Banks warned of fake loan documents

By LUKE KAMA
BANKS and lending institutions must be cautious and verify documents properly before issuing loans, an official says.
Robert Mit, the manager for agents and branches with the Motor Vehicle Insurance Limited, issued the warning after a fake driving licence was part of documents submitted for a loan application with one of the banks.
The suspect is from Mul-Baiyer district in Western Highlands and was caught at the MVIL office in Port Moresby when trying to transfer the ownership of a bus from a man to himself.
Mit said MVIL had an efficient system which could pick up fraudulent licences or bogus insurance claims.
He said the suspect did not have a driving licence.
“The copy of the licence to facilitate the transfer of the vehicle ownership in his document was fake. Whether the bank checked properly to approve his loan or not we are not sure,” he said.
“But when he lodged his application for the transfer of the vehicle ownership, we realised that the receipt number belonged to a different person and the license number belonged to a different person.”
Senior Sargent Francis Xavier Tura from the Criminal Investigation Department Motor Squad told The National that the case would be investigated by the police.