The central bank yesterday confirmed that at no point was N$60 billion transferred or deposited into Namibia’s banking system by any entity or individuals associated with the Credit Union of Namibia (CUN).
As such, the bank stated there is no evidence to support the existence of such funds.
A statement was issued yesterday after the Bank of Namibia (BoN) became aware of an alleged fraud case involving the astronomical amount that is close to Namibia’s total annual budget, which for the 2022/23 financial year stood at N$61.5 billion.
According to information from the Namibian Police, a representative of CUN reported and initiated the police investigation. “The bank can confirm that all cross-border transactions are reported to BoN by commercial banks that are authorised dealers in foreign exchange transactions.
The bank would like to inform the public that at no point was such an amount transferred or deposited by any entity or individuals associated with CUN into the banking system in Namibia. The Bank has concluded that there is no evidence to support the existence of such funds,” BoN spokesperson Kazembire Zemburuka stated.
He added that BoN does not issue nor is aware of any trading of sovereign guarantees to foreign investors, as alleged in several social media posts surrounding the alleged fraud.
“Furthermore, claims that the bank’s staff members or its platforms are being exploited in fraudulent server-to-server transactions are not factual. There are no relevant facts or evidence supporting this,” Zemburuka noted.
Meanwhile, an apparent managing director of CUN reportedly placed the blame squarely on the shoulders of the police, saying the information released in the police’s regular crime report was “misleading”. However, no credible information could be found on the existence of CUN. As of yesterday, their Facebook page was also deleted, and no information on the company was available on an internet website or elsewhere.
Meanwhile, the central bank cautioned of an increase in online scams, misinformation and hoaxes that target and involve the public. They encouraged the public to remain vigilant, and to take the necessary steps to verify information on social media and other platforms, particularly if such information is not distributed by credible sources.
“Namibia’s financial system remains strong and resilient, and is considered one of the most advanced on the continent. The bank reassures the public that it maintains a constant state of vigilance to safeguard Namibia’s financial system against financial crimes, including fraud and money laundering, in order to promote financial integrity and stability, all of which are essential for realising economic growth and development,” Zemburuka added.