Fine for forged bank reference letters

Like many banks, American Express Bank (AEB) requires customers who want to open accounts with it to produce letters of reference from other banks stating the length of the customer's relationship with the other banks. This is now standard practice as part of the KYC (Know Your Customers) requirements for banks to stop money laundering and terrorist financing.

Ho Nyat Yeing, who was relationship manager with AEB, found it difficult to obtain these letters. She therefore forged reference letters using blank letterheads from other banks. In court, she pleaded guilty to 11 out of 79 charges. As no loss was caused to any party, shre was fined $41,000.

There are other relationship managers who have been caught in similar situations, with some of them having already been sentenced by the courts.