The State Bank of Pakistan (SBP) sought feedback from the Pakistan Banks’ Association (PBA) regarding a letter from the National Accountability Bureau (NAB) concerning false, fake, and misleading advertisements on social media and mainstream media related to real estate projects under NAB U/S 33.
After consulting with members of the PBA Mortgage Forum, PBA provided its feedback to SBP on two key points:
1. NOC Issuance Guidelines:
PBA highlighted the absence of clear identification of the authorities responsible for issuing No Objection Certificates (NOCs). To enhance control measures and protect both banks and their customers, PBA recommended:
- Creating a standardized list of authorized authorities for issuing NOCs.
- Establishing a transparent website or portal to verify the status of NOCs for various projects.
- Ensuring that print and electronic media advertisements for real estate projects should not proceed without written approval from relevant departments or regulators. Newspapers and TV channels should refrain from advertising such projects without the necessary approvals.
2. Printing of Special Deposit Slips/Demand Draft Forms:
PBA informed SBP that mandating the printing of special deposit slips or demand draft forms would not serve any significant purpose. It could lead to additional costs for banks and operational challenges. Therefore, the decision to print such forms should be left to the discretion of individual banks based on their customer relationships or the anticipated number of depositors and deposits.
Source: PBA