– Advertisement –
Equity Bank Uganda has initiated investigations into alleged cases of fraud concerning its Stock Loan and Agent Float financing schemes, which have recently come to light.
The Stock Loan product, designed to provide working capital support to entrepreneurs, small and medium-sized enterprises (SMEs), and large businesses, aims to facilitate growth and expansion across various sectors. Similarly, the ‘Agency float financing’ offers financial assistance to Equi Duuka Agents to sustain their agency businesses.
The suspected fraud is estimated to have impacted approximately 65 billion shillings and Equity Bank management has affirmed its commitment to uncovering the truth behind the incidents and identifying those responsible, including both staff and customers.In a statement, the bank noted, “People of interest, including a few of our staff and customers, are currently assisting with investigations by the relevant law enforcement authorities.” Additionally, they emphasized their adherence to high standards of accountability and transparency, pledging to take appropriate action against any individuals found culpable.
Despite the significant financial implications, Equity Bank assures its customers that services will continue without interruption. “Despite this investigation, customers will continue to access loans across all our branches countrywide and banking channels uninterrupted,” the statement assured.
– Advertisement –
The Board of Directors and management are fully committed to resolving the matter swiftly. “We continue to focus on our purpose of transforming lives, giving dignity, and expanding opportunities for wealth creation,” stated Equity Bank Uganda.
While the nature of the fraud remains unclear, whether stemming from outright theft or errors on the bank’s part, the ongoing investigations are expected to provide clarity.
Equity Bank Uganda, over its 16-year tenure, has established a vast branch network, including more than 9,000 Equi Duuka agents and 58 ATMs, serving over 2 million customers nationwide.
It has met the Bank of Uganda’s revised minimum capital requirements, reflecting its stability and resilience within the financial sector.
As a subsidiary of Equity Group Holdings Plc, a listed financial services company on the Nairobi Securities Exchange, Uganda Securities Exchange, and Rwanda Stock Exchange, Equity Bank Uganda boasts an asset base of 3.5 trillion shillings as of September 30, 2023.
Credit: The Standard News Uganda
Related
– Advertisement –
