Hbl deposit Accounts Problem:

Hbl is the legendary and oldest bank in Pakistan. Main issue of hbl deposit accounts is Accounts

have been opened since the beginning ever since Pakistan was made approx. 73 years ago.

During a survey a sample of accounts raised by the state bank of Pakistan. It was found that most

of the accounts have no proper or complete documentation. They were weak in terms of

documentation required.

Most of the information available (for mostly older accounts) was partial. When went through

further scrutiny it was found that a lot of account holders passed away except from those which

were already reported by their heirs as deceased accounts.

There also a bunch of Un-claimed deposit accounts.

The issue of Benami Acocunts was also observed and had concerned the regulator to advise the

bank to go through a re-profiling activity, in-order to avoid money laundering issues.

What is Proper documentation?

C.N.I.C Proof Current, updated, which is on NADRA system and is biometrically verified.

Residential Proof as per C.N.I.C. IF not then customer should provide proof like utility bills in

either customer name or father or siblings name.

In case the customer lives on rent then customer must show tenancy agreement to verify the

address.

Income Proof. What is the source of income? Either customer earns himself (Salaried, Self-

employed or Sole-proprietor) or someone financially supports customer e.g. family siblings etc.

customer must provide these income proofs. Financial supporter’s income, their Valid ID and

Declaration having the amount through will he be supported

So there are thousands of accounts are exposed which do not have proper documentation like

there is one thing available on document and another was not. Something sends by the bank but

customer did not get OR customer does not live as per C.N.I.C address OR customer die etc.

there are various problems. Due to these problems it increases the risk of money laundering its

expose fake accounts like FALUDAY WALA , SABZI WALA, RIKSHA WALA etc.

On the other hand, there is no synchronize system like one person has accounts in different

branches and whoever used to come to the branch to open his account and branch will open his

account by the branch end. Due to this weakness the bank is facing various difficulties

Solution
1. HBL should update all the deposits accounts with proper documentation which is

outdated.

2. HBL must make a centralized system when the customer wants to open his

account, account will not open by the branch end.

3. When the customer comes into the branch to open his account then one person

shall input data in a branch and the second one will supervise but authorization

will done by the head office after reviewing all the documents, not by branch.

4. HBL should make a centralized system with customer information form with

customer number. When a customer whole data is on a customer information

form with customer number then bank will easily search how many accounts of a

same customer in different branches.

5. Documentation must be up to date. like C.N.I.C, Residential proof, Income proof.

Due to these solution we can easily solve these problems.