Financial Fraud in Jamaica: Experts Call for Harsher Penalties and Specialized Court
As the recent sentence handed down to Khadene Thomas, a former NCB Capital Markets employee who pleaded guilty to defrauding customers of $74.5 million, sparks outrage, experts are urging for a tougher approach to tackling financial fraud in Jamaica.
Urgent Need for Harsher Penalties and Specialized Court
Dane Nicholson, Head of the Jamaica Bankers Association’s Anti-Fraud Committee and head of fraud prevention at NCB, is advocating for an update to the Larceny Act to impose harsher penalties on those convicted of financial fraud. He also believes that a specialized financial court should be established to handle such cases.
Rise in Financial Crimes Demands Serious Approach
According to Nicholson, the rise in financial crimes over the past few years demands that authorities take a more serious approach to combating this issue. “Just like when Jamaica had problems with guns, a gun court was launched; and when we had family problems, a family court was established,” he said. “So now that we have a financial crime problem, it might be prudent for us to explore establishing a financial court.”
Thomas’ Sentence Sparks Outrage
The 24-month prison sentence handed down to Thomas has sparked widespread outrage on social media platforms, with many describing it as a “slap on the wrist.” The former wealth advisor was found guilty of larceny and uttering forged documents.
Key Facts About the Case
- Thomas admitted to forging clients’ signatures on debit instruments, debiting their accounts, and transferring funds to several accounts, including hers.
- She was ordered to make full restitution of the stolen amount.
- Experts believe that Thomas’ plea deal in the parish court may have contributed to a more lenient sentence.
Mandatory Minimum Sentences Needed
Nicholson suggests that mandatory minimum sentences for financial fraud are necessary to serve as a deterrent. “If they are convicted of financial fraud, whether larceny as a servant or forged documents, and even if you plead guilty and restitution is given to the financial entity, the minimum sentence should be 10 years,” he said.
Local Banks’ Efforts to Prevent Financial Fraud
Local banks have been working to minimize fraudulent activities through internal controls and public awareness campaigns. However, Nicholson believes that more needs to be done to prevent financial fraud in Jamaica. “The problem often lies in employees manipulating customers and taking advantage of them,” he said.
Measures Taken by Local Banks
- Implementing various checks, including background checks and police reports, to ensure there are no previous convictions.
- Engaging consumers on how to spot and avoid fraud through public awareness campaigns.
Conclusion
As the debate surrounding Thomas’ sentence continues, experts remain resolute in their call for a tougher approach to tackling financial fraud in Jamaica. “The sentencing does nothing but encourage people to thief,” one reader commented. “What is two years?”