Stampin MP to BSN: Stop delaying refunds, take responsibility over RM270,000 scam loss

Chong meeting with a scam victim to discuss the delayed refund of funds allegedly misappropriated by a former BSN employee.

by DayakDaily Team

KUCHING, Jan 24: Stampin Member of Parliament Chong Chieng Jen has called on Bank Simpanan Nasional (BSN) to stop delaying the refund process and take full responsibility for a RM270,000 loss suffered by a victim in an alleged scam involving a former BSN employee.

In a statement today, Chong said continued procrastination and shifting excuses by the bank risk undermining public confidence in the banking system.

He said the victim, identified as Lee, was persuaded by a former BSN employee to invest in a scheme purportedly offered by the bank and was instructed to withdraw her savings from her BSN account for the investment. The funds were later misappropriated by the employee.

Chong said the case was part of a wider incident involving more than 70 victims, with total losses estimated at around RM11 million.

According to him, BSN initially required Lee to provide proof of the source of funds, which he said was clearly traceable as most of the money came from her BSN savings account, with a smaller portion from her father’s fixed deposit.

“Despite this, BSN continued to raise other reasons to delay the refund,” he said.

Chong stressed that the alleged fraud was committed by a BSN employee at the time, occurred within a BSN branch and was linked to normal banking transactions, making the bank responsible to compensate the victims.

He said the obligation to refund victims cannot be avoided by questioning the source of funds, especially when the bank had already verified it.

Chong said while some victims have received refunds, many others remain uncompensated.

He warned that delays or refusal to refund would erode public trust not only in BSN but in the banking system as a whole.

“If transactions carried out within bank premises are not safe, it raises serious questions about accountability in the banking industry,” he said.

Chong also called on Bank Negara to intervene to ensure the swift and full refund of all monies lost by victims of the scam. — DayakDaily