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BDO denies updating liability clause, says no provision added after ‘Mark Nagoyo’ transfers

BDO Unibank Inc. on Tuesday defended its liability clause in its terms and conditions, as it said there was no additional provision made following the ‘Mark Nagoyo’ unauthorized bank transfers which affected a number of clients.

The Sy-led lender said that a liability clause is a regular compliance in the banking industry, in response to online posts claiming that the bank has updated its terms and conditions.

“This has been part of the normal compliance for a long time. There was no added clause due to the recent incident,” it said in an emailed statement.

Under BDO’s Terms and Conditions of Use posted on its official website, the bank says it is not liable for any loss or damage of whatever nature in connection with the implementation of transactions coursed through its electronic banking services.

This covers disruption, failure, or delay relating to services due to circumstances outside its control; loss or damage due to any improper or fraudulent access; inaccurate, incomplete, or delayed information received due to failure of any communication facilities.

Such terms circulated online after BDO earlier this month acknowledged a “sophisticated fraud technique” which affected some of its clients.

The funds were then reportedly transferred to accounts under different banks and mobile wallets, and used to acquire cryptocurrencies.

BDO is now being probed by the Bangko Sentral ng Pilipinas (BSP), which has formed a task force to look deeper into the matter.

The lender last week said it has started processing the reimbursement of funds of close to 700 clients affected by the fraudulent transactions.

“BDO made exceptions and shouldered the losses not caused by clients to maintain good customer relationship even if the bank is not legally liable,” the bank said Tuesday.—AOL, GMA News