A new rule approved by the Senate Standing Committee on Finance on Friday will penalize bank officers who refuse to open bank accounts, issue credit cards, or provide other services to politicians.
Bank officers who discriminates against a citizen or a public figure faces a year in prison and a punishment of Rs. 1 million under the Banking Companies (Amendment) Bill, 2021.
The bill will only take effect if it has been approved by the Senate and the National Assembly.
Officials from the Ministry of Finance, the Ministry of Law and Justice, and the State Bank of Pakistan all spoke out against the amendment bill, claiming that no money bill or amendment could be passed without the federal government’s approval.
Senator Talha Mahmood, the chairman of the committee, and the members of the committee rejected this position, and the bill was passed with a majority.
Refusing to open a bank account or issue a credit card would now be an expensive affair for any bank official, according to the revisions. The revisions offer the aggrieved person the ability to file a complaint against any bank official who is acting discriminatorily.
Senator Saleem Mandviwalla told reporters following the meeting that the modifications are critical for the ease of conducting business, and that no bank official may now discriminate against politicians or other powerful persons.
He claimed that SBP’s shortcoming was its inability to penalize banks that took an unlimited time to open bank accounts.
The committee also addressed a case in which the UK was sued for $250 million under the Economic Crimes Act. The committee requested a response from the SBP on the matter within three days.
To read our blog on “SBP launches instant and free P2P payments system under Raast,” click here.
