SINGAPORE – A draft framework for the equitable sharing of losses suffered by scam victims has been delayed due to the complexity of the issues involved, the Monetary Authority of Singapore (MAS) said on Monday (July 18).
The financial sector regulator had announced in February that it is working with the industry on the framework, a month after OCBC Bank announced it would fully reimburse the $13.7 million lost by its customers in a recent spate of phishing scams.
MAS said then it would publish a draft framework for public consultation in three months’ time.
“The process of developing the framework is, however, taking longer than expected in view of the complexity of the issues and the importance of ensuring that the loss sharing and accountability approach incentivises all key parties in the ecosystem to be vigilant against scams,” MAS said on Monday.
“MAS is keenly aware of the importance of this framework and will publish the consultation paper as soon as possible,” it added.
With the draft framework, MAS will seek public feedback on a final version that would spell out how losses from scams are to be shared between consumers and financial institutions, including the responsibilities of other key parties involved.
MAS had said then that OCBC’s $13.7 million payout does not set a general precedent for future cases, and that all parties have responsibilities to be vigilant and to take precautions against scams.
The regulator is also leading a task force, called…
