Al-Rafidain Bank appeals against a decision to fine it $600 million
economy Rafidain Bank
Shafaq News/ Al-Rafidain Bank issued a clarification on Monday regarding the Iraqi judiciary's decision to pay a fine of 600 million dollars to Ishtar Gate Company, noting that it had appealed the decision to the judiciary.
The bank said in a statement received by Shafaq News Agency, "It had the need to contract with more than one electronic payment company at the time to expand the base of competition to provide the best services to citizens at acceptable prices, as invitations were subsequently sent to electronic payment companies approved by the Central Bank of Iraq." to present its bids. He added,
"The contract that was concluded with Ishtar Gate Company was on 3/4/2021, by the former general manager of the bank before obtaining the Ministry's approval in accordance with the terms of the contract, as the contract violated many of the previous technical conditions that the Ministry had specified for the bidders.". And she added,
"After presenting the contract to the ministry and reviewing the commercial aspects of it, which grants the bidder unjustified advantages and profits at the expense of the bank's customers,
and when the ministry was informed of the conclusion of the contract, the minister directed the re-audit of the contract in the interest of the ministry on 3/9/2021 or cancel it if necessary,
where no The contract should be signed only with the approval of the legal department and the information technology department in the ministry and according to the previous instructions. And she confirmed that
"the matter was referred to investigation with the withdrawal of the hand of the former general manager of the bank at the time, with the file referred to the Integrity Commission to take legal measures against the negligent," noting that
"the company resorted to the judiciary to request the termination of the contract and compensation after the Ministry's decisive procedures, and the competent court issued its decision to terminate the contract." With the bank obligating the amount of compensation, as the bank continues to follow the legal procedures, as the unfair decision issued against him was appealed, hoping to reconsider its content in a manner that secures the preservation of public money.
The "Ishtar Electronic Payment Company" fined Al-Rafidain State Bank 600 million dollars after filing a lawsuit to the competent court.
It is noteworthy that the Iraqi Minister of Finance, Ali Allawi, decided on 3/9/2021 to refer the director of Al-Rafidain Bank to the investigation and withdraw his hand because of his signature on the “Ishtar Gateway” project for electronic payment, which does not meet the conditions and laws related to contracts.