
In a circular issued on Thursday, the central bank stated that in order to align the existing penalty regime for cash processing functions (CPC) with the Currency Management Strategy, a new penalty structure has been developed.
This new penalty structure will supersede all previous penalty instructions regarding cash management operations of the banks, said the circular. All banks were advised to ensure strict compliance with the currency management instructions issued from time to time.
The circular said that Rs100,000 would be fined as penalty for issuance of unauthenticated and unprocessed banknotes to public. Further, Rs20,000 will be fined if CPC, feeding branches and other branches do not have separate clean and secure vault space, with proper safe-keeping arrangements.
And Rs10,000 will be fined if the vault does not have insurance cover. Rs20,000 if the entire CPC or sorting area is not covered by high resolution CCTV cameras.
Published in Dawn, September 15th, 2017