Banks demand repayment of loans from citizens deceived by fraudsters - Ombudsman

In 2024, the Ombudsman received over 6,000 appeals from citizens regarding economic rights, 9% of which were fraud-related cases. Among these, there was a notable rise in incidents where loans were granted by various commercial banks using citizens' personal data. According to the press service of the Human Rights Commissioner of the Oliy Majlis (Ombudsman), the number of such appeals increased by 42% compared to 2023, when 110 cases were recorded.

The report highlights that in 60% of these cases, individuals posing as employees of the Central Bank issued online loans using the victims' personal data. In some instances, loans were taken out in the name of one person from 5-6 commercial banks simultaneously.

"In response to these appeals, investigators of the Internal Affairs bodies sent instructions to commercial banks clarifying that these citizens did not personally utilize the loan funds and were recognized as civil claimants. The investigators also requested the suspension of loan repayment obligations and interest accrual until the responsible parties are identified. According to Article 36 of the Criminal Procedure Code of the Republic of Uzbekistan, the written instructions and decisions of investigators are legally binding on all enterprises, organizations, officials, and citizens. However, banks continue to demand loan repayment from victims of fraud," the Ombudsman’s report stated.

To counteract fraudulent transactions involving bank cards, the Central Bank of Uzbekistan introduced a temporary procedure to enhance security in the process of granting online loans. This procedure, effective from November 1, 2024, to April 1, 2025, aims to prevent suspicious activities by credit organizations.

According to the Central Bank’s data, 463 cases of fraudulent online loans were reported in 2024, causing material damages totaling approximately 15 billion sums.

To ensure information security and minimize the risk of fraud, the following precautions are recommended:

- Protect Personal Information: Avoid sharing personal details such as passport numbers, bank card information, and PIN codes with anyone.
- Exercise Caution Online: Refrain from sending personal information through social networks or to unknown individuals.
- Secure Banking Details: Never share confirmation codes, passwords, or login credentials for banking applications received via phone.
- Beware of Malicious Content: Avoid downloading unfamiliar files, documents, or links received via social networks or email, as they may contain malware.
- Verify Caller Identity: Do not answer calls or video calls from unfamiliar numbers, especially foreign ones. If someone claims to be a bank employee or representative of another organization, verify their identity through official channels.

The rise in fraud cases highlights the importance of vigilance and cooperation between citizens, banks, and law enforcement to mitigate risks and protect economic rights. Continued efforts are essential to ensure the safety of financial transactions and the accountability of perpetrators.