Man in Kuching claims bank officer made unauthorised investments using elderly dad’s fixed deposit

KUCHING (Aug 16): A man here has alleged that a bank officer made unauthorised investments in financial instruments and unit trusts using his elderly father’s fixed deposit.

The son claimed the bank concerned had failed to give him satisfactory answers on the loss-making investments for his father, who is in his 80s.

As such, the man sought assistance and legal advice from Kota Sentosa assemblyman Wilfred Yap, who is a lawyer, on the alleged unauthorised investments.

“I have advised this individual to engage an accountant to go through the transactions month by month since 2017 and compile and record the disputed transacted amounts and request for the official documents authorising the transactions made by his elderly father and whether there was proper biometric verification of identity and independent confirmation of the alleged transactions by the bank.

“I am ever-ready to assist the individual to seek justice if indeed there is a breach of banking procedures and breach of fiduciary duty on the part of the bank,” Yap said in a statement today following a meeting with the complainant.

The assemblyman advised the public to remain vigilant before making any investments.

He said potential investors should be suspicious of any investment product or strategy that promises exceptionally high returns without risk.

“It may seem like basic advice, but if it sounds too good to be true, it probably is. Be wary if the broker works on commission because they’re not obligated to prioritise a client’s needs and wants.

“Since some investments pay more commission than others, a broker might be more inclined to push for an investment that costs more and perform more selling and buying as it generates more commission for himself to the detriment of the investor,” he added.

Yap also pointed out that a broker’s job is to buy and sell.

“If they try to amplify up the excitement, describe an investment as ‘the next big thing’, promise to make you rich or act like they have ‘inside information’, which is illegal, it may be wise to back away,” he cautioned.