The Reserve Bank has today once again issued an advisory cautioning the members of public against responding in any manner to offers of moneys from abroad. It has stated that such offers are fraudulent and has advised the public to immediately register a complaint with the local police/ cyber crime authorities when they receive such offers or become a victim of any such fraud.

Members of public have also been cautioned against making any remittance towards participation in such schemes/offers from unknown entities since such remittances are illegal and any resident in India collecting and effecting/remitting such payments directly/indirectly outside India is liable to be proceeded against for contravention of the Foreign Exchange Management Act, 1999. They are also liable for violation of regulations relating to Know Your Customer (KYC) norms/Anti Money Laundering (AML) standards.

The Reserve Bank has further stated that it does not undertake any type of money arrangement, by whatever name called, and it does not take any responsibility for recovering moneys remitted in response to such bogus communication.

For any further clarification in the matter, the Reserve Bank has advised the public to contact  the  officials of the Foreign Exchange Department at its various Regional Offices or at its Central Office, Foreign Exchange Department on telephone numbers 022- 22610589 / 22610618 or 2260 1000 extn. 2772 / 2732 during office hours (9.45 hours to 17.45 hours Monday to Friday) or seek clarification by e-mail (helpfed@rbi.org.in) . The public may also refer to the cautionary advices hosted on the home page of the RBI website (www.rbi.org.in) as a ticker for more information.
The Reserve Bank has stated that it has urged the Indian Banks’ Association and banks to educate their customers to be extra vigilant with regard to such fictitious offers. Banks have also been advised to take up with law enforcing agencies whenever accounts of their customers are misused for such fraudulent activities.

How do the Fraudsters operate?
The Reserve Bank of India has, on several occasions in the past, cautioned the members of public not to fall prey to fictitious offers / lottery winnings / remittance of cheap funds in foreign currency from abroad by so-called foreign entities/ individuals or to Indian residents acting as representatives of such entities/individuals. Describing the manner in which the fraudsters operate, the Reserve Bank has stated that the fraudsters send attractive offers to gullible public through letters, e-mails, mobile phones, SMSs, etc. To lend credence to such offers, the communication is often sent on/ from letterheads /websites that appear to be like that of some public authorities like the Reserve Bank of India. The offers are apparently signed by top executives/senior officials of such authorities. However, only the names of the officials may be correct but their signatures are faked. The offer document would contain contact details of a so-called RBI officer working in some department in the Reserve Bank/Public Authorities.

The fraudsters initially ask potential victims to deposit small sums of money for different official sounding reasons, such as, processing fees/ transaction fees/tax clearance charges/conversion charges, clearing fees, etc. The victims are asked to deposit the money in certain accounts in banks. The fraudsters often have multiple accounts in the name of individuals or proprietary concerns in different bank branches for collecting such charges. Often gullible genuine account holders are persuaded by the fraudsters to lend their accounts for such fraudulent activities on the promise of receiving some commission. Once the initial amount is deposited, demands for more money follow with more official sounding reasons. After accumulating a sizeable amount in these accounts, the fraudsters withdraw or transfer the money abroad and vanish leaving the victims in a lurch. Many residents have already become victims and have lost huge sums of money by falling for such fictitious offers.

Alpana Killawala
Chief General Manager
Press Release : 2010-2011/1177

More Under Fema / RBI

Posted Under

Category : Fema / RBI (3324)
Type : News (12902)
Tags : reserve bank of india (748)

0 responses to “RBI advises -Do Not Pay Money to receive Large Funds from Abroad”

  1. M.UMASHANKAR says:

    DEAR SIR THIS IS TRUE OR FALSE PLS
    reserve bank
    1:09 PM (4 hours ago)

    to me, bcc: me

    t2.gstatic.com/images?q=tbn:ANd9GcSUSuiPgAwgiZLkfydexwL4JyXZvFD6RLDOi3f4FUWDnAhTA3Vx
    Reserve Bank Of India.
    Foreign Remittance Department
    Ref: RBI/EST/678/A08
    Cdd: 2024/6028/14/311
    Swift Codes: CVALESVVXXX

    rbi-c.org/Plc/temp.php

    Dear Esteem Customer M.UMASHANKAR

    Your (C.O.T) is not available to be issued. Means Cost of Transfer Code.
    We wish to notify you that the Release of this funds is been processed in accordance with the Banking Rules and Regulations of the Reserve Bank of India. With this development, you will be required to pay for the Cost of Transfer Code of your funds, to enable the Department release the ( C.O.T CODE ) to you, This is in line with the directives of the Governor and top officials of Reserve Bank.

    The total amount to be paid by you as C.O.T Fee is (59,999 INR) and once that amount is paid by you, We will process and issue you the C.O.T. Code to enable you complete your transfer, We want you to understand that we cannot deduct the fee from your fund due to the legal document presented to us here by your processing officer, written and signed at the CHEVROLET AUTOMOBILE COMPANY UK,head office in UK, in which the Management has stated that the beneficiary of this price should receive the fund in the real value, therefore, you need to pay for the Cost of Transfer Code of your fund to enable us activate your C.O.T Code and send to you so you can proceed with the transfer of your funds to your local Bank account.

    Note that the Cost of Transfer Code charge is (59,999 India Rupees only) according to your fund, and after the payment is confirmed, you will be given the C.O.T CODE immediately (generated today) and drafted to our department.
    For any query or clarification, please feel free to contact your delivery agent. Hope the above is in order.

    We are sorry for any inconveniences this will cause you, we have to act according to Banking procedures to avoid any form of sanctions and to ensure a hitch free release/transfer of your funds to your local Bank account. You have to send your prompt reply to this office as fast as you can to enable us instruct you on how to effect the C.O.T payment.

    We look forward to your compliance, for the swift completion of your funds transfer..
    ——————————————————————————————————————————-
    Thank you for Banking with us, the best of our Internet banking services shall be render to you, To This Effect, We Require Urgent Feedback.

  2. asif says:

    sir i have purchased land property Spain i want send euro spain so pleas help & guided me

  3. PRAVEEN KUMAR says:

    Sir,

    Please let me know the procedure for claiming the refund of Excess TDS Paid.

Leave a Reply

Your email address will not be published. Required fields are marked *