UBA head: Over 500 fraud victims signed agreements with Armenian banks

President of the Union of Banks of Armenia (UBA) Daniel Azatyan has addressed the recent cases of financial fraud involving customer funds stolen from several Armenian banks. At a press conference on Friday, he stated that the Union of Banks had been actively involved in the investigation process, closely cooperating with the Central Bank and individual commercial banks.

“These cases were thoroughly examined by the banks and law enforcement agencies,” Azatyan noted.

According to him, extensive measures have been taken to prevent similar incidents in the future. Azatyan emphasized that fraudulent activities are common even in countries with advanced digital banking systems. However, the breaches in Armenia were not due to bank system hacks, but rather the result of low financial literacy among customers, which led to the leakage of sensitive personal data.

“A decision has been made for all banks to not only suspend loan repayment demands for affected individuals but also to sign agreements with the majority of the victims ensuring that no financial claims will be pursued until investigations are complete,” Azatyan said. “If it is later determined that a customer bears a high degree of fault, only then will the banks seek repayment. More than 500 fraud victims have signed such agreements with their banks to date."

Armenia’s law enforcement authorities previously reported that fraudsters managed to steal 119 million drams from several banks across the country.