Karachi, March 8, 2025 – The State Bank of Pakistan (SBP) has imposed a monetary penalty of Rs 134.61 million on JS Bank Limited during the calendar year 2024.
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JS Bank Fined Rs 45.51 Million by SBP for Regulatory Violations
Karachi, February 5, 2024 – JS Bank, a prominent financial institution in Pakistan, has incurred a monetary penalty of Rs 45.51 million for regulatory violations during the calendar year 2023.
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TRG moves court against JS Bank, others
KARACHI: The Resource Group International Limited (TRG International) has filed a suit before the Sindh High Court against JS Bank Limited and others.
According to the information shared with the Pakistan Stock Exchange (PSX, The Resource Group International Limited (TRG International) has filed Suit no. 19 of 2023 before the Sindh High Court at Karachi against JS Bank Limited, JS Global Capital Limited, Bank AL Habib Limited, DJM Securities Limited, Muhammad Ziaullah Khan Chishti (“Zia Chishti”), Sarah Jennifer Pobereskin (Zia Chishti’s wife) and others.
TRG International believes that the lending arrangements entered into by Zia Chishti and Sarah Jennifer Pobereskin with JS Bank Limited, JS Global Capital Limited, Bank AL Habib Limited and DJM Securities Limited are in violation of the Stock Purchase Agreement binding on Zia Chishti that places restrictions on any transfer or encumbrance on shares of TRG Pakistan directly or indirectly owned by him.
The Honourable High Court of Sindh was pleased to pass an interim order on January 7, 2023 in the abovementioned proceedings, restraining JS Bank Limited (including its Bahrain Branch), JS Global Capital Limited, Bank AL Habib Limited and DJM Securities Limited from creating any third party interest in any manner whatsoever in relation to the Company’s securities pledged by Zia Chishti and Sarah Jennifer Pobereskin wither them, till the next date of hearing.
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SBP imposes over Rs290 million as penalty on six commercial banks
KARACHI: State Bank of Pakistan (SBP) on Friday imposed over Rs290 million as monetary penalty on six commercial banks for violating regulatory instructions pertaining to Customer Due Diligence (CDD) and Know Your Customer (KYC) during quarter ended September 30, 2022.
The central bank imposed the monetary penalty on commercial banks included: Bank Al Habib Limited; Meezan Bank Limited; National Bank of Pakistan; MCB Bank Limited; JS Bank Limited; and Faysal Bank Limited.
The highest amount of penalty of Rs140.03 million has been imposed on Bank Al Habib Limited for violating regulatory instructions pertaining to CDD/KYC, Asset Quality, Foreign Exchange and general banking operations.
The SBP directed Bank Al Habib Limited that besides payment of monetary penalty it should strengthen its control/process in the identified areas.
The second highest penalty of Rs81.72 million has been imposed on Meezan Bank Limited for the same regulatory violations. The SBP also imposed penalties, included: Rs25.875 million on National Bank of Pakistan; Rs19.223 million on MCB Bank Limited; Rs13.49 million on JS Bank Limited; and Rs10.025 million on Faysal Bank Limited.
The SBP from July 2019 started public disclosure of penal action against banks. “Enforcement actions are an integral part of the regulatory regime which involves imposition of monetary penalties and other actions against institutions and individuals for violations of laws, rules, regulations, guidelines or directives issued by SBP from time to time,” according to a circular issued by the central bank.
In order to bring more transparency and strengthen market discipline, SBP has decided to publicly disclose significant enforcement actions.
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JS Bank partners with NdcTech to advance core banking
Karachi: JS Bank, a leading Commercial Bank of Pakistan has modernized its Core Banking platform with renowned IT company NdcTech as the implementation partner.
This deployment is a central part of the Bank’s strategy to rebuild its technology and support its future growth objectives, according to a statement issued on Tuesday.
Enhancing the customer experience has always been a top priority for JS Bank and Temenos open platform for composable banking enables the Bank to offer a rich integrated experience for its customers.
The Bank collaborated with NdcTech to help modernize its banking operations & upgrade the technology stack to achieve scale. The Bank is now able to use an integrated architecture to support its retail, corporate, and treasury needs and create a more flexible environment to sustain forthcoming expansions.
NdcTech has the capability of conducting large transformations using industry best practices, skilled expertise on Temenos products, and in-depth knowledge of accelerated methodologies and tools.
This was a complex project to execute, with a change at all layers of the Core Banking technology stack which required extensive cycles of testing and dress rehearsals prior to a successful cutover for Go Live.
Tauseef Ahmed, Director Project Delivery & Customer Care, NdcTech said: “JS Bank chose NdcTech for this transformation based on our ability to comprehend and adapt to the local market and environment and our rich expertise in transforming banks. “A common value that JS Bank and NdcTech share is our focus on customer-centricity, and always going beyond capabilities to deliver a premium customer experience. We are pleased to announce the successful Go-live of JS Bank, enabling them to deliver on the full promise of digital transformation”
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SBP imposes Rs805 million penalty on 10 banks for violating AML, due diligence, forex regulations
KARACHI: State Bank of Pakistan (SBP) has imposed penalty amounting Rs805.1 million on 10 banks for violating anti-money laundering, due diligence of customers and foreign exchange regulations during the month of August 2019.
The central bank issued details on Friday about action taken by the SBP against banks in order to plug loopholes in the banking system.
The SBP initiated to make public the action taken by the central bank from July 2019 against commercial banks for violating prevailing rules and regulations and amount of penalty imposed on such banks.
In the latest release of enforcement measures by the SBP also included action against leading banks including Habib Bank Limited and MCB Bank etc.
The highest amount of penalty of Rs320.08 million has been imposed on Habib Bank Limited followed by MCB Bank of Rs159.152 million, Dubai Islamic Bank of Rs77.97 million.
Following of are the significant enforcement actions by SBP during August-2019.
01. Dubai Islamic Bank dated August 01 & 02, 2019:
Violations in the areas of AML/CFT, Asset Quality
Monetary penalty of Rs77.974 million was imposed mainly on deficiencies in the areas of AML/CFT. Moreover the bank has been advised timelines to rectify the operational lapses and improve the control environment to avoid recurrence of such lapses/violations in future.
02. Habib Bank Limited dated August 02 & 03, 2019:
Violations in the areas of AML/CFT, Consumer Protection
Monetary penalty of Rs320.08 million was imposed mainly on deficiencies in the areas of AML/CFT and erroneous deduction of service charges from customers. The bank has been advised timelines to bring improvements in its systems/controls to avoid recurrence of such lapses/violations in future.
03. MCB Bank Limited dated August 03, 2019:
Violations in the areas of AML/CFT, Asset Quality
Monetary penalty of Rs159.152 million was imposed mainly on deficiencies in the areas of AML/CFT. The bank has been advised timelines to improve the KYC/CDD processes and integrate eKYC system with core banking system.
04. Silkbank Limited dated August 03, 2019:
Violations in the areas of AML/KYC, Asset Quality
Monetary penalty of Rs53.879 million was imposed mainly on violations of non-surrendering of unclaimed deposits, non-classification of loans and adjustment lending. Moreover, the bank has been advised timelines to classify advances & create provision there against and conduct
05. Bank Alfalah Limited dated August 03, 2019
Violations in the areas of FX Operations
Monetary penalty of Rs52.795 million was imposed mainly on violations of foreign exchange regulations such as restrictions to remit import advance payments, export documentation and non-submission of documents against advance payments.
06. Allied Bank Limited dated August 03, 2019
Violations in the areas of AML/KYC, Asset Quality
Monetary penalty of Rs32.755 million was imposed on breach of various limits of Equity Investment/related party and deficiencies in customer due diligence process. The bank has been advised timelines to bring equity Investment and exposure to related party group within the prescribed limit and revise KYC/CDD process.
07. Sindh Bank Limited dated August 03, 2019
Violations in the areas of AML/KYC, Asset Quality, FX Operations
Monetary penalty of Rs15.088 million was imposed mainly on deficiencies in customer due diligence practices, imprudent lending practices, non-classification of loans. Moreover, in view of the strategic deficiencies in Transaction monitoring system & name screening process, the bank has been advised an action plan/timelines for replacement of their existing TMS and acquiring of name screening solution.
08. Summit Bank Limited dated August 03, 2019
Violations in the areas of AML/KYC, Asset Quality
Monetary penalty of Rs13.072 million was imposed mainly on deficiencies in customer due-diligence process, mis-utilization of loans and non classification of loans. The bank has been advised to timely update customer profiles & properly document the reasons of large value transactions.
09. JS Bank Limited dated August 05, 2019
Violations in the areas of AML/KYC, Asset Quality, Corporate Governance
Monetary penalty of Rs70.307 million was imposed mainly on deficiencies in customer due-diligence process, mis-utilization and non classification of loans etc. The bank has been advised timelines to enhance its systems/process for customer risk profiling (CRP), transaction monitoring and identification of Politically Exposed Persons (PEPs).
10. Habib Metropolitan Bank Limited dated August 19, 2019
Violations in the areas of FX Operations
Monetary penalty of Rs10 million was imposed mainly on a violation of foreign exchange regulations relating to splitting of the import advance payments into smaller transactions.
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SBP imposes penalty on four banks for violating AML/KYC
KARACHI: The State Bank of Pakistan (SBP) has imposed penalty of Rs184.64 million upon four commercial banks for violating laws related to Anti-Money Laundering (AML)/Know Your Customer (KYC).
The central bank on Thursday said that these penalty amount was imposed during the month of July 2019 against banks included: The Bank of Punjab; JS Bank Limited, Bank Al Habib Limited and Soneri Bank.
The SBP imposed penalty of Rs13.072 million against The Bank of Punjab on July 15, 2019 for violating in areas of foreign exchange operations.
In addition to penal action, the bank has been advised to improve its internal processes, the SBP said.
The Bank of Punjab was again penalized with Rs16.119 million on July 18, 2019 for violating in areas of AML/KYC, unclaimed deposits.
In addition to penal action, the bank has been advised for improvements in the areas of AML/KYC, the central bank added.
The SBP penalized JS Bank Limited with penalty amount of Rs48.211 million on July 23, 2019 for violating in areas of AML/KYC.
In addition to penal action, the bank has been advised to conduct a thorough review of relationship accounts, the SBP said.
The SBP imposed penalty of Rs51.75 million upon Bank Al Habib Limited on July 25, 2019 for violating in areas of AML/KYC, FX Operations.
In addition to penal action, the bank has been advised to update its systems and processes, and provide appropriate trainings to the concerned officials, the SBP said.
The SBP imposed penalty of Rs55.48 million upon Soneri Bank Limited on July 25, 2019 for violating in areas of AML/KYC, Asset Quality, FX Operations.
In addition to penal action, the SBP advised the bank to improve areas of AML/KYC and credit risk monitoring.