Bank process authentic: Pawson

By DALE LUMA
BANKS are accountable to the Bank of PNG standards and government legislation when processing cheques to ensure that the cheques are valid and authentic, says Kina Bank chief executive officer Greg Pawson.
Responding to queries from The National following concerns raised on Government cheques being dishonoured when deposited by legitimate businesses, Pawson said the compliance process was stringent.
He said it includes adherence to anti-money laundering and counter terrorist financing legislation, among others.
“These standards and laws are in place to ensure that funds are appropriately disbursed, and to prevent fraud, money laundering and terrorist financing,” Pawson said.
“Many recipients of Government cheques do not meet the standards and laws in place – often, they do not have the complete set of paperwork required and need to gather what is required.
“This can slow down the process of cheque clearance.
“Cheques are also processed manually by the central bank and can be a significant administrative burden for everyone involved.”
Pawson said the solution to improve government payments was e-commerce.
“At Kina Bank, we see the growth of digital government as crucial to the success of the country and it’s an essential part of a sustainable future that we are committed to.
“E-commerce reduces red tape and the need for manual cheque processing.
“It’s fast, easy and secure.
“Kina Bank, in partnership with NiuPay, have been working with government departments to introduce a modern, state-of-the-art e-commerce platform to reduce the need for cheques completely..
“The Lands Department and the Immigration and Citizenship Authority are the first to implement this new platform, bringing their payments system online.
“By reducing the need for cheques, and by removing the need for manual processing, we’re increasing the speed at which funds can be disbursed.
“All while maintaining strict compliance with all of the requisite laws and regulations that ensure payments are valid and authentic.
“We believe e-commerce is the most efficient payments system, in line with global standards.
“It is one of the reforms of the Papua New Guinea financial system that we are pleased to be a part.”